Chassis maker Ju Teng International has decided to build a plastic notebook chassis plant in Vietnam, according to industry sources.
The company originally planned to build a new plant in Vietnam for making metal compartment parts for automotive electronics, but has now changed the plan, the Digitimes reported.
Ju Teng reportedly will establish the new factory in southern Vietnam in the second half of 2021 and begin production in the second half of 2022.
Ju Teng has plants in China’s Wujiang, Chongqing, Nanjing and Taizhou and the company is considering building new factories near its plants in Wujiang and moving part of the Wujiang capacity to Vietnam, the sources said.
However, the company said its capacity expansion plans have not yet been finalized.
The Wujiang facilities mainly make plastic chassis for notebooks.
Vietnam is becoming a new production hub for the notebook industry. In addition to a few notebook ODMs, cooling solution provider Chaun-Choung Technology (CCI) and hinge maker Shin Zu Shing (SZS) have both decided to establish capacities there. Chassis makers moving production to the Southeast Asian country should further strengthen the local supply chain.
Compal Electronics has entered the second phase of its plant construction plan in Vietnam, which is set to be completed by 2021 for volume production. Wistron will also establish a plant in Vietnam’s Dong Van III Industrial Zone that will also begin volume production in 2021, according to the sources.
Pegatron in February already set up a subsidiary in Vietnam that will begin conducting production in 2021. Foxconn has been manufacturing products in Vietnam for many years and has plans to build extra dormitories in line with upcoming capacity expansion, according to Digitimes.