Xinxiang, Henan – Chinese refrigerator maker Frestec resumed production in late August at its plant in Xinxiang, Henan. After experiencing financial difficulties, it was sold to the Chinese home appliance and electronics maker Konka in June.
According to Konka’s website, the Frestec brand will be kept, and former Konka white goods unit director Zhang Zhongjun has been appointed the acquired company's new chairman.
Konka plans to revive 21 mid-to-higher-end Frestec refrigerator and freezer models, and fully resume business operation in September. It intends to invest more than CNY 100m ($15m) over the next three years on research and development to create a portfolio featuring smart and connected products.
Konka also aims to spend at least CNY 500m on facility upgrades and new projects over the next three years. The aim is to transform the factories into smart plants capable of flexible manufacturing. They will have 2,800 employees.
The productivity of Frestec’s flex-door wind-cooling refrigerator lines will be raised by 200% as of 2019. This will bring Frestec plants’ total capacity to more than 4m unit/year by 2020, according to Konka’s website.
Currency Conversion: XE.com
