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SEZ status fortifies Shantou's blank CD, DVD production
Posted : June 04, 2009
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Blu-ray disc
  Shantou SEZ Wo Hing's CCDR50 CD-R stores up to 700MB or 80min of data.

Modern transport, efficient government service systems and skilled labor sustain makers of this mature line.

Shantou city in Guangdong province has grown to become a major production center for blank CDs,
DVDs, and accessories such as CD/DVD cases, bags and wallets.

The special economic zone or SEZ has an estimated 125 production lines with an annual output of 1 billion pieces. This accounted for about 50 percent of Guangdong’s overall supply and 30 percent of China’s total in 2008.

An established infrastructure, efficient government service system and abundant skilled workforce support the city’s flourishing industry.

Its transportation system consists of a seaport, an airport, highways and railways.

The Shantou harbor, one of the country’s major ports, has an annual handling capacity of 26.21 million tons of cargo. It maintains a cargo network linked to more than 268 ports in 57 countries and regions.

A number of international shipping agencies offer transit services as well.

The airport offers access for overseas buyers, with all carriers providing airfreight. Regular flights connect the city to destinations such as Hong Kong, Bangkok, Singapore, Kuala Lumpur and Kuching. Domestic airlines operate travels to Beijing, Shanghai, Chongqing and other major cities.

Also assisting Shantou’s export business are the city’s railways and expressways. The Guangzhou-Meizhou-Shantou Railway and the Beijing-Kowloon Railway link the hub to the national railway network. The No. 324 and No.206 State Highways run through Shantou and stretch to various parts of China.

Major expressways connect Shantou to two other SEZs — Shenzhen and Xiamen. These roads form an integral part of the expressway trunk line in the southeast coastal areas of China.

Being an SEZ paved the way for the local government to establish the Shantou Enterprise Investment Administration and Service Center, which provides a simplified business service for foreign-funded projects.

The department’s computerized E-Port system was set up to better manage processes in investment, customs, commodity inspection, taxation and foreign exchange control.

This gives Shantou the distinction of having one of the speediest processing systems in the country.

Ample resource of skilled labor is also instrumental in the advancement of the city’s blank CD and DVD industry.

There are numerous universities, colleges and secondary schools with an education system that serves as a training ground for these workers and professionals, especially in the field of product development.


Hub offers large manufacturing capacity
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Blu-ray disc
  Shantou Starlight's PP11MM1DVD-1BLU, an 11mm CD/DVD case with manual clips. It is made of PP.
Hub offers large manufacturing capacity

Shantou is home to an estimated 100 suppliers of blank CDs/DVDs and related optical disc products. Manufacturers generally perform all production processes in-house. Capacity reaches up to 80 million units a month.

Guangdong Yuedong Magnetoelectric Co. Ltd has a monthly output of 20 million blank CDs, 16 million blank DVDs, 10 million A/V cassettes and 20 million cases. The company also manufactures C-0 and V-0 housings and other plastic accessories. It has been in the business for 20 years.

The supplier ships to the US, Europe, the Middle East and Asia.

Guangdong Yuedong’s design and molding are based on CAD/CAM, EDM and CNC. Operations at its 45,000sqm factory are ISO 9001:2000-certified.

QC is conducted at every production stage from injection, assembly and cutting to labeling and final packaging.

Guangdong Yuehua Magnetics Enterprise Co. Ltd is an industrial group composed of several companies. It has more than 19 years of experience and specializes in blank CDs/DVDs, A/V cassettes and cases.

The company has a monthly output of 8 million blank DVDs, 40 million blank CDs, 24 million CD/DVD cases and 9 million A/V cassettes. The maker has three factories covering a total area of 70,000sqm. It uses Pioneer DVD±R and CD-R production lines, Otari DP-205 high-speed recorders from Japan, computer-controlled injection, and C-0 blank audiocassette assembly lines.

Guangdong Yuehua’s products are shipped to the US, Japan, Singapore and Hong Kong.

Shantou SEZ Wo Hing Radio & Video Co. Ltd has a 50,000sqm facility equipped with 250 specialized injection molding machines for CD/DVD cases and other A/V products. It operates four CD-R lines and two blank DVD lines. The supplier rolls out an average of 5 million CD-Rs, 6 million blank DVDs and 24 million CD/DVD cases monthly. It has been in the business for more than 24 years.

The supplier ships to Europe, Asia, and North and South America.

Shantou Guoqiang Plastics Industrial Co. Ltd, established in 1999, manufactures PP and paper CD sleeves, bags, wallets, cases, camera and laptop bags, and other related products. The company has two factories measuring 15,000sqm. It has a monthly capacity of 240,000 CD bags.

Shantou Starlight Plastics Co. Ltd develops and manufactures videocassette housings, CD/DVD cases and CD-Rs. It can produce 10 million V-0 cases, 8 million CD cases, 10 million DVD cases and 9 million blank CDs every month.

The supplier has two 90,000sqm factories equipped with 60 robot arms, 150 injection molding machines, 15 dust-free assembly and packaging lines, Steag Hamatech CD-R production lines from Germany and Meiki injection molding machines from Japan.
The manufacturer sources materials and components from Japan and South Korea. Its operations meet ISO 9001:2000 standards.

Shantou Starlight exports to Europe, the US and Asia. The supplier counts Disney and LG among its major customers.

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Note: All price quotes in this report are in US dollars unless otherwise specified. FOB prices were provided by the companies interviewed only as reference prices at the time of interview and may have changed.
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