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(Nikkei BP Group)

(No.1 High-Tech News Site in Japanese)

  • Taiwan's CD-ROM Drive Makers Move Production to China
  • October 9, 1998 (TAIPEI) -- As prices of CD-ROM drives continue to decline, several Taiwan-based makers have begun shifting production lines to China, while keeping their research and development centers at home.
    Among those companies are Lite-on Technology Corp., Pan International Industrial Corp. and Behavior Tech Computer Corp. They hope to lower production costs by making more devices in China.

    Lite-on Technology's Taiwan factories produce 120,000 CD-ROM drives a month. The company plans to scale down its local output from the end of 1998 to early 1999, and turn its operations in Taiwan into a base for design work and trial production.

    Lite-on Technology was the first Taiwan CD-ROM drive maker to set up plants in China. Its factory in Dongguan, Guangdong province, started production in September 1997, and its monthly output is 650,000 units.

    Pan International's factory began operating in May, with more than 1,000 employees. Also, the company intends to shift its production base to China, leaving only one or two lines in Taiwan for trial manufacturing. Under Pan International's restructuring plan, its monthly output is expected to surpass 1 million units from October.

    Behavior Tech Computer operates a factory in Shenzhen. Its monthly production is as high as 100,000 units. The company said it will increase output in the coming years.

    (Commercial Times, Taiwan)

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    Updated: Thu Oct 8 14:46:07 1998 PDT