Japanese cable manufacturer Sumitomo Electric Industries Inc. has unveiled plans to set up a new production facility in Chisinau, the capital of Moldova, creating between 1,000 and 2,500 new jobs at the plant, the country's government said in a statement.
The plant will make a wide range of cables, using various plastics. Under the plan, the facility will supply its output to car models within Volkswagen AG, including Czech Republic's Škoda.
Moldovan Prime Minister Iurie Leancă said that currently, more than 50 percent of the goods manufactured by Moldovan-based firms are intended for export sales to the European Union markets, and that the country's government is aiming to attract major foreign investors to set up new production facilities in Moldova.
"Every investment which is made in the national economy is a catalyst for the creation of new jobs," Leancă was quoted in the statement.
The amount of the planned manufacturing project was not disclosed by SE Bordnetze.
Over the past years, the Japanese firm has been expanding its presence in the region of Eastern Europe, with local subsidiaries established in Poland in 2003, in Bulgaria in 2006, and in Romania in 2010. Moldova is located between Romania and Ukraine.