REYNOSA, MEXICO -- Top 10 EMS company Cal-Comp USA has purchased a 125,000 sq. ft. manufacturing facility here to perform electronics manufacturing services, in particular for a major supplier of set-top boxes.

The site, immediately across the border from McAllen, TX, will be operated by Cal-Comp de Mexico, a newly established subsidiary, and it is expected to employ approximately 500 people within two to three years.

Cal-Comp plans to close an existing site in Reynosa obtained in its acquisition last year of Spectragraphics. Cal-Comp will transfer all equipment and move 70 employees from that site to the new facility, and will hire approximately 75 new employees before the end of 2011.

Cal-Comp USA is a subsidiary of the New Kinpo Group of Taipei, Taiwan, a $6 billion electronics design and manufacturing company with factories in China, Thailand, Singapore, the Philippines, Brazil and Poland. NKG employs 36,000 workers in electronics design, manufacturing and logistics for the consumer, computing, industrial, automotive, medical and communications markets. The company ranked sixth on the CIRCUITS ASSEMBLY Top 50 last year.

The impetus for the expansion came from a US customer that markets TV set-top boxes, the company said. NKG has been manufacturing the products in China and Thailand, but after evaluating the full cost of ownership of the product for the North America market, the customer requested that the manufacturing be relocated from Asia to Mexico. Other electronics products will also be manufactured in the new facility.

"This major expansion in Reynosa, Mexico shows our commitment to the North American market and to serving our customers anywhere in the world," said Simon Shen, president of Cal-Comp. “We see a bright future for this facility and look forward to building a presence there to serve a variety of customers.”

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