The rising red supply chain in mainland China and the cross-strait cooperation

[AndrewJin]

This thread will be constantly updated by most recent news on the red supply chain in mainland China and the cooperation across the strait.

Taiwan Cools Restrictions on Local Semiconductor Firms Building Factories in China : Tech : Yibada

Taiwan has eased restrictions on local companies setting up semiconductor plants in China, in hopes that it would make them better attract mainland clients.

According to Taiwan's economics ministry, a maximum of three wholly owned 12-inch wafer manufacturing facilities can now be established in China by Taiwanese companies, undoing previous regulations that limited such investments to older technology and joint ventures.

The relaxation was laid out in the revised regulations posted on the ministry's website that took effect on Friday.

Taiwan currently allows 8-inch wafer plants, which tend to utilize highly advanced manufacturing technologies, to operate in China as joint ventures.

Amid political tensions with China, Taiwan has imposed strict regulations on manufacturing activities of its prized semiconductor sector with its neighbor, with the aim of protecting intellectual property and trade secrets.

But as competition from China's rapidly growing chip industry continues to heat up, Taiwanese companies are under increasing pressure to invest more in the mainland.

Foreign companies have also begun building their presence in China. South Korea's Samsung Electronics Co. is already a major chip plant in the country, while Intel Corp. and Qualcomm Inc. have announced investments in the mainland.

As a result, Taiwan Semiconductor Manufacturing Co. (TSMC) and its smaller domestic rivals have petitioned the island nation's government to ease the restrictions.

TSMC, the world's largest contract chip manufacturer, has said that its Chinese clients prefer to work with the company in China and that it could see itself expanding production in China.

A TSMC representative told Reuters on Tuesday that the company is still evaluating the potential of building a new 12-inch wafer plant in China.

The new investments come at a time when Beijing is keen to bring in additional foreign capital and chip technologies into the country, as well as highlighting how international tech firms are still eager to invest in China despite risks from its slowing economy and a weakening yuan.

In 2014, Taiwanese authorities gave approval to United Microelectronics Corp. (UMC), the island's second-biggest contract chipmaker, to invest $710.64 million in a 12-inch wafer plant in Xiamen under a joint venture with Chinese partners.

UMC said that the Xiamen investment could reach $1.35 billion within five years and that it would ultimately seek full ownership of the plant.

A more integrated cross-strait supply chain!
Taipei

Xiamen, across strait

@TaiShang

 

[AndrewJin]

The Rise of China’s Red Supply Chain and Taiwan’s Countermeasures research report, global notebook PC, desktop PC and tablet market share by branded vendor for the period 2012-2015 and highlights Chinese brands that are on an upward growth trajectory.

The emergence of red supply chain in China has been exerting increasing pressure on existing players in the high-tech sector, including Taiwanese companies. While some predict Taiwan’s IT industry will be replaced soon, others are confident in Taiwanese companies’ ability to sustain lead with smart manufacturing technologies.

This report provides an overview of China’s red supply chain and driving factors behind its emergence; looks closely at its impacts on the global PC, smartphone, and tablet supply chains and provides insights on how to respond to such threat in the long run by identifying several countermeasures.

The Complete Report “The Rise of China’s Red Supply Chain and Taiwan’s Countermeasures” Available at http://www.sandlerresearch.org/the-rise-of-chinas-red-supply-chain-and-taiwans-countermeasures.html .

List of Topics

• Overview of the red supply chain and its contributing factors
• Global notebook PC, desktop PC and tablet market share by branded vendor for the period 2012-2015 and highlights Chinese brands that are on an upward growth trajectory
• Outline of major Chinese companies who manufacture key components for use in low-cost tablets, including application processors, panels/touch panels, lens and modules, memory modules and battery cells
• Outline of major Chinese companies who manufacture key components for use in smartphones and tablets, including touch panels, battery cells, chassis, and others
• Analysis of how Taiwan views the rise of red supply chain and includes several countermeasures

Companies covered

AcBel, Acer, Allwinner, AMD, Amlogic, Amperex Technology, Apple, ASUS, ATL, AUO, BAK, BOE, BYD, Century Display, Cisco, Coolpad, CPT, Dell, Delta, Deren Electronics, Desay Battery, DynaPack, ECS, Foxconn, Fujitsu, Gold Circuit Electronics, Goworld, Greatwall, GSEO, HannStar, HP, HTC, Huawei, Huntkey, Hynix, IBM, In Win, Infotmic, Innolux, Intel, Jhing-sheng, Jiantian, Jorgantronics, Kunshan InfoVision Opto, Kunshan Q Tech, Largan Precision, Lenovo, Leyden, LFE, LG, LGD, Lite-On, Luxshare, MediaTek, Micron, Microsoft, MSI, Nissha Printing, Nvidia, Oceansun, O-Film Tech, Panasonic, Primax Electronics, Qualcomm, Ramaxel, Rockchip, Samsung, SanDisk, Sanyo, Seagate, SEMCO, Sharp, Simplo, Sony, Sunny Optical, Sunwoda, Tianjin Lishen, Tianma, Toshiba, TPK, Truly, TungDa, WD, WinTek, WonderMedia, Wuxi A-kerr, Xiaomi, Youngfast, ZTE



Only 3 years left for Taiwan's local semiconductor industry?
Go to the mainland!
台湾半导体只剩三年好日子？ - 集微网:老杳微信号laoyaoshow

@Yizhi @Shotgunner51 @TaiShang @rugering @Stranagor @cirr @Keel @Jlaw @Place Of Space @FairAndUnbiased @zeronet[/USER[B]] @Raphael [/B] [USER=135456]@sweetgrape @Edison Chen @Chinese Bamboo @Chinese-Dragon @cnleio @+4vsgorillas-Apebane @onebyone @yusheng @Kyle Sun @dy1022 @Beast @YoucanYouup @terranMarine @ahojunk @kuge @Arryn @Economic superpower @Beidou2020 @cirr @JSCh @jkroo @Pangu @ChineseTiger1986 @powastick @ahojunk @TianyaTaiwan @utp45 @Martian2 @StarCraft_ZT @Fattyacids @j20blackdragon @Huan @S10 @WAJsal @waz @Speeder 2 @Azizam @Gibbs @empirefighter @badguy2000 @Echo_419 @Bussard Ramjet @Development C&P @Chinese-Dragon et al[/USER]

[B]About red supply chain, on Taiwan's pro-KMT channel TVBS[/B]
[MEDIA=youtube]U7jMD_fCg1g[/MEDIA]

[MEDIA=youtube]CbmYaCKuft0[/MEDIA]

 

[cirr]

I have highlighted in red companies from Mainland China

AcBel, Acer, Allwinner, AMD, Amlogic, Amperex Technology, Apple, ASUS, ATL, AUO, BAK, BOE, BYD, Century Display, Cisco, Coolpad, CPT, Dell, Delta, Deren Electronics, Desay Battery, DynaPack, ECS, Foxconn, Fujitsu, Gold Circuit Electronics, Goworld, Greatwall, GSEO, HannStar, HP, HTC, Huawei, Huntkey, Hynix, IBM, In Win, Infotmic, Innolux, Intel, Jhing-sheng, Jiantian, Jorgantronics, Kunshan InfoVision Opto, Kunshan Q Tech, Largan Precision, Lenovo, Leyden, LFE, LG, LGD, Lite-On, Luxshare, MediaTek, Micron, Microsoft, MSI, Nissha Printing, Nvidia, Oceansun, O-Film Tech, Panasonic, Primax Electronics, Qualcomm, Ramaxel, Rockchip, Samsung, SanDisk, Sanyo, Seagate, SEMCO, Sharp, Simplo, Sony, Sunny Optical, Sunwoda, Tianjin Lishen, Tianma, Toshiba, TPK, Truly, TungDa, WD, WinTek, WonderMedia, Wuxi A-kerr, Xiaomi, Youngfast, ZTE

The rest are（1）Taiwan（2）Hong Kong（3）The US (4) South Korea and (5) Japan.

 

[AndrewJin]

I have highlighted in red companies from Mainland China

AcBel, Acer, Allwinner, AMD, Amlogic, Amperex Technology, Apple, ASUS, ATL, AUO, BAK, BOE, BYD, Century Display, Cisco, Coolpad, CPT, Dell, Delta, Deren Electronics, Desay Battery, DynaPack, ECS, Foxconn, Fujitsu, Gold Circuit Electronics, Goworld, Greatwall, GSEO, HannStar, HP, HTC, Huawei, Huntkey, Hynix, IBM, In Win, Infotmic, Innolux, Intel, Jhing-sheng, Jiantian, Jorgantronics, Kunshan InfoVision Opto, Kunshan Q Tech, Largan Precision, Lenovo, Leyden, LFE, LG, LGD, Lite-On, Luxshare, MediaTek, Micron, Microsoft, MSI, Nissha Printing, Nvidia, Oceansun, O-Film Tech, Panasonic, Primax Electronics, Qualcomm, Ramaxel, Rockchip, Samsung, SanDisk, Sanyo, Seagate, SEMCO, Sharp, Simplo, Sony, Sunny Optical, Sunwoda, Tianjin Lishen, Tianma, Toshiba, TPK, Truly, TungDa, WD, WinTek, WonderMedia, Wuxi A-kerr, Xiaomi, Youngfast, ZTE

The rest are（1）Taiwan（2）Hong Kong（3）The US (4) South Korea and (5) Japan.

It's literally relocation of middle-high end industry within East Asia.
Core tech has never escaped from this region, on the contrary, more concentrated into this region.

 

[zeronet]

both korea and taiwan exports down around 15% this august, they are not commodity exporters u know, not affected by the commodity slump........china is reducing the import of consuming electronics components from tw and kr.

tw's restriction on the business setup in mainland china is just stupid.

 

[zeronet]

It's literally relocation of middle-high end industry within East Asia.
Core tech has never escaped from this region, on the contrary, more concentrated into this region.

Dell is planning to invest $125 billion over the next 5yrs in china, which signals an important trend.
Dell says to invest $125 bln in China over five years

if this investment is to india, u will see "china collapse" "india manufacture superpower" blabla all over indian media headlines, even foxconn's $5billion investment can blow such indian wind to ur head. but Dell's move didn't generate much media response from anywhere. u see the difference.

 

[FairAndUnbiased]

Dell is planning to invest $125 billion over the next 5yrs in china, which signals an important trend.
Dell says to invest $125 bln in China over five years

if this investment is to india, u will see "china collapse" "india manufacture superpower" blabla all over indian media headlines, even foxconn's $5billion investment can blow such indian wind to ur head. but Dell's move didn't generate much media response from anywhere. u see the difference.

Even a terrible company like Dell is investing this much money

 

[AndrewJin]

Dell is planning to invest $125 billion over the next 5yrs in china, which signals an important trend.
Dell says to invest $125 bln in China over five years

if this investment is to india, u will see "china collapse" "india manufacture superpower" blabla all over indian media headlines, even foxconn's $5billion investment can blow such indian wind to ur head. but Dell's move didn't generate much media response from anywhere. u see the difference.

Their headlines have a little bit low threshold of excitement.
I read some threads in South Asia section that Bombardier blah blah blah, it feels like Bombardier is an Indian brand. Some wholly foreign owned enterprises open some assembling lines, which to me is of little excitement. I won't be happy for iPhone manufactured in China, but I am happy for iPhone using more and more local made-in-China components, as proved by this thread, a rising red supply chain.

 

[Shotgunner51]

As Mainland & Taiwan becoming more integrated into a Greater China economic zone (which comprises of Hong Kong SAR, Macau SAR, and maybe Mongolia), boundaries become blurred, capital/tech flow become easier and people get to prosper!

 

[Pangu]

Well, those fellows on Taiwan shld stop playing the politics card & just join the FTA & what not to get into favorable position, or get left out in the cold. When Taiwan returns to the mainland, it will become part of the red supply line, not outside - problem solve.

 

[TaiShang]

More Chinese airports approved to run flights to Taiwan
2015 08:27

BEIJING -- Six more Chinese airports have been approved to run flights to Taiwan, according to Civil Administration of China on Friday.

The number of airports connecting the mainland and Taiwan has risen to 61, following the addition of the airports in the cities of Yangzhou, Huai'an, Nantong, Yiwu, Yanji and Kashgar.

Total flights to and from Taiwan per week have increased to 890.

 

[AndrewJin]

More Chinese airports approved to run flights to Taiwan
2015 08:27

BEIJING -- Six more Chinese airports have been approved to run flights to Taiwan, according to Civil Administration of China on Friday.

The number of airports connecting the mainland and Taiwan has risen to 61, following the addition of the airports in the cities of Yangzhou, Huai'an, Nantong, Yiwu, Yanji and Kashgar.

Total flights to and from Taiwan per week have increased to 890.

WOW, 890 flights per week!

 

[dy1022]

 

[Jlaw]

Their headlines have a little bit low threshold of excitement.
I read some threads in South Asia section that Bombardier blah blah blah, it feels like Bombardier is an Indian brand. Some wholly foreign owned enterprises open some assembling lines, which to me is of little excitement. I won't be happy for iPhone manufactured in China, but I am happy for iPhone using more and more local made-in-China components, as proved by this thread, a rising red supply chain.

According to some Indians, if an Indian born is a CEO of a foreign company, that company is Indian company. With that logic, Google is an Indian company

 

[Yizhi]

The Rise of China’s Red Supply Chain and Taiwan’s Countermeasures research report, global notebook PC, desktop PC and tablet market share by branded vendor for the period 2012-2015 and highlights Chinese brands that are on an upward growth trajectory.

The emergence of red supply chain in China has been exerting increasing pressure on existing players in the high-tech sector, including Taiwanese companies. While some predict Taiwan’s IT industry will be replaced soon, others are confident in Taiwanese companies’ ability to sustain lead with smart manufacturing technologies.

This report provides an overview of China’s red supply chain and driving factors behind its emergence; looks closely at its impacts on the global PC, smartphone, and tablet supply chains and provides insights on how to respond to such threat in the long run by identifying several countermeasures.

The Complete Report “The Rise of China’s Red Supply Chain and Taiwan’s Countermeasures” Available at http://www.sandlerresearch.org/the-rise-of-chinas-red-supply-chain-and-taiwans-countermeasures.html .

List of Topics

• Overview of the red supply chain and its contributing factors
• Global notebook PC, desktop PC and tablet market share by branded vendor for the period 2012-2015 and highlights Chinese brands that are on an upward growth trajectory
• Outline of major Chinese companies who manufacture key components for use in low-cost tablets, including application processors, panels/touch panels, lens and modules, memory modules and battery cells
• Outline of major Chinese companies who manufacture key components for use in smartphones and tablets, including touch panels, battery cells, chassis, and others
• Analysis of how Taiwan views the rise of red supply chain and includes several countermeasures

Companies covered

AcBel, Acer, Allwinner, AMD, Amlogic, Amperex Technology, Apple, ASUS, ATL, AUO, BAK, BOE, BYD, Century Display, Cisco, Coolpad, CPT, Dell, Delta, Deren Electronics, Desay Battery, DynaPack, ECS, Foxconn, Fujitsu, Gold Circuit Electronics, Goworld, Greatwall, GSEO, HannStar, HP, HTC, Huawei, Huntkey, Hynix, IBM, In Win, Infotmic, Innolux, Intel, Jhing-sheng, Jiantian, Jorgantronics, Kunshan InfoVision Opto, Kunshan Q Tech, Largan Precision, Lenovo, Leyden, LFE, LG, LGD, Lite-On, Luxshare, MediaTek, Micron, Microsoft, MSI, Nissha Printing, Nvidia, Oceansun, O-Film Tech, Panasonic, Primax Electronics, Qualcomm, Ramaxel, Rockchip, Samsung, SanDisk, Sanyo, Seagate, SEMCO, Sharp, Simplo, Sony, Sunny Optical, Sunwoda, Tianjin Lishen, Tianma, Toshiba, TPK, Truly, TungDa, WD, WinTek, WonderMedia, Wuxi A-kerr, Xiaomi, Youngfast, ZTE



Only 3 years left for Taiwan's local semiconductor industry?
Go to the mainland!
台湾半导体只剩三年好日子？ - 集微网:老杳微信号laoyaoshow

@Yizhi @Shotgunner51 @TaiShang @rugering @Stranagor @cirr @Keel @Jlaw @Place Of Space @FairAndUnbiased @zeronet[/USER[B]] @Raphael [/B] [USER=135456]@sweetgrape @Edison Chen @Chinese Bamboo @Chinese-Dragon @cnleio @+4vsgorillas-Apebane @onebyone @yusheng @Kyle Sun @dy1022 @Beast @YoucanYouup @terranMarine @ahojunk @kuge @Arryn @Economic superpower @Beidou2020 @cirr @JSCh @jkroo @Pangu @ChineseTiger1986 @powastick @ahojunk @TianyaTaiwan @utp45 @Martian2 @StarCraft_ZT @Fattyacids @j20blackdragon @Huan @S10 @WAJsal @waz @Speeder 2 @Azizam @Gibbs @empirefighter @badguy2000 @Echo_419 @Bussard Ramjet @Development C&P @Chinese-Dragon et al[/USER]

[B]About red supply chain, on Taiwan's pro-KMT channel TVBS[/B]
[MEDIA=youtube]U7jMD_fCg1g[/MEDIA]

[MEDIA=youtube]CbmYaCKuft0[/MEDIA]

i failed to get any of the tags lately, must be sth. wrong with the system.

anyways this is a very interesting topic. good thread Andrew!