BANGKOK, May 25 (TNA) – Panasonic Corporation continues to use Thailand as its production base because it plans only partial relocation to Vietnam, Industry Minister Suriya Jungrungreangkit said.
In response to the report that Panasonic would relocate its refrigerator and washing machine production from Thailand to Vietnam, Mr Suriya said the planned relocation was aimed at economy of scale, cost reduction and the efficient sourcing of raw materials because Vietnam was the main Southeast Asian production base of Panasonic refrigerators and washing machines.
Panasonic had 18 other plants in Thailand and employed over 10,000 workers there. The facilities produced a wide range of products including audio systems, televisions, printed circuit boards, electronic parts and batteries and the production would continue in Thailand, Mr Suriya said.
“The relocation of refrigerator and washing machine production affects about 800 workers. It is a minor relocation. The company has substantially imported parts of washing machines and refrigerators from Vietnam for assembly in Thailand. This is the reason why the company relocates the production to Vietnam,” the industry minister said.
He also said that Daikin Industries Co was expanding its production of air-conditioners and compressors in Thailand and Vietnam. It would relocate the production of its general models to Vietnam and expand the manufacturing of high-technology products in Thailand, which responded well to the Thai government’s policy to promote investment in high technology, Mr Suriya said. (TNA)
