Taiwan Hitachi to Invest NT$500 M. in Developing New Products

Taipei, Dec. 17, 2009 (CENS)--Taiwan Hitachi Co., Ltd., affiliated with Hitachi Appliances Inc. of Japan, is going to pour NT$500 million (US$15.38 million at US$1: NT$32.5) into development of new products, including refrigerating machines and air conditioners, according to the firm's president Kazuo Miura.

Miura mentions that Taiwan Hitachi has been Hitachi Group's manufacturing base of compressors for sale in the global market, effectively helping to build overseas footholds since last year. With excellent production capability, the firm has been commissioned by the group to handle development and production of refrigerating machines for sales at home and abroad.

Taiwan Hitachi is optimistic about the new product line, indicating that it will very likely contribute up to 15% or NT$500 million to the firm's sales revenue in 2010, and the contribution will shoot up to NT$1.8 billion (US$55.38 million) in 2013, given strong demand in China.

In the meantime, Taiwan Hitachi will also pay attention to the domestic market for residence-use air conditioners, planning to launch several new models to compete against rivals in 2010. Presently, about one million air conditioners are demanded in Taiwan a year, with a number of brands, such as Hitachi, Daikin, Panasonic, Tatung, Sampo, Teco, Sanyo, Kolin, etc., competing for sales opportunities in the market.

Miura claims that his firm, with launch of new products, aims for annual sales of 270,000 air conditioners and sales revenue of NT$12 billion (US$369.23 million) in 2010 to consolidate its leading position in the Taiwanese market. Besides, the firm plans to achieve sales revenue of NT$15 billion (US$461.53 million) in 2013 by boosting its exports of refrigerating machines and compressors and boosting its share of the Taiwanese market for residence-use air conditioners to 35%.