Q COSTARICA — Intel announced last week the closure of its microprocessor assembly and testing plant in Costa Rica to relocate operations to Asia in pursuit of “greater efficiency” and competitiveness.
“After a thorough review of our business, today we are announcing changes that will drive greater efficiency and utilization within our global manufacturing network. This includes the phasing out and closure of Intel’s Assembly and Test Plant (ATM) in Costa Rica to consolidate operations in Malaysia and Vietnam over the coming months,” the company said.
Intel, one of Costa Rica’s leading exporters, added that “these actions are necessary to remain competitive in a dynamic industry.”
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The plant closure is part of a global restructuring the company is undertaking, which includes staff reductions.
Back in 2014, Inted had closed its manufacturing operation in Costa to make way for a transformation of the operation toward more research and development efforts.
However, the manufacturing plant was reactivated six years later.
In Costa Rica, Intel manufactures key products such as the Intel 3, Intel 7, and Intel 18A, which it exports to more than 100 customers in 44 countries.
The company stated that Costa Rica “continues to be a key part of global operations” with Intel Products (Engineering) and Intel Corporate (Global Services) operations, which employ 2,000 people.
The Research and Development Center carries out design, prototyping, testing, and validation of integrated circuit and platform solutions; while the Global Services Center designs, executes, transforms, and innovates global business processes in the areas of finance, human resources, sales, marketing, and the supply chain.
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“For nearly three decades, Intel has been innovating and investing in Costa Rica, and this legacy will continue,” the company stated.
Qorvo closes operations in Costa Rica after 29 years
In an unrelated action, and what we can hope is not the start of a trend, Qorvo, an American company specializing in semiconductors and radio frequency (RF) solutions with over 29 years of experience in the country, has officially announced the closure of its operations in Costa Rica.
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Qorvo employs approximately 300 people and has been located in the Metropolitan Free Trade Zone in Barreal de Heredia since 1996.
“Intel’s decision, as well as Qorvo’s announcement, should be seen as a warning that reflects the serious challenges facing the country’s competitiveness, and that jeopardizes investment, the creation of quality jobs, and economic growth,” said Ronald Lachner, president of the Free Trade Zone Association.
Qorvo currently maintains a global presence in North America, Asia, and Europe, where it has engineering, manufacturing, support, and distribution centers.
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