NEC Corp is considering setting up a joint venture in China to produce mobile phones for the domestic market, according to a company official.
A possible site for the venture is Wuhan, in Hubei province, where NEC's optical fibre production unit is located, the official said. Other details have not been finalised, she said.
China's mobile phone market, dominated by the US-based Motorola Inc, is forecast to grow to one million units in the business year to March 1995.
Other Japanese telecommunications equipment companies including Fujitsu, Hitachi and Oki Electric say they are investigating making mobile phones in China.
Hitachi is selling its mobile phones in China through technical transfers to its Chinese telecommunications partner, a Hitachi spokesman said.
Meanwhile, Xinhua (the New China News Agency) reports that a high-capacity, mobile-phone exchange, the EMX 2500 - supplied by Motorola - has gone into service in Shanghai.
