(Yicai Global) March 24 -- Chinese optical components supplier Crystal-Optech plans to invest USD45 million to build an optical device plant in Vietnam to hedge against global trade friction risks and better serve international customers.

The new plant will focus on the manufacture and processing of optical and optoelectronic components as well as providing solutions for related businesses, the Taizhou-based firm said late yesterday, without giving any further details.

Crystal-Optech also said it plans to set up a wholly owned unit in Singapore to serve as its overseas trading and investment platform.

In addition to avoiding trade risks, construction of the factory in Vietnam can also make full use of local land, labor, and favorable tax policies as well as electronic manufacture infrastructure, the firm added.

Crystal-Optech’s shares [SHE: 002273] finished 1.2 percent higher at CNY13.96 (USD2.03) apiece today.

Crystal-Optech’s optical component products are mainly used in consumer and auto electronics, and its reflective material products are used in road signs. Its leading optical low pass filters, IR cut filters and narrow band pass filters are among the world’s top for production and sales, according to the company’s website.

Editor: Peter Thomas