Compal Electronics and Wistron have accepted an invitation from Acer to set up production bases in Chongqing, western China, to support Acer's operational headquarters there, according to a source inside Acer.

Acer's headquarters in Chongqing will start operations in the second or third quarter of 2011 and are expected to handle half of Acer's PC shipments in 2012, which is about 30 million units, the source said.

With Compal and Wistron near by, it will help Acer secure a supply chain. Furthermore, Acer is reportedly in talks with OEMs such as Pegatron Technology and Elitegroup Computer Systems (ECS).

Acer's headquarters in Chongqing will not only supply demand from China, but will also ship to EMEA markets.