Market Chatter: Canon to Close Printer Plant in Philippines as Demand Weakens
Canon (TYO:7751) will shut its laser printer factory in the Philippines in June as declining global demand for office printers weighs on the business, Nikkei reported Tuesday.The plant near Manila, operational since 2013, employs about 1,400 people. Canon said workers affected by the closure will receive compensation and support for re-employment, according to the report.The move will end Canon's manufacturing presence in the Philippines. The company said it does not plan to transfer the factory's production elsewhere, citing limited prospects for recovery in the laser printer market, the report said.Canon has been streamlining printer operations as paperless work trends accelerate and competition from Chinese manufacturers grows. The company closed a printer facility in China last year as part of the restructuring, according to the report.In its current business plan, Canon said it aims to consolidate overseas printer production sites by 2028, including reducing workforce levels and factory space, the report said.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
