Sumitomo sets up Vietnam arm for electronics manufacturing services
HANOI, NNA - Japanese trading giant Sumitomo Corp. has established a wholly owned subsidiary in Hanoi to provide electronics manufacturing services to companies that have shifted production from China to Vietnam due to the ongoing trade row between Washington and Beijing.
Sumitomo announced on Thursday the establishment of Sumitronics Vietnam Co. in August by its Tokyo-based arm, Sumitronics Corp., with operations set to start later this month.
The new company anticipates demand for electronics manufacturing services from producers of office automation equipment, white goods, car-mounted devices and other products, targeting annual sales of 10 billion yen ($94 million) in five years, according to the announcement.
Sumitomo entered the EMS market in the 1990s, with Sumitronics operating 10 locations in eight countries besides Vietnam and the parent company running four of its own factories abroad in Thailand, Indonesia, Cambodia and Mexico.
Sumitronics has a network of more than 20 partner manufacturers and over 1,000 parts suppliers. (NNA/Kyodo)