Ease The Pressure Of Production Line

- Nov 03, 2018-

In order to cope with the strong market demand and the increasingly strict environmental protection policies of the mainland, along with the new technologies of 5G communication, netcom and automotive electronics in the future, many large manufacturers are actively expanding their factories. However, some manufacturers are expected to move their production lines back to Taiwan to relieve the pressure.

Taijun technology (6269) has announced a land purchase agreement with the kaohsiung municipal government to set up a 5G intelligent communication business operation center with a cost of 10 billion yuan, hoping that the company will fully cooperate with the application development of 5G in the next generation.Chairman zheng mingzhi said the planned land purchase and construction project is expected to create 2,500 jobs and more than double the company's capacity.At present, it is estimated that the construction and production of the plant will be carried out in two phases. After the signing of the first phase, the construction will start after the completion of the first phase, and the trial production and production will be completed after the first year, which can also provide great development momentum for 5G multi-application next year.

Yijia (2402) has been ordered to stop and rectification due to excessive discharge of waste water in suzhou factory. Although it has returned to work smoothly, it has also severely reduced its operating performance in June and July, thus prompting company executives to start thinking about whether the production area is overly concentrated in suzhou.The company has said it will invest about $1 million in the third quarter to increase its wet process capacity at Taiwan's linkou plant in order to spread the risk. Production is expected to start in the fourth quarter, making up for lost production at the suzhou plant and meeting new customers' shipment demand.

In order to reduce the impact of environmental policies in mainland China, we are expanding our new plant in Taipei. It is expected to cooperate with apple LCD in September.The company pointed out that although factories in mainland China cannot be easily abandoned, at least Taiwan's environmental policy will not be unlimited, so it currently plans to have Taipei plant in charge of higher-technology, environment-related front-end processes, while kunshan plant and suzhou plant in charge of middle-end processes that do not need to discharge waste water.

More industry further pointed out that Taiwan environmental protection bureau will also come to inspect, but at least the regulations are clear and applicable, while the mainland is ruled by human society, and many regulations are not only stricter than Taiwan, but also begin to have doubts about whether the regulations are reasonable. Therefore, some manufacturers begin to think that returning to Taiwan is a long-term security measure.