The tightening of environmental protection regulations and the instability of the environment have made the industry turbulent in the near future. There are many opinions on overseas orders, relocations, and returning to Taiwan. Indeed, many companies have begun to evaluate the production environment outside the mainland and indirectly stimulate Southeast Asia. Production demand has increased, while Taiding-KY and Jingguo, both of which have production bases in Thailand, have also expanded their yards, in addition to the high growth of automotive electronics, and to further expand production advantages.
Taiding’s shipments are mainly based on consumer electronics products, and many of the products have won the first place in the global market, while optimistic about hard boards, multi-layer boards and other boards have great business opportunities, such as home appliances, base stations, and vehicles. For applications such as electronics and cloud medical treatment, these products that cannot be reduced in size still have to rely on hard-board support. In addition, it is expected that a large part of the revenue will come from the automotive field in the future. Therefore, 5 years of betting will be implemented for 4 years from next year. The expansion plan includes the establishment of laboratories, equipment renovation, production optimization and so on.
Taiding said that after the company paid a large amount of failure costs on the auto board, the quality gradually increased and the orders came along. The new orders were expected to be earlier than expected, driving the third quarter results to rewrite the historical highs. The development of multiple applications of laminates and trade wars have boosted production demand and inquiries in Southeast Asia, and are not pessimistic about the operation of next year.
In the third quarter of this year, Jingguo was better than the same period of last year. Recently, the company also announced that it has added 100 million yuan to the Thai factory in Thailand, and strived to accelerate the profit of the plant. Jingguo said that the Thailand plant with a complete investment in the Thai automobile supply chain is currently about 60%, but it must be increased to at least 70% to be flat. Therefore, the property and price of the order must be evaluated more carefully.
Jingguo pointed out that the technical threshold of the vehicle board is high, but as long as it is done, it means that the entire factory area has met the production specifications of the vehicle field. It is relatively easy to enter other automobile supply chains at that time, although there are continuous intensive contacts with other car factories. However, the goal is still to first increase the number of certified German auto panels last year. According to the legal person’s observation, as the orders from the Thai factory gradually improve and the orders at the end of the year are increased, and the exchange gains are added, the follow-up operations are expected to be bullish.