Sony To Close Taiwan Production
Sep. 22, 2000
TAIPEI, Taiwan (AP) _ Japan's Sony Corp. will cease its production of video products in Taiwan and move the operation to Malaysia and China, the company announced Friday.
The electronics and entertainment concern cited the need to improve efficiency and cut costs prompted the decision to move the assembly lines to countries with cheaper labor.
Established in October 1984, Sony Video Taiwan produces video decks, laser disk players and DVD players.
After closing the operation in December, Sony will establish a technology center in Taiwan for product design, engineering and procurement, the company said.
The announcement sparked speculation that more foreign-invested electronics firms may pull out of Taiwan because of its rising labor costs and concerns about electricity and water shortages.