Bad news in Asia has translated into more jobs and production in Costa Rica, as microchip giant Intel Corporation announced plans to transfer some of its Asian manufacturing processes to its facilities in Heredia.
Michael Forrest, general manager for Intel Costa Rica, told the daily La Nación that he expects the transfer of production to proceed gradually over the next year.
“Each product has its own timetable for development (in Costa Rica,)” he said. “ We cannot leave a gap in production to deliver to our customers…”
Plans to close factories in Malaysia and Philippines were announced in January. A press release from the company indicated “current market conditions” pushed Intel to close the sites.
Intel expects the consolidation to affect between 5,000 and 6,000 employees worldwide, some of whom will be offered positions at other facilities.
The company’s shares have dropped 50 percent in value since July of last year and its revenue has sunk by $2 billion since the first quarter of 2008.
The company employs more than 3,000 people in Costa Rica and is responsible for more than a third of the value of the country’s exports.
– Chrissie Long