Inventec

History

2019: Investment of $2 billion into transfer of production from China

On September 24, 2019 Inventec announced investment of $2 billion into transfer of the production capacities from China to Taiwan. The company decided to carry out such migration to avoid negative effects of the American-Chinese trade war because of which additional duties are introduced.

The most part of the selected budget will be directed to expansion of production of notebooks at the plant in the Taiwan city of Taoyuan.

The producer of notebooks of HP and Apple earphones takes away the plants from China and spends for it $2 billion

Notebooks HP, smartphones Xiaomi and Huawei and also wireless earphones gather on the Inventec enterprises Apple AirPods. These and other devices are included into the list of electronics which the USA is going to impose new taxes when importing from the People's Republic of China.

In August, 2019 the president of Inventec Maurice Wu said that in 2-3 months the company will throw from China to Taiwan all production of the portable computers supplied to the American market. From 40 to 45% of revenue of the company are the share of production of notebooks, and the share of the American market in turnover of the Taiwan producer makes 25-30%.

Trade war is very painful for us — Wu at a conference during whom heads told about how changes in production affected efficiency and profitability of the company reported.

By the end of September, 2019 Inventec transferred to factory in Taoyuana almost all production of servers for the American customers and is in transfer process of capacities for release of "smart" devices from China to Malaysia.

The plants from the People's Republic of China are taken away not only by Inventec, but also other contract producers of electronics. So, on September 24, 2019 the CEO of Compal Electronics Martin Wong said that the company threw production of some lines of notebooks to Taiwan and also considers the possibility of increase in investments into Vietnam.^[1]

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