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By | Joe Fay 4th December 2009 10:56

Dell offloads Polish factory to Taiwanese manufacturer

Yes, the Polish plant they shut Limerick for

Dell is offloading its factory in Poland to Taiwanese knock 'em out giant Foxconn, less than a year after axing most of its Irish workers and shifting their jobs to the East European facility.

Hon Hai Precision, Foxconn's parent, has reportedly agreed to take over the factory in return for around $310m.

A Dell Poland spokesperson told AFP that the deal would make little difference to production at the plant. Dell will continue to source PCs from the place.

The latest deal will raise questions over exactly how committed to European manufacturing Dell is. Its decision to effectively pull out of Ireland with the closure of its Limerick facility caused massive political fallout in the country, which was already grappling with an economic disaster.

Dell was the Republic's biggest manufacturer in Ireland, and the retreat cost the local economy €117m and the government €173m in lost tax and social insurance contributions.

Still, the European Commission handed Dell €54.4m in aid for the Polish plan in September, AFP reports.

And last week, the EU sent €14.8m to Limerick to tide the stricken town over while it copes with the loss of the Dell jobs. ®

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