Lerado Group is expanding its product range after signing a co-operative venture with Step 2, a United States-based manufacturer of plastic children's products.
According to Lerado chairman Huang Ying-Yuan, the venture could turn over $5 million next year.
Under the agreement, Step 2 will transfer technical expertise and moulds to enable Lerado to manufacture plastic children's products using the Step 2 brand.
The contract extends three years and covers products exported to places other than the US, Europe, South Korea and Japan, according to Lerado vice-chairman Kent Tsang Yat-kiang.
The first six lines of the Shanghai-produced products will be sold early next year.
'We want to line up with a company which focuses on quality and service and simulates technology [in] baby-products,' Step 2 president Thomas Murdough said.