OEM Drives Transformation for Taiwan Auto Parts Makers

Amid tariff pressures and growing uncertainties in the aftermarket (AM) segment, many Taiwanese auto parts manufacturers are shifting their focus toward the original equipment manufacturer (OEM) market. Companies such as TYC Brother, E-Lead, Laster Tech, and HZEN Tech have successfully entered major automakers’ supply chains, marking a critical turning point in the industry’s evolution.

TYC Brother noted that due to increasing market volatility, supplying OEM parts directly to automakers through localized production can help mitigate risks from exchange rate fluctuations and tariffs. This strategy is expected to be a key focus for future development.

The company’s factory in Detroit, USA, is set to begin small-scale production in the third quarter of this year, directly supplying OEM automotive lighting products to American car manufacturers. In addition to North America, TYC’s China plant also supplies OEM products to local automakers. Once primarily focused on the AM market, TYC has now seen OEM revenue exceed 30% of total sales, and further growth is anticipated.

E-Lead Electronic stated that to maintain competitiveness, it has expanded business development in India, acted as a China supply chain replacement for the European and American markets, and actively pursued cross-industry alliances. With production bases in Taiwan, Jiangsu (China), and Thailand, all certified by major automakers, E-Lead is now a qualified Tier 1 supplier. Facing fierce global competition, the company aims to leverage its innovation capabilities, Tier 1 supply qualifications, and geographical advantages to respond to future challenges with breakthrough innovations.

Laster Tech, a leading LED automotive lighting module manufacturer, said that demand remains strong thanks to increasing automotive electronics and smart lighting applications. Its custom-designed LED modules are widely recognized by top-tier automakers and lighting system suppliers. In recent years, Laster has aggressively expanded its global automotive client base. As the electric and smart vehicle trends continue to grow, demand for intelligent automotive lighting has surged, strengthening the company’s position in the market.

HZEN Tech has rapidly restructured its automotive product portfolio. Its current shipments have shifted from traditional vehicle models to key components for electric vehicles (EVs), hydrogen fuel cell vehicles, and hybrid electric vehicles, including air suspension systems and one-box brake modules, both of which involve high technological barriers.

As the global automotive industry embraces electrification and intelligence, Taiwanese parts suppliers are seizing OEM opportunities to upgrade their roles in global supply chains and redefine their competitive edge beyond the traditional AM market.