Click for
Round-up Report
March 2005
Derun partners with Tyco on electronic connector production(Mar 26, 2005)
Shenzhen Derun Electronics Co.(Shenzhen, Guangdong), one of major electronic connector manufacturer in China, recently signed an agreement with Tyco Electronics on building a production base of high-end electronic connectors for home appliance and telecom products.
Based on this agreement, Derun will be authorized to make Tyco brand products or act as an agent of Tyco with technical supports from Tyco.
China’s market demand for electronic connectors was about US$10bn, with an annual growth of 20% in recent years. This production base is expected to make over US$120 million annual sales revenue in two years.
Siemens and Huawei work together on 3G(Mar 26, 2005)
Germany based Siemens AG and China’s Huawei Technology (Shenzhen, Guangdong) started a joint venture to develop products based on China’s 3G technical standard TD_SCDMA. The JV plans to launch commercial products in the second half of this year and will first focus on developing low-cost solutions to enhance the competitive edge of TD-SCDMA.
Siemens has 51% ownership of this joint venture while Huawei take the rest shares. This JV was registered in Hong Kong and named as TD Tech Ltd.
Chinese government may issue 3G license this year, which will be based on the technology maturity of TD-SCDMA. Similar cooperators between Chinese local companies and international players to enhance the development of TD-SCDMA products include France's Alcatel and China’s Datang(Beijing), Canada’s Nortel Network and China’s Putian(Beijing).
New environmental regulation attracts IGBT vendors(Mar 26, 2005)
The global leading power semiconductor component manufacturer Semikron decided to establish an IGBT (Insulated Gate Bipolar Transistor) power module production line in the Nanfang Software Park of Zhuhai, Guangdong province.
The investment will be US$13.2 million and this project is expected to serve the global market and China’s domestic market. As the first developer of power modules, this company owned 34% of the European market.
Chinese environmental authorities promote energy-conserved products and set deadlines for air conditioners, refrigerators and elevator products to meet power-reduced consumption requirement. This has generated billion dollars power component market demand.
Semikron entered into China’s market in 1997 and set up branches and offices in Qingdao, Beijing, Shanghai and Shenzhen.
Skyworth to open 6-inch fab in Shenzhen(Mar 19, 2005)
Skyworth Group (Shenzhen, Guangdong) is to invest US$29 million as the first phrase investment to open a 6-inch fab in Shenzhen, Guangdong province. This is the first 6-inch fab in southern China.
The newly build 6-inch fab will make power semiconductors which will be applied in LED, battery charger and home appliance products.
This project has gained supports from Shenzhen government in terms of land and loan. This fab is expected to run into operation in the second half of 2006 with expected capacity of 480000 wafers per year.
Siemens starts new factor in Tianjin(Mar 19, 2005)
Siemens(China) recently announced to invest US$67 million to build a new electric factor in Tianjin Hi-tech Industry Zone, north of China.
This new facility will serve as an importance base for automation and driving products in Southeast Asia and will improve Siemens’ local supply efficiency based on the market needs.
The factory will covers an area of 176,000 square meters and the first phrase construction is expected to be completed in 2007.
China Unicom wins Macao CDMA contract(Mar 19, 2005)
China Unicom won a CDMA service license bidding in Macao after beating the other four rivals, including Macao's leading telecommunications provider Companhia de Telecomunicacoes de Macao (CTM) as well as SmarTone, Kong Seng Paging Co. Ltd. and Vodatel Holding Ltd.
This successful bid enables China Unicom to operate CDMA service in Macao with a 10-year term.
China Unicom will offer Macao citizens CDMA rambling and value-added services when they travel to China's mainland. The company will launch the service prior to the opening of the 4th East Asian Games in Macao by the end of October in 2005.
China’s semiconductor sector to grow in 2005(Mar 12, 2005)
China’s semiconductor industry will grow continuously in 2005 at a speed of 30 percent, stated Zhongyu Yu, president of China Semiconductor Industry Association, at a recent semiconductor market conferment in Shanghai.
Driven by the relocation of international semiconductor manufacturing facilities to China and China’s big market demand, in 2004, China managed a total of US$6.6bn sales revenue in its semiconductor industry.
Industrial analysts expect that big market demand can be seen on the development of 3C integration, digital TV products, mobile communications and automobile electronics products. All above will be an impetus for the continuous growth of China’s semiconductor sector.
Nokia to build software park in Zhejiang province(Mar 12, 2005)
Nokia is to build a software park in Zhejiang province, east China, which represents an important investment trend of the company in China in 2005. This software park was regarded as an extension of Nokia’s Hangzhou R&D center.
Nokia expects that this software park can serve both Chinese and global market through generating an industrial chain of mobile communication software.
The park will be in operation in the first half of 2005. This is the second park built by Nokia. The first one was the Xingwang(international) Industrial Park in Beijing which focuses on manufacturing of mobile communication terminals and equipment.
Agilent to set up R&D center in Shanghai (Mar 12, 2005)
Agilent Technology recently announced to set up a semiconductor test solution center in Shanghai.
This center will cover the company’s five major business scopes including telecom system, automation system, testing and measuring, semiconductor project, and biological science and chemical analysis. The new product developed will suit to the demands of Chinese market.
At the same time, Agilent will launch the Agilent Semiconductor Test College and Agilent-Cup Semiconductor Manufacturing Technology Thesis Competition to train Chinese engineers.
China’s R&D costs hit high in 2004(Mar 4, 2005)
China’s research and development (R&D) cost hit US$22.3bn in 2004, up 19.7% YOY, in all industry sectors, based on a report from the National Bureau of Statistics.
Among the cost, US$1.2bn was used in basic scientific research and involved up to 27.2 million professional from state-owned research institutions and companies. In 2004, China has set up 10 new national research centers and rebuilt 40 national key labs.
This cost accounted for 1.35% of China’s 2004 GDP. Up to now, China has 18,983 product inspection labs, among which 263 are state inspection centers, according to the report.
Huawei becomes a new telecom equipment market leader (Mar 4, 2005)
China’s leading telecom player Huawei Technology (Shenzhen, Guangdong) was ranked as one of the top leader in the global market for telecom equipment, by Heavy Reading, the market research division of Light Reading Inc.
According to the study, Huawei has made remarkable and probably most important development in the wireline telecom equipment industry. What makes Huawei's ascendancy even more astounding is the fact that the company still has only a minimal presence in the North American market.
Heavy Reading's 2005 Wireline Telecom Equipment Market Perception Study covers 140 vendors, including 61 public companies and 79 private companies worldwide. The study was based on five leadership criteria: Name recognition, price, product performance, product quality and reliability, and service and support.
Nortel launches supply chain center in Shanghai (Mar 4, 2005)
The global top leading company Nortel recently opened a supply chain center in Shanghai to enhance customer value. This is the first step in Nortel’s strategy to create the industry’s leading supply chain.
"This is another important step forward in Nortel's continued focus on optimizing global supply chain resources and investments to strengthen its competitive advantage while enhancing value for customers around the world," said Sue Spradley, president, Global Operations, Nortel. "With establishment of the Shanghai Supply Chain Center, we are applying 'best-in-class' manufacturing capabilities in the region with close supplier collaboration to ignite and power global commerce."
The Shanghai Supply Chain Center will be focused on managing these objectives with Nortel's fast-growing base of suppliers in Asia. Similar launches are being planned in India, North America, Eastern Europe and Mexico throughout 2005.
To Market Flash Archives
