RESHORING CASE

Pegatron

Company details
Company name: 
Pegatron Corporation
Company country: 
Taiwan
Number of employees: 
177950
Sector: 
C - Manufacturing
Sector detail: 
C26 - Manufacture of computer, electronic and optical products
Sub-sectors: 
C26.1 - Manufacture of electronic components and boards
Reshoring details
Reshoring announcement date: 
09/11/2018
Starting implementation date: 
January, 2019
Reshored to: 
Czech Republic
Reshored business function: 
Production
Partial or Total reshoring: 
Partial
Reshoring governance mode: 
In house (in own facilities)
Reasons for reshoring: 
Firm's global reorganization
Labour costs' gap reduction
Case narrative: 

Pegatron Corp is a Taiwan-based company producing consumer electronics products. In 2018, the company decided to review its global footprint and relocate production from China to its facility in Czech Republic and Mexico. The main reasons supporting the relocation decisions are the increase in US-China trade tensions coupled with  the employees shortages and rising wages in China.   

Sources: 

Taipei Times 09/11/2018

Sources link: 

http://www.taipeitimes.com/News/biz/archives/2018/11/09/2003703847

Offshoring details
Offshoring location: 
China
Offshored business function: 
Production
Offshoring governance mode: 
In house (in own facilities)
Host country geographical area: 
China