Flextronics to Add Russian Plant? PDF Print E-mail
Written by Mike Buetow   
Friday, 18 January 2008 06:08
ST. PETERSBURG, RUSSIA -- Flextronics is in negotiations to construct a plant here, and a deal could be in place by next month, according to published reports.

CNews, citing the local department for economic development, said the EMS firm plans to invest up to $50 million in the facility, which would build TVs, monitors and laptops.

The St. Petersburg area is home to nearly six million people, and by many standards is considered Westernized.

The story quoted local business executives as saying production cost in St. Petersburg would be lower in many cases because of shorter distances and simplified logistics, although "local production of LCD monitors is more expensive than in China."

Flextronics, the world's second largest EMS firm, has been reducing its worldwide footprint following its acquisition of Solectron last fall.

Elcoteq and Jabil have facilities in Russia, although the former recently announced it would seek to reduce or divest its operations after losing millions since founding a plant in 1997.


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