Hawthorne, CA-based OSI Systems, Inc., a vertically integrated provider of specialized electronic products, has expanded operations into China with the opening of a new healthcare manufacturing facility in Suzhou.

The facility, located 50 miles east of Shanghai, contains approximately

55,000 square feet of space for manufacturing by Spacelabs Healthcare, a provider of medical equipment and services such as patient monitoring and connectivity, anesthesia delivery and ventilation, diagnostic cardiology and supplies and accessories for hospitals, clinics and physician offices. (The division also provides centralized cardiac safety and diagnostic services to biopharmaceutical companies undertaking clinical trials.)

OSI's healthcare division, Spacelabs Healthcare, initially will focus on developing and manufacturing products for the emerging markets while operating within the company's global supply chain.

"This world-class manufacturing facility complements our global manufacturing strategy and underscores our commitment to the emerging markets," said Deepak Chopra, CEO of OSI Systems. "By expanding our presence in the Asia Pacific region, we are able to provide our range of products at competitive prices improving our competitiveness globally. Additionally, the facility will play an integral role in our global supply chain expanding our range of suppliers and lowering our component costs for our entire product range." Chopra added that he expects the new facility to positively impact OSI's gross margins over the next fiscal year.

Along with healthcare, OSI Systems sells products to markets including homeland security, defense and aerospace.