Japan's Kyocera Corp said it would outsource its cellphone production in North America to Flextronics International Ltd and cut 1,700 jobs at its mobile phone division to turn the loss-making business around. The latest restructuring follows Kyocera's announcement in March that it will quit its struggling digital camera operations this year. Kyocera produces 13 million cellphones a year globally. It will outsource production at US unit Kyocera Wireless Corp, which makes 10 million a year, to Flextronics from late May, the maker of electronic parts and mobile phones said in a statement.

Kyoto-based Kyocera did not disclose details of the deal in the statement, which was released on Thursday, a public holiday in Japan. It also did not specify where the 1,700 jobs would be cut.

Copyright Reuters, 2005