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Wednesday, 15 August 2012 09:04

Foxconn sets up in Indonesia

Written by Nick Farrell



Will invest $10 billion in decade


Apple supplier Foxconn Technology Group is to set up shop in Indonesia.

The company said that it plans to invest $5-10 billion over five to 10 years and starting with the assembly and production of 3 million handsets per year. Indonesia's Trade Minister Gita Wirjawan told reporters that the first investment will start in October and in phase two of the project, starting in July 2013, Foxconn will build a plant and increase output to 10 million units per year.

Foxconn has been in talks with the Indonesian government for some time.  It is not clear why the company is moving out of its normal stomping ground of China. While employment costs are increasing in China we would not have thought that Indonesia was cheaper.

Nick Farrell

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