Project name

Production of PDP TV Sets

Cooperation form

Equity JV

Project description

Production scheme
Construction plan
Market analysis
Operation scale
Sales forecast

   Project scale: monthly output of 3000 PDPs and 10,000 PDP TV sets.
    Hong Kong Investment Company and Korea PDP TV Manufacturing Company have planned to jointly build the world 4th largest production base for PDPs and PDP TV sets in mainland China in two phases. The present project concerns the first phase of production base. In this project, all proprietary rights, equipment and know-how of Korea PDP Manufacturing Company will be transferred to Hong Kong Taihe Company, who will execute the investment in Ningbo Free Trade Zone. For this, a domestic partner is sought for cooperation in the project construction. China has the largest market potential for TV sets, possibly up to USD 10 billion. By 2008, digital TV will cover the majority of domestic cities, and by 2015, all analogue TV signals will be replaced by digital TV signals. It is predicted that the market demand for PDP TV will reach 1.8 million sets in China by 2008.
    Annual sales income is forecasted at RMB 563 million and annual profit at RMB 84 million.

Equipment import & material supply

   Existing Korean PDPs and PDP TV sets production lines are to be imported, with equipment cost being around USD 40 million. Glass for first-phase PDP manufacturing will be imported from LG (Korea).

Investment estimate & cost efficiency

Total investment

USD80 million

Registered capital

USD80 million

Annual sales

RMB563 million

Anticipated means of investment from foreign partner

Annual profit

RMB84 million

Foreign exchange

Technology

Equipment

Brand name

Others

Internal return rate

20%

a  

a

Payback period

3.8 yrs

Basic facts of Chinese partner (ownership, total and fixed assets, current products and sales, current equipment and technology, support facility, etc.)

   The Economic Development Bureau of Ningbo Free Trade Zone (Export Processing Zone) will provide investment promotion service for the project.

Project location & geographic advantage

   Ningbo Free Trade Zone emphasizes the development of electronic industries relating to computer, computer network, telecommunication and consumer electronics. The Zone has developed an industry chain comprising electronic accessories, motherboards, computer and intelligent home appliance and has become an important IT production base within the economic rim of Yangtze Delta. Backed by Beilun Port, the Zone is also upgrading its logistics facility to better serve the distribution of accessories for the project.

Project status quo

   Project in progress    

Project data available

   FS   

Organization to contact

Economic Development Bureau of Ningbo Free Trade Zone (Export Processing Zone)

Person to contact

Su Jianyu

Address

11/F, Baoshui Building, Beilun District, Ningbo

Postcode

315800

Telephone

0086-574-86888710

Fax

0086-574-86820169

E-mail

bjp@nftz.gov.cn 

Website

www.nftz.gov.cn 

Project name

Expanded Production of Polysilicon Chips for Solar Cell

Cooperation form

Equity JV or contractual JV

Project description

Production scheme
Construction plan
Market analysis
Operation scale
Sales forecast

   Project scale: annual output of 18 MW polysilicon chips for solar cell.
    The project aims to increase the existing polysilicon chip production capacity of 2 MW s to a future capacity of 20 MW. The product specification will be toward the thinner and larger, namely, from present size of 125x125 to future size of 150x150, and from present thickness of 0.33mm thickness to future thickness of 0.25mm. The project intends to introduce fund, advanced equipment and technology. New buildings and support facilities will be built over the existing factory premises. The construction period of the project is one year as planned.
    The products of the company fall short of the current market demand both at home and abroad. Memoranda of understanding on sales of products from the expanded factory have already signed with main international buyers.
    Annual sales income is forecasted at RMB 200 million and annual profit at RMB 50 million.   

Equipment import & material supply

   Main equipment to be imported at a cost of around USD 11.5 million. Main parts and materials to be imported and supplemented by domestic purchases. Currently, material and parts are available from market, but their prices are rising rapidly.

Investment estimate & cost efficiency

Total investment

USD15 million

Registered capital

USD10 million

Annual sales

RMB200 million

Anticipated means of investment from foreign partner

Annual profit

RMB50 million

Foreign exchange

Technology

Equipment

Brand name

Others

Internal return rate

25%

a

a

a

a

Payback period

5 yrs

Basic facts of Chinese partner (ownership, total and fixed assets, current products and sales, current equipment and technology, support facility, etc.)

   Zhejiang Jinggong Photoelectric Co., Ltd. is first private enterprise in China the possesses the production lines of MW rated polysilicon chips for solar cell. The company has the world latest equipment and technologies and is one of the only two producers of polysilicon chips in China. Its predecessor is Zhejiang Zhongyi Solar Energy Co., Ltd. Now the company is a joint effort between the Jinggong Group (a listed company, having controlling shares) and China Photoelectric Technology Development Center, with total assets of RMB 35 million and registered capital of RMB 20 million. Now, the company has developed a steady production capacity of 2MW polysilicon chips. As a next move, it will develop the downstream products, namely the polysilicon solar cell and components. Presently, it mainly produces the 125*125 and 103*103 sized polysilicon chips for solar cell, and the products are supplied to major firms in the industries. The company maintains a long-term technical cooperation with Eni Technologie of Italy and the Silicon Material Lab of Zhejiang University.

Project location & geographic advantage

   The project is located in Ningbo Free Trade Zone and is entitled to preferential policies of the Zone. The enterprise has a good production and sales foundation.

Project status quo

   Land for facility expansion and supporting utility already secured.

Project data available

   Project data

Organization to contact

Zhejiang Jinggong Photoelectric Co., Ltd.

Person to contact

Chen Xiangqun

Address

26 Donggang Avenue, Ningbo Free Trade Zone

Postcode

315800

Telephone

0086-574-86820801

Fax

0086-574-86880129

E-mail

cxq@sipv2000.com  

Website

www.sipv2000.com