BERLIN China's Lenovo Group has formalized plans to set up a PC factory in Poland with an annual production capacity of 1.7 million units, according to Paiz, the state investment promotion agency.
The factory, for desktop PCs, along with and an order processing center, will be constructed in the Legnica Special Economic Zone near Wroclaw and is expected to employ 1300, the agency reports.
Production is slated for December. The Polish factory will be Lenovo's first European manufacturing site.
Lenovo officials had initially announced the project late last year, stating the investment would be $20M.
Lenovo follows Dell Computer to Poland. Dell manufactures notebook PCs in Lodz and recently announced it would double capacity and add more than 1000 employees.
Last month, Hewlett Packard Poland told EETimes that although it currently has no concrete plans to set up a PC factory in Poland, it is keeping an eye on competitors' operations and would not rule out manufacturing.
PC sales to Eastern Europe continue to increase. Despite economic conditions, overall EMEA PC market growth is expected to reach 20% in 2008 in unit terms, according to research firm IDC.
HP is the leading vendor in the region, IDC reports.
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