LG Electronics is moving. The company plans to move its LCD TV factory from Mexicali to Reynosa by September. LG will also completely close down mobile phone production in Mexico and instead shift to Korea and China. 500 jobs will be lost at the Mexicali LCD TV factory but 1200 new jobs will be created at the Reynosa plant. LG will invest US$100 million in the project.
In order for this shift from Mexicali to Reynosa to work, LG Electronics will need to move its offices too, from San Diego to possibly Hidalgo, which would significantly reduce the cost of operations. It would also bring manufacturing operations a bit closer to LG’s US headquarters, which is located in New Jersey.
Source: PC World