Philips is expanding its operations with an LED manufacturing facility in the Chengdu province of China in order to serve Chinese and Western customers'faster and better'.
The new site will be set up in Chengdu High-Tech Industrial Development Zone and production at the plant is expected to begin in 2013.It will focus on production efficiency and quality;increasing responsiveness to clients;and shorten delivery time,according to a company statement.
The site will also optimise the allocation of resources such as warehousing and logistics as well as production.
Philips will also establish a 10,000sqm Lighting Application Centre,where it will showcase its lighting technologies.The centre will display live scenes in different segments such as hotel,shop,office,road and urban.
A spokesperson for the company told Lighting:"China is the second largest market of Philips globally,and we expect a strong market growth in Asia driven by LEDs(from approximately ten per cent of total sales today,to nearly 50 per cent in 2015).
"This growth is based upon[an]increasing number of households and electrification resulting in a higher number of sockets.The company also pointed to an increasing end-user awareness on energy efficiency,driven by legislation and subsidies to replace incandescents."
"Speed of adoption of LED lighting is much faster in China than in other parts of the world and it will be a key driver of growth in the lighting market(up to 70 per cent in urban applications)",she added.
Tommy Leong,president of Philips Lighting Greater China said:"Philips will leverage…[its]strong innovation,application and customization capabilities in LED lighting to serve western and China customers faster and better."
