Meiko Electronic, a prominent Japanese company, has established a strong presence in Vietnam since its entry in 2006. With a recent addition of a new factory in Hoa Binh province in April, the company now boasts four manufacturing and assembly plants in the country.
Meiko’s initial three factories involved a total investment of $500 million and created approximately 7,000 jobs for local workers. Their latest project, situated on a vast 9.2-hectare site, has an initial investment of $200 million for the first factory, with plans to increase it to $500 million for the second. If realized, Meiko’s total investment in Vietnam will reach a remarkable $1 billion.
Notably, Meiko is committed to employing modern and environmentally friendly technologies in this new project. The factory will specialize in producing electronic circuits for electronics, home appliances, and processing chips, among other things. With an expected workforce of over 3,000 people, the project will significantly contribute to the province of Hoa Binh’s budget.
Inauguration of Meiko Electronic’s factory project in Hoa Binh (Photo: Meiko Vietnam)
Meiko Electronics is a well-established Japanese company founded in 1975, headquartered in Kanagwa prefecture. They specialize in designing, manufacturing, and marketing electronic circuit boards (PCB) and related imaging equipment.
Currently, the company employs nearly 13,000 people across its factories in Japan, China, and Vietnam, with only about 700 staff members working at the parent company.
Headquarters of Meiko Electronics in Japan (Photo: Meiko)
In 2001, Meiko initiated its expansion beyond Japan by constructing its first overseas factory in Guangzhou, China. Just three years later, they inaugurated their second factory in the same province, paving the way for their future growth with additional factories.
Meiko officially entered Vietnam in late 2006 by establishing Meiko Vietnam Electronics Co., Ltd., with its first factory located in the Thach That Industrial Park. This was one of the largest foreign-invested projects in Vietnam at that time and a leading electronics manufacturing venture, providing a significant number of jobs for local workers.
Meiko Electronics Factory in Thach That, Vietnam (Photo: NSN)
Meiko’s business performance has been on an upward trajectory in recent years, particularly during 2022-2023, due to the increased demand for circuit boards.
The company’s revenue reached JPY 151 billion and JPY 167 billion (equivalent to $1 billion and $1.14 billion, respectively), marking a 27% and 40% increase compared to 2021. Their profit margins also showed a positive trend, with JPY 11.4 billion and JPY 8.8 billion (equivalent to $78 million and $60 million) in profits.
Notably, Meiko’s investment in research and development (R&D) has been steadily increasing over the years, reaching nearly JPY 4.5 billion in 2023. This indicates their commitment not just to expansion but also to process and product innovation to meet their partners’ evolving needs.
As a result, the company has set ambitious goals for itself, aiming to achieve JPY 270 billion (approximately $1.85 billion) in revenue by 2026, with an 11% profit margin, which would be a significant improvement over their 2023 performance.
Meiko Electronics’ Financial Performance Over the Years (Photo: Meiko)
Meiko’s factories have made significant contributions to Vietnam’s development, especially in the electronics manufacturing sector, over the years. With Vietnam’s focus on promoting high-tech industries, Meiko’s investment in the Hoa Binh factory aligns with the country’s vision to participate more actively in the global supply chain.
