Featured Story: EMS companies invest in Ukraine

Monday, 03 September 2007 18:00

EMS companies invest in Ukraine

As costs rise and labor availability tightens in Central and Eastern Europe, EMS giants Jabil and Flextronics have invested in new manufacturing facilities in the western Ukraine, to build electronics for European consumption. EMS companies appear to be trending back to regional production sites as security risks mount and soaring oil prices drive up shipping costs.

Favorable location, labor costs and availability, and pool of engineering graduates from Uzhgoro University drew Jabil to the region. Jabil currently employs 2,000 people in Uzhgorod, and is hiring 150 each month.

Manufacturers are working with Ukranian authorities to encourage further investment in the region through tax relief or subsidies, in an effort to build a local supply base. A supplier park is expected in Uzhgorod in 2008.

Read more in the August 21, 2007 Electronic Business article, “Report from Europe: EMS powerhouses Jabil and Flextronics invest in Ukrainian hot spot”.

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