Victor Taichung Has NT$1.3 B. Machine-Tool Orders Backlogged

Taipei, March 30, 2012 (CENS)--Thanks to the cross-Taiwan Strait economic cooperation framework agreement (ECFA), Victor Taichung Machinery Works Co., Taiwan's major manufacturer of CNC (computerized numerically controlled) machine tools, has acquired over NT$1.3 billion in orders from China's Chang Chun First Motor Group and several manufacturers of gears and wheels.

More recently, the company has signed a contract with Fujian Shenlika Aluminum Industry Development Co., an aluminum wheel manufacturer headquartered in Fujian province, China, to supply 50 specialized machines valued at US$4.2 million, enabling the buyer to produce automobile wheels within the next three years.

Fujian Shenlika, founded in 2006, scored 500 million renminbi in sales last year and aims to generate 800 million renminbi in annual sales this year. The company has just acquired big-ticket OEM (original equipment manufacturer) orders for automobile wheels from the Toyota Group, and will in the next five to eight years invest one billion renminbi to set up a new plant, whose completion will help to achieve annual sales of four billion reniminbi.

Victor Taichung president Bert M.H. Huang says easing monetary policy enables many medium and large-sized enterprises in China to begin ordering production equipment from Taiwan's machine-tool firms.

Because of the influx of orders, Victor Taichung says it won't be able to deliver large-sized CNC machine tools until July or August, but will fill orders of medium and small-sized ones in May and June.