Japanese electronics concern plans to close a battery production plant in Hungary this year, leading to 640 job losses, the Budapest daily Nepszabadsag reported Saturday.

The paper, citing officials in the management of the Hungarian subsidiary of Sanyo, said the plant closure would take place at the city of Dorog, 30 kilometres north of Budapest.

While 640 workers would be dismissed, some 200 would be provided jobs in a Sanyo solar cell plant also located in Dorog, with production capacity there to be expanded, the report said.