Luen Thai Holding plans to expand its garment production infrastructure in China in response to the elimination of global textile quotas in January 2005. The company currently makes 25% of its products in China and plans to increase that percentage to 50%.by 2006. Luen Thai officials said that the firm will keep some manufacturing facilities in other countries to offset risks. The firm's main production base is currently located on Saipan, Commonwealth of the Northern Mariana Islands, a location which allows the firm to avoid taxes and import products to the US duty-free.