MORRILTON, Ark. — Vinh Long, a Vietnam-based supplier of storage furniture and kitchen cabinets to Ikea, announced it will invest in the first Vietnamese-owned manufacturing plant in the U.S.

The plant will produce particleboard furniture – an entirely new segment for Vinh Long, who is primarily a manufacturer of woven furniture.

In 2013, the state of Arkansas announced that Vinh Long would invest $5 million in a new facility at a former Bosch site in Morrilton. The original plans to open in 2014 saw significant delays, but now the investment has increased to $15 million.

The Vietnamese company will employ 75 at the nearly 200,000-square-foot facility. After Vinh Long fills the 75 positions, the state has promised to deliver an incentive package, reported Arkansas Online.

Arkansas Business has reported that the plant will manufacture products for Ikea and other retails customers in North America.

Vietnam’s ambassador to the U.S., Nguyen Quoc Cuong, appeared with Vinh Long Chairwoman Phan Thi My Hanh and Arkansas Governor Mike Beebe in the announcement.

Hanh says her company sees "great potential for wood-based products manufactured in Arkansas," thanks to a sustainable supply of raw materials and local support.

The former Bosch site has been vacant since the company moved production to Mexico in 2012. 

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