KUALA LUMPUR: Sony will close a plant in Malaysia next year to consolidate its operations at its other plant in the state for efficiency, the Japanese electronics giant said on Saturday (Dec. 5).
The company told Reuters in an email that it always takes into account market conditions, the company’s growth potential and other factors as part of an ongoing review of its investments and operations.
“As part of this review, Sony will consolidate its manufacturing operations by transferring its Penang operations to Selangor to further improve operational efficiency,” said Ric Ong, head of the Human Resources Division in Penang.
Operations at the plant will end on September 30 and will be closed by the end of March 2022, affecting approximately 3,600 employees in Penang.
Some Penang workers will be relocated to the other factory, Penang’s trade chairman Abdul Halim Hussain told local news portal FMT on Thursday.
Penang in the north of Peninsular Malaysia has been a manufacturing hub for many foreign electrical and electronics brands, including Intel, Panasonic and Dell Technologies, for decades.
Sony began operations in Malaysia in October 1973 with the marketing, sale and service of consumer electronic products, as well as broadcast and professional products and solutions, the website said.
The Penang factory mainly produces home audio, network walkman, headphones and battery products, while the Selangor factory near the capital Kuala Lumpur produces LCD TV, Blu-ray player and other major components.