Sony consolidates, increases local content

By Julian Matthews

In March 1996, Sony Corp announced that it planned to source components from Malaysian companies for its 73 factories worldwide. Sony Corp chief executive officer Norio Ohga said Sony is looking towards sourcing locally instead of depending on Japan for its materials.

Addressing a Sony sponsored procurement forum in Malaysia recently, Ohga says his company recognized the significant growth of the Malaysian component industry in recent years and would make it a top priority to promote procurement of local parts.

The shift in policy to source locally is also expected help tip the trade balance scales in favor of the host country, says Ohga, adding that Sony is expected to lend its expertise to establish the component suppliers and ensure the company’s high production standards are met. Read more