On July 3, Quang Ninh People's Committee granted investment certificates for two Foxconn projects with the total registered capital of $551 million. A smart entertainment product project in Song Khoai Amata Industrial Park accounts for VND6.63 trillion ($263.7 million) of the sum, and will have a capacity of 4.18 million items per year.

The factory will specialise in manufacturing and assembling electronic components and devices with an annual output of four million Nintendo Switch console sets, 30,000 air data sensors for unmanned aerial vehicles (UAVs), 30,000 UAV controllers, 60,000 UAV engine modules, and 60,000 UAV signaling and lighting systems.

Under the plan, construction is slated to take place from January 2025 to June 2026, while equipment will be installed from July to September 2026. Foxconn plans to start trial production in October-December 2026 and put the project into operation in January 2027.

As reported by Financial Times, Nintendo makes almost all of its Switch consoles in China through several contract manufacturers, including Foxconn. Nintendo has been considering diversifying its China-heavy Switch production to Vietnam due to the US-China trade tensions since 2019.

According to Statista, in the financial year ending March 2023, Nintendo generated around $4.5 billion in revenue in the United States. This accounted for over a third of its annual revenue, making the US the largest market for Nintendo.

By Thanh Van

Source: VIR

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