Nypro Inc. and a South Korean metal die cast maker have formed a pact to provide subassemblies for mobile phones, with the Korean firm announcing plans to build a facility near a Nypro plant in China.
The venture will allow Nypro to move more deeply into the supply chain and provide metal and plastic parts directly to cell phone makers, said Al Cotton, spokesman for the Clinton, Mass.-based injection molder.
KHVatec Co. Ltd., of Gumi, South Korea, is a leading cell phone supplier in Korea but wants to expand globally, Cotton said. Nypro has 67 factories in 50 countries; mobile phones are the largest part of its business in China, he said.
Neither company is investing in the other, and the firms declined to give details. KHVatec's plant should open in Tianjin, China, in September, the companies said.