China Fiber
Optic Network Systems Group Ltd. has invested $50 million to set up a plant in
Surrey, British Columbia, for the manufacture of components for China's fiber-optic
communications network. The plant is set to employ 200 people and is
targeted to be up and running in June to produce $100 million worth
of export sales to be brought back to China. The plant will be
manufacturing ceramic ferrule banks, the tiny components used to manufacture fiber-optic
wire connectors.
China Fiber
is the supplier for Chinese state-owned telecommunications firm China Telecom,
which figures in the government's plans to push fiber-optic networks as the
standard for nationwide high-speed Internet. It will also be setting up its
North American headquarters in Vancouver, according to company chairman Zhao
Bing. Its Canadian subsidiary F-Pacific Communications also set up a
research-and-development facility in Redmond last year.
F-Pacific
CEO Bei Nie said that the main reason that we established manufacturing in
Canada was first, B.C.'s electricity cost is very competitive. The lower cost
of electricity offsets the higher cost of Canadian labor, according to the CEO.The
plant represents a $50-million investment by F-Pacific in the Candian
city, and Nie said that this initial investment could expand up to $100
million.Nie also cited Canada's intellectual property protections, which
will help protect the patented technology that China Fiber and
F-Pacific will be using to produce the ceramic ferrule banks.
Canada's
temperate, less-humid climate is also expected to help in the production of the
components, which are sensitive to temperature and humidity. Initial production
is meant for use in China, but eventually China Fiber is looking
to cater to the North American market.
Nie said that
we will provide our specialized equipment to Canadian telecommunication
companies bring high-speed fiber-optic connectivity to more homes.
Yuen Pau
Woo, president of China Fiber's Vancouver headquarters, voiced out
the plans China Fiber has for North America. He said that if can
penetrate the North American market working Telus, Rogers, Bell and Sprint, and
all the other suppliers, imagine the kind of expansion we could see in North
America.
source : http://en.yibada.com/