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CMK Expands Thailand Facility
July 24, 2007 |Estimated reading time: 1 minute
BANGKOK, Thailand CMK Corporation, a Japan-based PCB manufacturer, will invest 4 billion baht (12 billion yen $99 million) to raise its production capacity in the region. By March 2008, CMK plans to output 100,000 sq.m./month of PCBs, nearly doubling its capacity.
Over the past 15 months, CMK has invested a comparable amount to construct its first PCB production facility in Thailand. Its Prachin Buri location is equipped to produce about 65,000 sq.m. of product monthly. Increasing capacity in Thailand falls under CMK's corporate roadmap of accumulating knowledge and implementing continuous technological improvements, said Takahiro Nakayama, president. The plant is expected to generate 12 billion yen ($99 million) sales revenue in its first operating year, equal to the proposed investment amount. CMK PCBs are manufactured for cell phonse, power steering systems, televisions, PCs, gaming, and audio-visual assemblies.
Thailand could be a more attractive investment than China should product quality be maintained, the Bangkok Post reports. Though the competitiveness of Thailand's electronics industry will decline in the second half of 2007 due to the baht's appreciation, according to a report from Thailand-based Kasikorn Research Center (KRC), CMK referred to the government's economic policy as "stable," and noted that using 80% imported content offsets cycles in the baht. CMK has investments in the U.S., Europe, China, Thailand, and three other Southeast Asia countries. It plans to grow 10% annually and capitalize on high-value-add PCB demand.