① Eton Electronics plans to invest no more than 100 million US dollars to build a new PCB production base in Thailand. Since May, listed companies such as World Transport Circuit, Shenghong Technology, and Junya Technology have officially announced investments in Southeast Asia. ② PCB companies hope to meet customer needs through foreign investment; build a diversified industrial layout to diversify market risks, obtain more overseas orders, etc.
Financial Services Association, May 30 (Reporter Lu Tingting) At a time when many printed circuit board (PCB) manufacturers are announcing the progress of overseas base construction in Thailand, Vietnam, etc., some industry companies are officially announcing “going overseas” today.
Eton Electronics announced in the evening that it plans to jointly invest with its wholly-owned subsidiary Eton Hong Kong to establish a new company and invest in a new PCB production base in Thailand. The base will be built in stages according to specific conditions such as market demand and business progress.
The planned investment amount for the above project is no more than 100 million US dollars, including but not limited to matters related to setting up a company, purchasing land, and purchasing fixed assets in Thailand. The actual investment amount is subject to the amount approved by Chinese and local authorities.
Under the influence of changes in the global trade environment and demand for overseas orders, the PCB industry is experiencing a boom in investment in Southeast Asia. Previously, manufacturers such as Sihui Fuji (300852.SZ), Aoho Electronics (605058.SH), Nanya New Materials (688519.SH), Honkawa Intelligence (300964.SZ), and Shengyi Technology (600183.SH) have announced the establishment of factories in Southeast Asia.
According to incomplete statistics from the Financial Federation reporter, since May, listed companies such as World Transport Circuit (603920.SH), Shenghong Technology (300476.SZ), and Junya Technology (603386.SH) have followed suit one after another, and production capacity has been implemented in Thailand, Vietnam, etc.
According to information, Southeast Asian countries have taken on a large number of printed circuit board production capacity transfers in recent years, with cost advantages in terms of manpower, land, factories, taxes, etc., and relatively complete electronics industry chain support. PCB industry companies hope to better provide products and services to existing and potential large customers through foreign investment, and at the same time build a diversified industrial layout to diversify market risks and obtain more overseas orders to support long-term development.
Eton Electronics said that after the construction of the Thai production base project is completed, it will further optimize the company's business layout, expand business development space, and effectively enhance the company's market competitiveness, overseas market share, and the company's overall resilience to risks.
Shiyun Circuit said that investing in a new factory in Thailand can better develop and meet the needs of overseas customers, further expand the company's international business, effectively enhance the company's size, industry competitiveness, overseas market share, and the company's overall resilience to risks, which is in line with the company's strategic plan.
Shenghong Technology and Junya Technology plan to invest in a PCB production base in Vietnam. The planned investment amount is no more than 260 million US dollars and no more than 300 million yuan, respectively. Referring to the purpose of foreign investment, the two companies said that in order to meet the diverse needs of overseas customers, it will help the company to respond more flexibly to macroeconomic environmental fluctuations, industrial policy adjustments, and reduce the potential adverse effects that changes in the international trade pattern may have on the company.
Despite some production shifts, China has maintained its position as the leading manufacturing center in the industry. Prismark predicts that the compound growth rate of China's PCB output value will be about 4.1% from 2023 to 2028, and China's PCB output value is expected to reach about 46.180 billion US dollars by 2028.