Thai flooding closes 2 electronics plants

2013-10-09 15:52
Gallery  |  click on thumbnail to view larger image

Typhoon Utor wreaks havoc in Asia

A powerful typhoon is sweeping across parts of Asia, causing landslides and floods. See all the pictures.

Bangkok - Flooding at an industrial estate east of the Thai capital has forced the closure of 2 foreign-owned factories producing electronic spare parts, but the estate's operator said other plants there had no plans to halt operations.

Thailand is the world's largest producer of hard-disk drives and a big supplier of electronic components and car parts, and devastating floods in 2011 hit some of the world's biggest manufacturers, delaying shipments and disrupting supply chains.

On Wednesday, Thailand's biggest industrial estate developer, Amata Corporation, said two factories owned by foreign companies at its industrial park in Chonburi, 114km east of Bangkok, had temporarily shut.

"The factories notified us that they will suspend operations for two days because some workers are finding it difficult to travel to work," said Executive Director Wibun Krommadit, but he declined to identify the companies.

"No other factories have notified us of plans to close."

The estate was pumping flood water out of the margins of its premises and would be dry within a day's time, he added.

Amata Nakorn estate, spread over 3 020ha is home to companies producing parts for Japanese automakers. Nearly half the factories there hail from Japan.

Floods this year have hit 28 out of 77 Thai provinces and 36 people have been killed, disaster prevention officials say. More than 3 million people have been affected by flooding since July.

Limited impact

By contrast, more than 800 people were killed in the floods of 2011, which caused huge disruptions to industry, cutting economic growth that year to just 0.1 %.

Authorities say flood waters this year are moving in a direction different from that of 2011, when they flowed towards Bangkok from the north.

Runoff from the north was heading towards eastern provinces and could affect some industrial parks there, said Irrigation Department chief Lertwirot Kowatthana. "There might be some impact, but we believe it will be very limited," he added.

The 2011 floods swamped seven industrial estates in Thailand's central region, but many of the estates affected then say they are now better equipped to handle flooding.

"We have built a 5m high flood barrier as a precaution and can add an extra 1m to the barrier if needed. In 2011 flood water reached 4.3m at our estate but we're not expecting anything near that," Sujin Wassanit, a senior manager of Bangkadi Industrial Park, told Reuters.

The park is home to Toshiba Corp's main production centre in Southeast Asia, and factories there make home appliances, semiconductors and lighting products.

In 2011 Toshiba had to halt production at nine plants at the Bangkadi Industrial Park and another at the Nava Nakorn estate, both in Pathum Thani province north of Bangkok.

Since the 2011 floods Prime Minister Yingluck Shinawatra's government has kicked off an $11bn effort to stiffen flood defences but the project has hit legal roadblocks.

Read more on:    thailand  |  floods

Join the conversation!

24.com encourages commentary submitted via MyNews24. Contributions of 200 words or more will be considered for publication.

We reserve editorial discretion to decide what will be published.
Read our comments policy for guidelines on contributions.

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
1 comment
Comments have been closed for this article.

Inside News24

 
/News

Book flights

Compare, Book, Fly

Traffic Alerts
Traffic
There are new stories on the homepage. Click here to see them.
 
English
Afrikaans
isiZulu

Hello 

Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.


Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Settings

Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.




Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.