Quanta set to boost output of computers
QUANTA Computer Inc, the world's biggest contract laptop computer maker, will boost its production capacity by 40 percent next year to meet demand by PC vendors like Hewlett-Packard, the Taiwan-based firm said yesterday.
To meet the rise in output capacity, Quanta will sign an agreement to build a plant in Chongqing in west China, Reuters said quoting an unidentified source.
"We will increase production capacity next year absolutely, through various expansion in the Chinese mainland, our major manufacturing base worldwide," said Louise Wu, Quanta's investor relations division official. But she refused to comment on the Reuters' report citing Chongqing as the new plant's location.
Quanta, which has two major plants in Shanghai's Songjiang District and in Jiangsu Province's Changshu, is expected to produce 36 million computers, mainly laptops, this year. In 2010, its production capacity will jump 40 percent to 50 million units, Wu said.
Quanta's factory in the western city of Chongqing will begin production in the second half of 2011, with preliminary testing of the site due to begin by the middle of next year, Reuters reported. Quanta's new plant in Chongqing will supply to HP, the world's No. 1 PC maker.
Top PC brands, such as HP, Dell and Acer, carry out their own design work, and outsource the labor-intensive production process to contract PC manufacturers such as Quanta.
HP said in October last year that it would set up a complex in Chongqing to make notebook and desktop PCs.
In 2010, PC sales globally will jump 17 percent annually to 197.8 million units, thanks to booming netbook sales, according to DisplaySearch, a United States-based IT consulting firm.
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