Fair Friend to Spend NT$10 B. on Global Expansion in 3 Years

Taipei, Aug. 3, 2011 (CENS)-- Fair Friend Group will spend some NT$10 billion in the next three years to keep its lead as machine-tool manufacturer globally, over half of which to expand production and acquire overseas machine-tool plants.

The group will also set up a research and development institute in Chunghsing Village of Nantou County, central Taiwan, with other investments in solar-energy materials, touch panels, semiconductor inspection equipment, LED (light emitting diode) lighting and magnesium alloy forging.

The group will budget 2% of total yearly sales to support research at the proposed R&D institute in Chunghsing Village, as well as budget between NT$350 million and NT$450 million to develop innovative products in the next five to 10 years.

Over the past few years, Fair Friend has accelerated investments in China, and will expand two plants in Taiwan and install six new plants in China this year.

The group aims for annual sales to double to NT$200 billion by 2018 from this year's anticipated NT$50 billion, with NT$100 billion to come from machine-tool sales in 2018.

Fair Friend has procured a lot in the Taichung Precision Machinery Park to build a new plant that is to launch mass production in the third quarter of 2012, with monthly capacity reaching 180 vertical and horizontal machining centers.

To elevate R&D ability and techniques, Fair Friend plans to acquire 55% stake in a century-old Japanese machine-tool firm, with Chu noting the acquisition to help upgrade technologies and not sales.