Coretronics makes backlight modules used in Apple iPad said it was closing its Nanjing factories due to sluggish global demand for tablets.
Global shipments for monitors, notebooks and tablets are projected to drop an average 10 percent on year respectively in 2015. Overall demand is likely to remain stagnant because various applications markets are becoming saturated.
Coretronics spokeswoman Cindy Wen declined to say which products are produced at the Nanjing plant, or give details about its size. She said
Coretronics’ six other panel plants in China are still in operation.
Coretronics plants in Nanjing and Guangzhou in southern China are listed under Apple’s 2015 supplier list.
“Since last year the growth of tablet sales has become worse than previous years, and the market demand has been declining for several quarters,” Wen said.
“We might make some further adjustments in our production capacity in the future, but at the moment we do not have plans to close down more factories,” she added.