IPOH: Mabuchi Motor (Malaysia) Sdn Bhd, an electronics company with about 1,000 workers, has decided to cease its business after operating for 16 years.
A press statement issued by Mabuchi Motors media consultant MDK Consultants (M) Sdn Bhd said the company had to close down its manufacturing plant in Kanthan Industrial Estate in Chemor with effect from yesterday.
Greater market competition, customers moving operations to other markets, decreasing orders and falling prices were cited as among the reasons for the plant to be wound up.
The statement added that Mabuchi Motor, which manufactured small motors for the electronics industry, would advise its customers and suppliers to source their supply from other Mabuchi Motor plants in Asia.
The company said compensation packages would be offered to its 1,000-odd staff.
About 700 of the companys workers are locals while the remaining 300 are foreigners, mostly Indonesians.