Archive for July, 2012

Sunrise segments to drive China exports

By Global Sources

Intelligent, eco-friendly and enhanced versions of conventional devices offer greater growth opportunities, securing revenue despite the challenging business climate.

High-value models will sustain several of China’s export industries in the months ahead amid various challenges, including product homogeneity and slowing overseas demand. Tablet PCs, smartphones and TVs, and semiconductor lighting, specifically LEDs, are the sunrise categories supporting the mature computer, mobile phone, TV and electronic component industries.

Output of these heavily export-oriented product lines will continue to rise in coming months, spurred in part by the 12th Five-Year Plan. One of the goals of the latest FYP is to “accelerate the cultivation and development of strategic emerging industries” such as energy-saving/environmental protection and innovative information technology.

Subsidies, lower taxes and other preferential policies, however, are enticing new entrants, hastening competition and the possibility of overproduction. Consequently, manufacturers in some categories are cutting prices by as much as 30 percent.

Tablet PC output accelerates

China’s 2012 tablet PC output is expected to exceed 25 million units, double from last year, as suppliers boost production to ride on the line’s global popularity. Worldwide shipments are forecast to reach nearly 114 million units by end-2012, according to IHS iSuppli.

 

Read the full article at Global Sources, a leading business-to-business media company that facilitates trade between buyers worldwide and suppliers in China & Asia, via Online, Magazines, Trade Shows and Research.

China plants boost automation to counter labor concerns

By Global Sources

Makers see long-term benefits in mechanizing tedious production processes.

Cost and efficiency benefits are prompting more China suppliers to switch to automated equipment in carrying out complex production processes.

Automation is helping to reduce reliance on manual work. This is critical amid the ongoing labor-related issues such as rising costs, high turnover and shortage in several manufacturing hubs in China. For one, the worker deficit is expected to persist in the next five years.

Shenzhen City Xin Lei Brush Produce Co. Ltd has raised efficiency by 15 percent through this strategy. Its full set of automated equipment, including a filling system and trimming machines, enables a single worker to complete 80 percent of a job done formerly by an entire team.

Using computerized painting equipment, Kaifeng Group Co. Ltd finishes 150 doors daily, up 50 percent from its preautomation output of 100. The supplier’s automated paint color mixing tool, meanwhile, results in greater color accuracy and surface consistency.

Meanwhile, automation efforts for Foxconn and other top-tier enterprises revolve around updating existing equipment or investing in intelligent but costly robots to replace workers.

Complete modernization and cost savings, however, will take at least five years, according to Liu Kai Ming, director of the Institute of Contemporary Observation.

 

Read the full article at Global Sources, a leading business-to-business media company that facilitates trade between buyers worldwide and suppliers in China & Asia, via Online, Magazines, Trade Shows and Research.