Work Lights and Industrial Lamps R&D Bears Fruit in Tough Market

With their traditional markets under attack by low-cost rivals, manufacturers of work lights and industrial lamps in Taiwan are fighting back with the rollout of high-quality, feature-rich products dreamed up by inventive designers in cooperation with local research and development institutes.

Among the new items rolling off the factory lines are fully waterproof and dustproof work lights and industrial lamps for outdoor use and work environments. Halogen lamps are giving way to longer-lasting HQI and CDM-R lamps, and domestic suppliers have been able to underprice their Italian and German suppliers for the latter items.

Light-emitting diode (LED) lamps for indoor and landscape illumination is another line showing promise, and G9 bulbs are finding applications in outdoor lamps and work lights.

One local producer says the small size of G9 bulbs gives designers more room to develop innovative lamps, and they last longer than halogen lamps.

CDM-R Pioneer

With technological assistance from the Energy Resource Laboratories under the semi-official Industrial Technology Research Institute (ITRI) in Taiwan, Jann Fwu Light Enterprise Co. has developed 150-watt HQI lamps with self-designed electronic ballasts. The company's five R&D engineers are also developing the necessary technology to enable production of CDM-R spotlights.

"HQI and CDM-R lamps are widely used in some European nations," says Ken Hsu, sales manager of the company. "I believe CDM-R lamps will become a mainstay in the European lighting market in the next few years because of their high luminosity and compact size."

Hsu says the CDM-R lamps are safer and easier to install for theater-stage applications than halogen counterparts. Jann Fwu says it is the first Taiwanese firm to roll out CDM-R lamps, and one of only three such producers on the island today.

Jann Fwu sells 150-watt and 70-watt HQI lamps at almost the same price. "Our 150-watt HQI lamps are very price-competitive in Europe."

Jann Fwu also produces LED lamps for indoor and landscape illumination. "Our JF-21/22 LED lamps are used in many high-profile locations by demanding end-users, including the renowned Honeymoon Hotspring Restaurant in Nantou County, central Taiwan," says Hsu. "Our LED lamps are very popular in Europe and the U.S. because of their features of energy-saving, small size, and long life span."

Unconventional

Established 13 years ago, halogen-lamp specialist Jarrer Co., Ltd. Has challenged conventional thinking on lighting products, in course carving itself a high-margin niche that has kept its operations profitable in Taiwan.

By concentrating on developing innovative products, Jarrer has also been able to distinguish its products from those of competitors in developing nations. Its major product categories are machinery lamps, work lights, and lamps with magnifying glasses.

Jarrer's JFB series of halogen machinery-indicator lamps help operators monitor the status of processing work. The lamps can be used as alarm lights.

The company's lamps are elegantly shaped and cast a soft light that is soothing to the eyes. Moreover, all of the company's lamps are dustproof, waterproof, and will not explode.

"We have to focus on enhancing the safety of our products, beginning from the initial design process, because all the lamps are used in work environments that demand a high degree of safety," says T.S. Chen, sales manager of the company.

Jarrer can design specialized lamps to meet customers' different needs. "We produce products mostly according to customers' orders," Chen notes. "This production model requires us to keep a large inventory of parts so that we can meet rush orders at any time."

The company's halogen work lights are divided into four types according to size. Those with long and medium arms have three joints for 360-degree rotation. The lights feature high illumination and a compact design, making them suitable for use in almost all work environments.

To increase the durability of its products, Jarrer uses aluminum and engineering plastics in its lamp structures, which are developed with technological assistance from the semi-official Union Chemical Laboratories (UCL) under the ITRI. "Because of the specialized materials used in the main structure, our lamps are able to resist chemical erosion," Chen says.

Jarrer currently exports approximately 80% of its output, mainly to Japan, Western Europe, and the U.S. All of its products are CE, GS, UL, and CSA certified.

Chen says his company is adept at small-batch, high-variety production. This kind of specialty production, he adds, has helped the company generate solid profit margins.

From Home to Factory

Kuzco Lighting Co., Ltd., formerly a producer of metal components for lighting fixtures, has expanded into the production of metal lighting fixtures such as chandeliers and ceiling, pendant, floor, table, and bathroom lamps.

The company claims it is capable of designing new lighting fixtures for use with any kind of bulb. Over the past several months, it has been concentrating on developing the increasingly popular lighting fixtures equipped with G9 bulbs for decorative purposes, especially for the European Union market. Some new items with G9-bulb fixtures will be rolling out from Kuzco's factory in April.

Kuzco is headquartered in Shenzhen, the biggest special economic zone in mainland China. The company says this location makes it much easier to access information on the greater China and overseas marketplaces. The company has also set up a subsidiary in nearby Hong Kong to help it stay abreast of the latest trends in the global lighting-fixture industry.

Kuzco owns an integrated production facility in Shenzhen that can handle a full range of processing operations, from glass production to electroplating. The company says this level of self-sufficiency has helped it enhance production quality. To improve production efficiency, the company plans to set up an in-house system to integrate its design, manufacturing, sales, and service operations.

Despite the global economic slowdown, Kuzco has spared no effort to develop new items and expand its production capacity.

Last year, the company inaugurated a new mainland plant in Ningbo, Zhejiang Province for the production of outdoor lighting, including garden lanterns and landscape lamps. The company believes outdoor lamps will help it increase revenue and profit margins after the global economy regains steam. New production lines for making specialized lamps for industrial use are planned for a later date.

Yang Shaokun, managing director of the company, attributes much of Kuzco's success to its talented design and marketing teams. Yang says that marketing personnel and designers regularly attend international trade shows to learn about the latest trends and technologies in the lighting- fixture industry, which are then incorporated into new products and business strategies.

In addition to its attention to quality, Kuzco is deeply committed to providing comprehensive customer service to back up everything it sells. "We are always working to improve our pre-sale and after-sale services to satisfy our customers," Yang says.

Yang compares the lighting-fixture business to the fashion industry in that global trends generally originate in Europe. The latest trend, he says, is the emphasis on energy-saving lighting sources like the G9 bulbs. "The small size of G9 bulbs will give designers more room to develop new products and lead to a broader selection of lighting fixtures for consumers," he says.

Kuzco has traditionally relied on North America and the EU for most of its export sales, though with the recent completion of a high-quality powder-coating line, the company plans to broaden its reach to Australia and other new markets.

Zinc-Aluminum Alloy Specialist

Caster Lighting Inc. was established in September 1988 by five entrepreneurs with extensive experience in developing lighting fixtures, especially in die-cast metal products.

To distinguish its products from those of its competitors, Caster has focused on the niche market for zinc-aluminum alloy die-cast outdoor- lighting fixtures.

The company's major products are halogen floodlights, halogen work light, high-intensity discharge (HID) fixtures, garden lights, PL fluorescent lights, and weatherproof kits. Many of these products are certified under such international safety standards as UL, CSA, GS, TUV, CE, NEMKO, SEMKO, and SAA.

Facing rising labor costs in Taiwan, Caster moved its production facilities to Guangdong Province, mainland China in 1992 and currently operates an integrated factory there with state-of-the-art production equipment. The company has also set up a coordinating office in Hong Kong. R&D, accounting, and marketing are still handled at its Taiwan headquarters.

The shift of production to mainland China has allowed the company to maintain a competitive edge in the international lighting-fixture arena. The integrated production facility in Guangdong enables the company to control all manufacturing phases, beginning from the production of input materials through finished products, including all die casting, product processing, stamping, welding, and powder-paint coating.

Because of the launch of the integrated production facility in mainland China, Caster has successfully expanded its customer base from North America to other markets worldwide. The North American market, which once accounted for 85% of its total sales, currently contributes only half of its revenue, with Western Europe and other Asian nations making up the balance.

Caster was certified under the ISO9002 international quality assurance system in 1999, underscoring its ability to deliver world-class products. Since that time, the company has expanded its business from original equipment manufacturer (OEM) sales to the DIY (do-it- yourself) market.

Caster is developing new products that save energy and are environment-friendly. It has also invested heavily in sophisticated production and inspection equipment and a computerized management system that will help it quickly respond to customer orders.