Goertek (Hong Kong) Co., Limited, a wholly-owned subsidiary of Chinese electronics giant Goertek, plans to set up a subsidiary in Vietnam’s northern province of Bac Ninh with an investment of RMB199.04 billion ($280 million).
In a filing to the Shenzhen Stock Exchange dated January 15, Goertek, a key supplier of Apple, said the move would help its business expansion and long-term operations in Vietnam, utilizing local resources. The move is subject to approval by relevant authorities, Goertek clarified.
The to-be-established subsidiary is set to be located in Lot A1, Nam Son-Hap Linh Industrial Park. It plans to produce headphones, smart watches, and VR & AR consumer electronics products.
In February 2023, Goertek signed a deal to lease 62.7 hectares in the 306-hectare Nam Son-Hap Linh Industrial Park in Bac Ninh province, operated by Kinh Bac City Development Holding Corp.
In October 2022, the International Finance Corporation (IFC) approved a $700 million financing package for Goertek to build a modern electronics production plant in Vietnam.
In October 2023, Goertek said it plans to triple or quadruple its investments in the northern province of Bac Ninh over the next five to 10 years. Goertek has made three investments in Bac Ninh with total registered capital of $905 million, comprising one conducted by its subsidiary Goertek Vina and two by its subsidiary Goertek Technology Vina Company Limited.
Bac Ninh accounts for 20% of Goertek’s global investment, co-founder and chairman Jiang Bin said.