Owner Steve Merrett has denied claims that he plans to close his operation at South Ulladulla where solar panels and pool heating electronic components are assembled for export.

“We will not be closing down,” he said.

“We are moving our plastics factory from China to Thailand.”

Mr Merrett has been working closely with Thai company JD Pools and said it makes sense to operate the Asian plant from Phuket.

“We are currently exporting components from Ulladulla to China, then to Thailand.

“By operating out of Thailand and exporting products back into Australia, we’ll benefit from the free trade agreement with that country.”

Mr Merrett has been operating his business out of Ulladulla for more than 20 years and travels to Asia about every six weeks.

“We export pools all over the world, to Sweden, Germany and a lot to Asia.

“The demand for pools in countries like Thailand is growing fast,” he said.

The company employs 20 people at its Ulladulla factory and Mr Merrett said the move would have a flow-on effect for the local area as pool sales increase globally.

He said the restructure would save on import taxes as well as manufacturing, transport and wage costs.

Claims in Thai newspapers that the entire Australian company would be closed down and moved to Thailand within two years were incorrect, Mr Merrett said.

“I think it may have been some confusion with the interpreter,” he explained.