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New Foxconn Factory in C China Begins Production

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The workers also have access to sports fields, fitness facilities, reading rooms and TV rooms.

Nine out of ten employees in the factory are from Henan and have worked at Foxconn's plant in the coastal city of Shenzhen. These employees volunteered to work at the new plant, said a Futaihua spokesman.

In a few months, nearly 10,000 workers would live in the community, the spokesman said.

"I' m satisfied with the new company's living conditions," said Li Gongchen, a Futaihua worker from Zhoukou City of Henan.

"I like my work and life in Shenzhen. But, Henan is my hometown. I will enjoy a more stable life and work with much sense of belonging here," said Peng Jinlong, another Futaihua worker from Xinyang City of Henan.

Several workers told Xinhua that they believe the company would offer them "a reasonable remuneration package".

Foxconn is warmly welcomed by the local government, which has been seeking to accommodate its surplus laborers from the rural areas. Henan is the most populous Chinese province.

Thanks to the government' s coordination, the new plant finished its preparations, including renovation of the workshops and the workers' dormitories and opening of facilities, within one month.

"No other Foxconn plant has launched production in such a short time," Lin said.

"We've provided many conveniences for Foxconn's locating here, such as opening a fast track for the import of its facilities and construction materials," said Liang Andong, a local government official.

"We welcome advanced manufacturing companies like Foxconn," said Song Xuantao, vice governor of Henan.

In July, Taiwan's Hon Hai Precision Industry Co., the parent company of Foxconn, registered to build two factories in Henan to produce cell phones and related devices.

It remains unknown when the factory, owned by Hongfujin Precision Electronics (Zhengzhou) Co. Ltd., another Foxconn' s subsidiary, will begin production.

Besides Henan, Foxconn has opened plants in the inland regions of Hebei, Shanxi, Hubei and Chongqing. In July, the company also invested in two factories in Chengdu, the capital city of southwest China's Sichuan Province.

"We moved into Henan, on the one hand, to secure our status as the world' s biggest electronics contractor making high-tech products as well as, on the other hand, to set up our own sales network and Development & Research department," Lin said.

Foxconn is talking with the provincial government about opening some 2,000 chain stores selling IT products and home appliances as an attempt to diversify its business model.

"This shows that Foxconn targets not only the low labor costs of inland areas, but also the huge market," said Shi Pu, a professor with Henan University of Economics and Law.

(Xinhua News Agency August 3, 2010)

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