Haier Group, China's top home appliance manufacturer, has agreed to buy a Thai refrigerator plant run by Japan's Sanyo Electric Co, according to sources.

One of the sources said that after the deal, Sanyo will withdraw from refrigerator manufacturing and Haier will produce refrigerators for Sanyo.

Haier expects to expand its market share in Southeast Asia through the Thai plant.

The plant has a production capacity of one million refrigerators per year.