Park Electrochemical to close plant in China

Park Electrochemical Corp., a Melville-based maker of high-tech materials, said it planned to shutter its manufacturing subsidiary in China.

The company, which makes materials used in circuit boards for the telecommunications and aerospace industries, opened its Nelco Technology unit in Zhuhai about five years ago to serve customers in China. But it determined that it would be more efficient to fill those orders from Park Electrochemical's primary Asian plant in Singapore.

“It was an experiment to see if we could supply the Chinese customers more effectively, and it never really worked,” chief executive Brian E. Shore said.

The company does not expect the closure to disrupt sales, Shore said. It will cost roughly $3.2 million before taxes. The company plans to record about $2.6 million of these charges in the quarter ending next month. It will report the rest during the three subsequent quarters.

Park Electrochemical’s stock was up 7 cents Tuesday morning, to $27.48 per share.