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11 December, 2014

The New Kinpo Group manufactures in Southeast Asia to escape China's labour challenges

Source: New Kinpo Group. At the
new factory in Thailand.
The New Kinpo Group (NKG), an electronic manufacturing services (EMS) and original design manufacturing (ODM) company, has opened a factory in Petchaburi, Thailand to manufacture printing and imaging products.

NKG is investing throughout Southeast Asia in order to offer customers greater flexibility, lower costs, faster delivery times and world-class product quality, the company said. The latest factory is NKG's ninth in Thailand and 18th in Southeast Asia. With manufacturing sites located strategically throughout the world—not only in Thailand, the Philippines, and Malaysia, but also the US, Brazil and Mexico—and a vertically integrated model, NKG is able to achieve lower manufacturing costs and greater efficiencies than its competition.

"China's labour cost and shortage combined with global shipping expenses have made it crucial to look for more effective production sites," said Simon Shen, CEO of New Kinpo Group. "The centre of gravity is shifting to Southeast Asia, where NKG has a unique advantage, having been in this region for more than 24 years. We have 580 assembly lines, 29 product categories and more than 25,000 factory workers in Southeast Asia. This new factory is representative of NKG's capabilities for producing the world's most in-demand products."

Employing more than 7,500 operators and other office workers, the new factory will run 20 assembly lines. NKG's highly-automated, vertically-integrated factories greatly reduce cycle time and labour costs while improving product quality, production output and efficiency.

The new factory is designed to be environmentally-friendly, with green walls, water conservation and recycling, biodiversity for plants on site, and natural and LED lighting.

NKG's EMS and ODM business spans multiple product lines, including storage, printers, network-attached storage, wireless and broadband, digital home, consumer electronics, wearables, 3D printing, robotics, power management and smart grids, industrial, automotive, security, medical/healthcare and emerging technologies. NKG leads in manufacturing wireless routers, TV set top boxes, printers and hard disk drives, the company said.

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