Taiwanese contract electronics maker Pegatron expects its first U.S. plant, located in Texas, to be completed by the end of March, with trial production to begin toward the end of March or April, president and CEO Kuang-Chih Cheng said Friday.
The company, a supplier to Apple, Microsoft and Tesla, acquired an industrial building and land in Texas in October, joining other Taiwanese manufacturers investing in the state, such as Foxconn, Inventec and Wistron.
“The US plant is our first factory established and operated in the United States,” Cheng told reporters in Taipei. The factory will produce AI servers, including those using Nvidia chips.
“It is currently scheduled for completion at the end of March, and we should be able to begin trial production at the end of March or April.”
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The Trump administration has been pressuring Taiwan, a technology powerhouse with a large trade surplus with the US, to invest more in the country.
Last week the US and Taiwan reached a trade deal in which Taiwanese companies will invest $250 billion to increase US production of semiconductors, energy and artificial intelligence, and the tariff on US imports from Taiwan will be reduced from 20% to 15%.
Pegatron has been diversifying its manufacturing sites outside of China since Donald Trump’s first term, expanding into Southeast Asia and Mexico. It already has a maintenance base in Indiana and an office in California.
With information from Reuters.
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