Panel manufacturers

Why Taiwan and what product has sparked the orders for circuit boards? Two predominant front runners have emerged from the ashes. The first product is the Net Book PCs, a small sized low cost notebook computer with limited functions. The product launch was very successful and the category grew despite economic challenges. Taiwanese PC and mother board manufacturers played an integral part in the basic concept and now enjoy over 95% market share.

The second product is the smart phone. The smart phone category has also grown month over month despite the decline in traditional cellular phones. The majority of smart phones originate in North America or Europe, but most are assembled by Taiwanese manufacturers.

Another reason for the turnaround in Taiwan is the stimulus program launched by the Chinese government to prod along their own economy. The money was injected into consumer market, and generated demand for large size flat panel TVs. Fortunately for Taiwanese TV manufacturers and suppliers, their Chinese counterparts could not keep up with demand and business shifted over to Taiwan.The global economy continues to weaken with no signs of a quick turnaround. Electronics markets in the U.S., Europe, Japan and China remain stagnant. Bucking this trend is the Taiwanese electronics industry which has greatly improved since mid January.

The prognosticators were spot on with their message for most countries; however, it did not hold true for Taiwanese pcb manufacturer. During the third week in January, they received a lot of unexpected orders. Planning departments attributed the new orders to an adjustment in inventories due to low material levels, and thought the spike in activity was just a “dead cat bounce”. However, the number of orders for February remained level, and actually increased week over week. This flurry of activity has spilled over to circuit board manufacturers, component suppliers, display panel manufacturers and material suppliers. Additionally, a few EMS companies had a busy February and March. Taiwanese PCB manufacturers called back a few production operators laid off earlier in the year and larger Taiwanese PCB laminate manufacturers are operating at a higher capacity in March compared to some of the previous months.

Last fall, as the leaves from trees began to dry up and fall to the ground, the U.S. economy also dried up. World wide, the automobile industry as well as the Taiwanese electronics industry was the first to label the financial crisis the worst recession in a hundred years. Most large electronics companies announced wholesale employee lay-offs and instituted inventory consolidations throughout the pipeline. Warehouse inventories, final products, and goods in process decreased dramatically, and 4th quarter production were chopped by nearly two – thirds. Mandatory vacations extended into the first quarter of 2009, extending the Christmas and New Year holidays. A fall out from forecasts predicting a long recession was the cancellation of plant and equipments capital improvement plans.

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