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September 22, 2017

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Hon Hai's Vietnam plant to restart operations

TAIPEI, Taiwan -- Hon Hai Precision Industry (鴻海精密), the world's largest contract electronics maker, announced yesterday that its facility in Vietnam would resume operation today.

The company has facilities located in two provinces in Vietnam, churning out smartphone parts and components on behalf of Apple Inc. The facilities are unaffected by the recent anti-China riot, as they are situated a long distance away from Binh Duong Province, where protests broke out.

In order to ensure employee safety, Hon Hai made an emergency announcement on the 16th to halt plant operation for three days, between the 17th and 19th. As the anti-China demonstration has gradually subsided, the company announced resumption of its assembly facility. Sources say Hon Hai employs about 10,000 people in the country.

In a separate report, media sources recently said that Hon Hai and Japan-based SoftBank Corp. will form a partnership to acquire equity in Asia Pacific Telecom (亞太電信), about 20 percent of shares, to become Asia Pacific's largest shareholder.

Hon Hai would not comment on the reported partnership when asked by the press. However, it stressed that the company is determined to acquire stakes in Asia Pacific and would not exclude itself from any potential partnerships.

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