Stamped metal parts

	The P618 plastic diplexer housing from Gold Space, mainland China, is made of Al6061-T6 material and features silver plating

Companies in mainland China, Taiwan and Hong Kong supply metal stamping units, molds and dies and sheet metals than but plastic components and plastic injection. Manufacturers are focused on increased automation and greater precision.

The stamped parts sector in mainland China is developing at the same pace of the domestic automotive industry, which is expanding rapidly, and where most of the parts are used. There are about 100 of these makers that have annual sales of $13.5 million and above. Metal parts production is centered on Zhejiang, Jiangsu, Shanghai, Guangdong and Shandong—with the first two provinces having the most number of makers.

In 2007, mainland China's plastic and metal part makers' sales revenues and profit margins rose by 20 percent and 15 percent, respectively.

Taiwan's plastic and metal parts industry is centered on the molding and die-casting segments. According to the Industry & Technology Intelligence Services (ITIS), 6.6 percent of the world's mold exports in 2007 are from Taiwan. ITIS the pegs the value of Taiwan's mold and die industry at about $612 million last year, topbilled by plastic and rubber molds, and casting and powder metallurgical molds. Iron, stainless steel, brass, and copper are the standard materials used by Taiwan metal stamping providers.

Parts and components account for about two-thirds of Hong Kong's total electronic exports. There are at least 100 plastic and metal parts suppliers in Hong Kong. Design and manufacturing services are typically offered by Hong Kong makers, and most metal and plastic parts suppliers cater to almost all industries.

Aluminum, steel and copper are the most commonly used metals for parts production. The rise in the costs of various metals and plastics has failed to make a dent on most Hong companies' business.

With about 12,000 cast metal factories, mainland China is the world's largest producer of cast metal, turning out 17 million tons a year. About 30 percent of mainland China's cast metal production is conducted in the Yangtze River Delta. Shenzhen, Suzhou and Hebei are key production hubs for sheet metal production.

Local metal part manufacturers and service providers admit their products are far from equal to those of their foreign counterparts in terms of production scale, automation and digital control capability.

"The gap could be closed by importing key production equipment," says Linda Lee, foreign trade manager for Helicheng Electric Organ Co. Ltd. " This will, however, significantly raise cost. It is therefore crucial for makers to boost their production to achieve lower prices. "

Lee adds that there are no recent developments. "The most important issue in this industry is improving product precision and decreasing production reject rate," she says.

Helicheng has manufacturing sites in Dongguan, Gaungdong, one for stamped parts and screws, and another for silver contacts. The company provides various stamped parts made of copper, steel, aluminum, nickel and other noble metals for OEM and ODM clients. Helicheng can produce almost 9 million stamped parts monthly in its 4,000sqm factory area.

Gold Space Metal Products Co. Ltd is an aluminum parts manufacturer that serves makers of A/V products, TV panels and various casings for heatsinks and other precision components

As for plastic parts, most of the makers that specialize in this line are in Guangdong (Shenzhen, Zhuhai and Dongguan), Jiangsu, Zhejiang and Shanghai. Plastic part production on the mainland is buoyed by the home appliances, consumer electronics, automotive and communications sectors.

Two thirds of mainland China's total requirement for raw engineering plastics is imported, as the local industry can only mass produce PET, PBT and other low-end materials.

Ruian Hengxiong Electric Co. Ltd, established in 1992, is a dedicated OEM and exporter of plastic parts, including bakelite, and various metal parts.

Helicheng's sales revenue grew 25 percent in 2007, from $2.7 million in 2006. Its current $3.3 million sales are expected to further increase this year, although at a lower rate, according Linda Lee, foreign trade manager.

Helicheng's products are applied in switches, relays, low-voltage equipment and home appliances. Its new model HLC-C-002 is a high-precision stamped brass part measuring 110x2mm, which sells for $ 0.55. The company can produce up to 1 million units per month.

Gold Space exports to North America and Europe. Its major buyers include ZTE, Skyworth, Panasonic, Foxconn and Line6. Sune says the company is targeting to double its current 10 percent export percentage this year. He adds that Gold Space's prices may continue to fall, not only because of the high cost of production, but also because "the customer's bargaining capability is important to us."

Gold Space's factories are equipped with more than a hundred precision CNC machines. One of its popular products is the P168—a diplexer housing for telecommunication equipment made of Al6061-T6 material. The CNC-machined model features silver plating, and over 300 thread holes.

Hengxiong will focus on customized and high-precision products. "We carefully review our clients' designs according to our process and make suggestions wherever necessary to improve product performance," Dong says. Recently released model RHB-011-006 is a 115m single-piece, seamless door handle made of bakelite. It is priced at $ 2.80. Buyers may request for products that comply with RoHS.

To keep their profit margins healthy, makers focus on high precision parts. The average export price of molding units was $15 per kilogram in 2006, according to the ITIS.

Taiwan plastic and metal part manufacturers specialize in molding and die-casting. ITIS the pegs the value of Taiwan's mold and die industry at about $612 million last year, topbilled by plastic and rubber molds, and casting and powder metallurgical molds.

Founded in 1997 primarily as a steel mold producer, Jie Li expanded its product line to include plastic parts in 2005. In the same year, the company began specializing in product design as well as steel mold development. Jie Li has a monthly output of 900,000 plastic memory card cases.

Chang Way has specialized in metal stamping for more than 30 years, focusing on precision parts, which require advanced manufacturing techniques. Chang Way's precision parts come in 1.5mil and precision molds, up to 3mil.

Products are mostly used for lead frames, LEDs, pressure sensor housings, shielding cases and battery connectors. Chang Way uses copper and alloy-194, aside from standard metals.

Chang Way also offers tooling designs and insertion molding. Insertion molding process is typically used on LCD monitor parts. The process results in 0.1mm-thick phosphor bronze metal parts, and 0.4mm-thick LCP plastic parts.

The roughly 40-year-old mold and die segment in Taiwan has developed into a manufacturing- and design-centric industry focused on rapid tooling, manufacturing and prototyping.

Rapid prototyping, done mostly in digital format, allows for optimized accuracy and precision, and can speed up production, makers say.

Four types of metal stamping are mainstream in Taiwan: precision parts (mostly for connectors and motors), sheeting parts (automotive bumpers), fine blanking parts (camera components and automotive chassis), and standard stamping parts (locks, fitness equipment and hardware products).

Makers that chose to keep their factories in Taiwan are increasing their production spending, stepping up automation and acquiring advanced equipment.

Makers on the island are focusing primarily on the domestic market comprising car assemblers, auto parts suppliers and makers of consumer electronic products such as LCDs, LEDs and mobile phone housings.

Taiwan Fu Da Precision Co. Ltd, adopt automated production processes, and most makers use high-precision equipment, including CNC machines. The company uses iron and steel as materials for auto parts; and brass, copper and aluminum for other applications.

Established in 1972, Chang Way's ISO 9001-certified factory in Taipei is equipped with advanced molding, pressing, grinding, drilling and tapping machines. Chang Way is expecting ISO 14001 certification by the end of 2008. All of its products are compliant to RoHS.

Jie Li's production site in Taipei is equipped with steel molding machines (milling machines and EDMs), CNC EDMs, surface-grinding machines and lathes. The factory also has plastic injection machines, including five units that have a 130-ton capacity, and one Sodick brand unit that can process produce 15mil-thick precision products.

Jie Li also specializes in plastic parts—cases, covers and connectors for SD memory cards, mini SD memory cards, XD memory cards and MMCs. Memory card cases come in models that accommodate one, 12 and 16 units. These are priced at about $0.02 each, FOB. Jie Li also offers patented 12- and 16-unit memory card cases.

Taiwan Fu Da Precision Co. Ltd, founded in 1970, maintains a production facility in Changhua in Taiwan. The factory is ISO9001, ISO14001 and TS16949 certified, and is equipped with over 150 sets of punching machines and CNC machines. The factory turns out 300 million units monthly, at capacity. Fu Da's main production focus is on parts and components for automobiles.

Chang Way is expanding its production to plastic SAW filter housings, particularly to accommodated increased orders from Sanyo of Japan, which placed a 5 million-unit order with Chanf Way in 2007.

Chang Way's other products include CPU heatsinks made of pure copper with 0.013mm uniformity, usually 37.5x37.5sqm in size.

Shipments of parts and components from Hong Kong, including plastic and metal parts, amounted to $111 billion in the first nine months of 2007, based on Hong Kong Customs data.

Sun Strong Precision Metal International Ltd began as a rubber part manufacturer in 1979. The company has supplied plastic and metal parts to major electronic brands and outlets such as Siemens, General Electric, Bosch Security Systems, Aiwa, Philips, National, IBM and Radio Shack.

Sun Strong's main services include precision die stamping, extrusion and injection molding. It also renders auxiliary services such as welding and powder coating. Progressive metal forming is also an area of expertise.

Weal Lam Parts & Tools Ltd has been manufacturing metal and plastic parts since 1986. Its list of customers mainly includes telecom, electronics, and automotive giants such as Molex, Motorola, Siemens and Tyco.

Among Weal Lam's specialty are tin/lead-plated lead frames in reel packaging; high-precision electronic components; brass and nickel-silver RJ shields and other metal shields for electronic components; and LCD panel brackets.

Sun Strong invests in automation equipment, such as CNC machines, wire cutters and mechanical presses. It currently operates a 35,037sqm factory with 850 employees in Shenzhen, where it owns more than 200 precision power presses with capacities of 10 to 1,000 tons. Overall, it has a production capacity of about 20,000 tons monthly.

Sun Strong's brake presses, punching machines, wire cutting machines and vertical machining facilities are all CNC operated. Hydraulic pressing systems are used by the company for large deep-drawing parts. Both manual and robotic coil-feeds are available to enable customers to choose the level of efficiency and cost effectiveness. Sun Strong uses computer-aided simulation and planning for the different sheet metal assembly processes.

Because it provides injection molding services with vertical and horizontal layouts, Weal Lam invested in 160 sets of single and progressive stamping machines with 12- to 200-ton individual capacity, 17 sets of injection molding machines with 15- to 185-ton rating, and 40 sets of post production equipment. It also accepts orders for die-cast and extruded parts through its partner companies.

Weal Lam renders mechanical and electronics assembly services. It has a Class 100,000 clean room for painting, powder coating and silk-screen printing. Finished products can be shipped in a variety of packaging.

Weal Lam produces deep drawn steel parts and components with tin, tin-lead, nickel or zinc plating that are used in ovens, electronic scales, automatic juice extractors and other home appliances. It also provides metal parts for use in power supplies, such as housings, EMI shields, brackets, bus bars, radiators, connectors and heat sinks. It can make automotive parts using aluminum, copper and cold-rolled steel, with tin, tin/lead, nickel or zinc plating and/or with plastic molding.

Supplementary services such as welding, taping, silk-screen printing and spray painting are also conducted in-house for better quality control. Its injection molding equipment are also used primarily for metal parts with plastic components.

Weal Lam also manufactures standard and customized heat sinks for high-density, miniature electronics. Among its most recent, technically challenging projects were the mechanical assembly of SPF connectors, high-precision painting and silkscreen printing of chassis, and deep drawing of a single-piece metal oil filter.