Nam Tai Electronics Announces Intent to Expand Battery Production
Nam Tai Electronics Inc. (Hong Kong) has announced for the second time in less than six months that it plans to expand its production capacity of lithium-ion rechargeable battery packs for cellular phones. The company initially planned to set up one production line, but in response to strong market demand it installed two production lines in June. In light of continued strong market demand for cellular phones, the company and its joint venture partner, Toshiba Battery (China), have decided to add an additional five production lines within the coming two months, increasing the total number of production lines from two lines to seven lines within this year.The battery packs are being produced by BPC Co. Ltd. (BPC, China), a joint venture between Nam Tai Electronics and Electrical Products Ltd., a wholly-owned subsidiary of the company and Toshiba Battery Company Ltd. (Japan). BPC's production is located within Nam Tai's existing manufacturing complex with the products being sold through Toshiba's sales channels to the world's leading cellular phone makers, including famous Japanese and European brands. The company has also received government approval to sell its products in China's growing domestic market.Based on the new forecast demands, Nam Tai expects to increase its production capabilities again to between 12 and 20 production lines before the end of 2001.