Teco plans RI plant

Teco plans RI plant

TAIPEI (Reuter): Taiwan's Teco Electric and Machinery Co said on Saturday it plans to invest T$1 billion to build a plant manufacturing air conditioners in Indonesia.

"Our board has approved the plan, and construction should start in September this year," a Teco spokesman said.

The spokesman said he did not have details on the plant's construction schedule or production capacity.

Teco said it chose to invest in Indonesia because of the country's sound economic prospects and location.

"All indications are that Indonesia will continue to enjoy sound growth in its economy. Also, it is a very hot and populated country, so the demand for air conditioners should be huge," the Teco spokesman said.

Teco said it planned to issue global depository receipts later this year to fund the project.