As the electronics sector continues to suffer a shortage in demand, Korean-Japanese venture Daidong Slovakia is now also leaving Slovakia, having originally come here to supply plastic TV moulds for the former Sony plant in Nitra.
Sony packed up back in 2010 due to falling demand, with the plant being taken over by one of its suppliers, the company Foxconn, which had big plans for the plant, including expansion announced at the beginning of last year.
The market turned, though, and Foxconn itself released around 500 workers in January 2012, putting Diadong’s fate also in the balance, especially as the plastic boxes are now being replaced by metal and glass ones.
The electronics sector is a key industry in Slovakia, second only to the automotive sector, and other electronic companies have been saved only by government stimuli, like Samsung, which threatened to pull out of the country until it got an additional EUR 28 million investment incentive, or AU Optronics, which shifted part of production to Trencin from Brno in order to meet the conditions to receive EUR 38 million in state assistance, although it denies that as its motive.
Yesterday the outgoing cabinet of PM Radicova decided that the new investment stimuli for Samsung would be up to the government that comes out of the premature elections tomorrow.
Well Huh …???
Slovakia is nothing like the USA . America is the richest country in the world! The Government bailout in the USA was to save working mans jobs ( not the company executives or shareholder , that was a side effect !) of those in a living area, where other employment was almost impossible and other knock on jobs and other suppliers and business would have been badly effected or killed a town or even a city . It was only needed because the greed of others that caused a sudden reduced need in a once national product .
But the cause was the greedy banks and financial institutions that were not properly regulated, or controlled by the Bush Administration .
The `incentives stimuli ` in Slovakia were first motivated to be given, to bring new jobs to a poor country and people , often in area`s with high unemployment and to give hope of a better way of life, after the fall of the Russian masters . It was not a bailout , but a bail in, then and now.
Dear lady, I suggest you put your long red neck back in it`s tortoise shell .
Slovakia is sounding more like USA. Government bailouts.The “isms” are all over the world.