Sharp announces new production plant in VN

Monday, Aug 05, 2019 07:54

A Sharp Corp's event held in Akihabara, Tokyo in June. — Photo coutersy of Sharp

Japanese electronics giant Sharp has announced plans to construct a multiple production plant in Viet Nam.

The plant will produce air purifiers, LCD displays and electronic devices from fiscal 2020, the company said in a press release last week. It did not disclose the cost of building the factory.

The enterprise will also set up a 100 per cent owned subsidiary in Viet Nam with US$25 million capital to manage the plant.

Its affiliate – Sharp Manufacturing Vietnam Co – will be located at the Viet Nam - Singapore Industrial Park II in the southern province of Binh Duong, according to Sharp.

"By establishing the new company as the core to promote sustainable development for this fiscal year and on in the ASEAN region where high degree economic development is continuing, Sharp will aim to raise its corporate value by utilising the advantages as One SHARP," the company said in a statement.

Sharp's consolidated net profit reached 2.5 billion Japanese Yen ($115 million) in the second quarter of 2019, down 35 per cent on the year. Sales also sank 4 per cent to 515 billion Japanese Yen during the period, the online newspaper Nikkei Asian Review reported.

According to Nikkei, Sharp, which supplies parts for Apple's iPhones, has suffered from the slowdown in sales for the US smartphone juggernaut, as well as from slumping TV sales in markets such as China.

The company's shares tumbled 14 per cent on Friday due to concerns about an escalating China-US trade war, Reuters said. — VNS

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