Asia Express - Consumer Electronics
Merry Electronics’ New Vietnam JV with Luxshare to Begin Production This July
March 03, 2020

Taiwanese audio electronics manufacturer Merry Electronics recently announced that the company plans to invest an additional US$12.24 million into the US$24 million JV in Vietnam that it formed with China-based Luxshare Precision, one of Apple’s primary AirPod suppliers, the Economic Daily News reported on March 2. Under the tie-up, Merry takes up 51% of this new JV, named Merry Luxshare (Vietnam), while Luxshare claims the remaining 49% through its subsidiary, United Tao Electronics. Since nearly 50% of Merry’s total audio components sales are from the US market, this new JV aims to alleviate the impact of the US-China trade war while taking advantage of Vietnam’s favorable tax policies and proximity to China. This JV will start production in July this year, mainly wired and wireless Bluetooth earbuds such as AirPods. Other than its Vietnam plant, Merry also stated that its Thailand plant is estimated to contribute around 20% of its total sales this year, up from merely 1%-2% last year.