【Reported by Renyi Chen, China Times】
Forwell Precision Machinery is a leading manufacturer of whole quick die and mold change systems and is now actively developing “mold management systems”. Supported by a strong transportation industry in the mainland, coupled with the newly completed factory in Huai’an about to start operations, the company aims to increase business and actively expand in the mainland market in 2015.
Forwell has just inaugurated their new plant in Huai’an with a factory space of 13,000 ping and this will greatly increase their production capacity, in order to accelerate growth and to enhance the Forwell Group’s presence and network across the mainland.
In particular, Forwell has established four divisions to start on the development of “mold management systems” and other new innovative automation systems. Besides the company’s business efficiency the Forwell Group will also concentrate on developing the mainland market year by year.
Forwell Chairman Xiao Wen Long said that next year he was optimistic about the outlook for the mainland market, however it is still unclear whether the Taiwan market will have a positive outlook in the first half of the year. This is mainly due to political factors such as slow to pass bills, food safety, high housing prices, high living costs, low salary increases, and decreased purchasing power and demand. With increased export competition and depreciating value of the Korean Won and Japanese Yen, it is a kill or be killed market, and has resulted in Taiwan losing international competitiveness. This has resulted in a slowdown of orders and a decrease in revenues, so company profits have decreased and the demand for production equipment and plant hardware has decreased. This shows the relatively weak outlook of Taiwan’s economy so there is a lot of uncertainty for future development.
Increased investment will promote consumption boosting the market, so the government must carry out appropriate and effective planning to assist Taiwanese firms in becoming more competitive in the international marketplace.
He also pointed out that as the mainland Chinese people’s living standards have gradually improved, this has greatly increased their spending power. This has in turn stimulated the growth of many related industries, such as the automotive industry which has a great potential to grow in mainland China. Also the tourism and transportation industries have been steadily developing which has lead to a shortage of production in the manufacturing industry which has led to an increased demand for automated production equipment. Moreover the booming Chinese market has received a lot of international attention and optimistic forecasts.
Xiao Wen Long further said that next year the company’s business focus will be on the production of automation equipment for the mainland’s automotive industry as the electronics market has a more stagnant outlook.
He also stressed that the company is pioneering the development of “die automatic warehousing systems”, “die maintenance systems” and other new equipment. With the completed development of their “die management systems” which will be released to the market soon, Forwell will continue to expand their business in new areas.
With the formation of four divisions, the “molding division”, “stamping division”, “3C division”, and “manufacturing division” the Forwell Group’s revenues are set to grow at least 10-15%. Furthermore with the completion of their new plant in Huai’an, the company’s performance is set to increase even further.