In a follow-up to an Asia Express article dated September 23, 2005, value-line PCs produced by Chinese Lang Chao in Venezuela are expected to hit the market in the first quarter of 2007. Lang Chao previously formed a joint venture with a Venezuelan state-controlled firm called Veninsa to set up a computer assembly line in the Paraguana Peninsula of Falcon State. The new facility is expected to start production in the fourth quarter of 2006 and to yield 120,000 units in the full year 2007. The annual capacity in 2008 is projected to double to 240,000 units. Although the production line will be committed to assembling desktop and notebook PCs at present, both Lang Chao and its Venezuelan counterpart plan to enter component manufacturing in the future.