November 07, 2025 /SemiMedia/ — Japan’s Kaga Electronics will add a third contract manufacturing plant in Thailand to handle growing PCB assembly demand driven by production shifts out of China.

Kaga will invest several billion yen and expects the 4,400 square meter line to start production this year, lifting its Thai capacity by about 30%. The company already operates two plants in an industrial park near Bangkok, assembling boards for air conditioners, office equipment and vehicle systems for Japanese customers.

The new site will also assemble energy-storage system modules for a Chinese customer that has moved capacity to Thailand. Kaga plans to make Thailand an anchor for automation transfer to other Southeast Asian sites including Malaysia and Vietnam.