Inventec will establish a new PC manufacturing base in the Xiyoung Microelectronic Industrial Park in Chongqing, China with an annual capacity of over four million units, 20% of which will cater to orders from Hewlett-Packard (HP), according to a Chinese-language Commercial Times report cited the sources at the park.

Funding for the new plant is expected to be secured in the first half of 2009 and construction will start in the second half, noted the paper, adding that Inventec declined to comment.