Taiwanese EMS (Electronics Manufacturing Services) provider Foxconn's board of directors has approved the establishment of a new plant in Russia, in an effort to lower its production costs, Reuters reported. The total investment is estimated at 32.3 million Euros (US$50.5 million; US$1=0.6 Euro).

According to the Reuters report, Foxconn's new facility will manufacture mobile phones, computer components, and consumer electronics. Although the company stated that the construction is likely to kick off in 2008, further details regarding the construction schedule were not yet disclosed, according to the same report. Previously in August 2007, Foxconn and HP jointly set up a PC and LCD monitor assembly plant for US$50 million in Russia.

Also, Foxconn plans to build a new assembly plant in Shandong Province, China, for US$12 million through its affiliate Argyle Holdings, according to a report by Taiwan's Commercial Times. Initially, the new facility is projected to focus on assembly operations for consumer electronics and PC products.