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Published on February 4, 2008

"Thailand is a hot country. The market itself has good potential for products with solar-cell technology," Wei Shan Lin, chairman and president of Tatung, said last week.

"We are looking into setting up a production plant for solar-cell technology products in Thailand," he said on his visit to Bangkok to preside over the opening of Tatung's first showroom here.

Tatung manufactures electronic products, including flat-screen TVs, for more than 10 major Japanese and European brands at its new Bt80-million plant on an 80-rai site in Chon Buri's Amata Nakorn Industrial Park.

Since Tatung branched into solar technology in Taiwan five years ago, sales there have grown rapidly, reaching 10 billion Taiwan dollars (Bt10 billion) last year.

Tatung has already invested US$100 million (Bt3.3 billion) in wafer production in Taiwan, and $100 million more will be allocated to its ongoing project to make thin-film solar cells.

Wafers are of key importance in the fabrication of semiconductor devices such as integrated circuits.

"Actually, we already have the technology related to solar cells," Lin said. "However, the supply chain isn't ready yet in Thailand. We would like the Thai government to give privileges and initiatives for such investment in the country," he said.

Charlie Lan, president of Tatung (Thailand), said Tatung had started marketing here about a year ago. Its first showroom and sales outlet is at its plant.

"We plan to open two to three more this year, in Bangkok and Chiang Mai," he said.

Lin expects to have 300 Tatung outlets in Taiwan alone this year and about 100 will be opened annually in Taiwan over the next few years.

The Tatung showroom offers a wide range of top-quality audio-visual, home appliance and IT products and also accommodates a service centre, with Bt20 million in support from Tatung headquarters in Taipei.

The aim is to promote the Tatung brand in Thailand as a gateway to Asean. CRT and LCD TVs are already exported from Thailand to Burma, Cambodia, Laos, Vietnam and Australia.

"We achieved domestic sales of $2 million last year, but we expect to grow our sales in Thailand 20-fold to about $38 million this year," Lan said.

The company wants to promote local sales to avoid the impact on exports from baht appreciation.

The revenue contribution from overseas sales is expected to shrink from 60 per cent last year to only 13 per cent this year, with domestic sales increasing from 12 per cent to 75 per cent. The remaining revenue will come from other businesses.

Kwanchai Rungfapaisarn

The Nation