OSAKA -- Sanyo Electric Co. will sell technology and equipment for manufacturing microwave oven parts to a Chinese home appliance maker, Sanyo officials said Thursday.
The plan emerged after Sanyo reorganized its loss-making operations, including home appliances such as microwaves and washing machines.
The Osaka-based home appliance maker will sell to GD Midea Holding Co., based in Guangdong Province, the assets to make microwave oven components.
Sanyo produces the parts at a factory in Hyogo Prefecture, near Osaka, but will outsource manufacturing after the deal, the officials said.
It suspended manufacture of microwaves for the European market at a British factory and reached an agreement with Sharp Corp. in July for the latter to supply microwaves to Sanyo for Europe.