Chinese electronics manufacturer Skyworth plans to establish a wholly owned factory in Slovakia by the third quarter of 2006, Skyworth Multimedia (Shenzhen) Company Limited president Jin Xiangye told China Business News. Skyworth's new European assembly line will allow the company to reduce production costs and avoid EU export barriers. Skyworth also plans to set up a European sales subsidiary this year but will continue to act primarily as a Original Equipment Manufacturer (OEM) in the European marketplace, the report said.