Samsung unit gets perks for P1.9-B plant

The Philippine Economic Zone Authority (PEZA) has approved the application of Philippine Samsung Electronics Corp. (PSEC), a subsidiary of the Korean electronics giant Samsung, to put up a new plant at Calamba Premier Industrial Park (CPIP).

PSEC has earmarked P1.91 billion to put up a new plant that will initially manufacture compact disc rewritable drives. The CD rewritable drives are intended for export to Asia, Europe and the US.

The PEZA approval entitles PSEC to duty-free importation of capital equipment, simplified customs procedures and other incentives.

Meanwhile, another Samsung subsidiary, Samsung Electro-Mechanics Phils. Corp. (SEMPHIL), had earlier invested $65 million for its plant which manufactures multi-layer chip capacitors and thick film chip resistors.

Samsung. Electro-Mechanics was founded in South Korea in 1973 and initially produced tuners defection yokes, flyback transformers and capacitors which are the major components of television sets.

In the 1980s, it diversified and started manufacturing video cassette recorders, computers and peripherals and broadcasting equipment.

Samsung now has subsidiaries in 32 countries.