China's foundry factory suffered a cold snap, and many large enterprises stopped production.

Abstract If it is in previous years, after two months of hard work, the Tao Zhenguo couple working in a factory can get the year-end award and take the children back to their hometown in Sichuan for the New Year. Unexpectedly, however, in the last month of the solar calendar in 2014, Tao Zhenguo suddenly lost his job. 2014...
If it is in previous years, and then worked hard for two months, the Tao Zhenguo couple working in a factory can get the year-end award and take the children back to their hometown in Sichuan for the New Year. Unexpectedly, however, in the last month of the solar calendar in 2014, Tao Zhenguo suddenly lost his job.

On December 5, 2014, Suzhou Lianjian Technology, a well-known mobile phone component foundry, announced its closure. Not only that, the "China Times" reporter recently investigated in Suzhou and learned that on the occasion of the "fault" of Lianjian Technology, Nokia mobile phone parts supplier Shuhui Technology, located in Qikou Town, Suzhou, also announced that it had closed its doors and dismissed it. Some employees.

The story of the rise and fall of the company is not surprising, but Lianjian Science and Technology are both large local enterprises. When the number of employees is the highest, they are more than 10,000. Why do they suddenly fall down collectively?

"The electronic foundry industry has developed for decades, and most of them still remain at the lowest end of the industrial chain. The profit is meager. What is even more terrifying is that they rely solely on a single customer. If the market fails, it will be difficult to sustain immediately." Well-known 3C industry research Expert Liang Zhenpeng pointed out to this reporter that with the decline of the labor cost advantage in the eastern part of the country and the acceleration of technology upgrades, there will be a large number of foundry enterprises in the future.

chain reaction

At the beginning of January, the reporter went to the Shuhui Technology Factory in Shukou Town, Suzhou. From the outside of the gate, there was no worker. The factory security refused to allow outsiders to enter the interview. He told reporters that there was no one in the factory and the leader was not in the factory. I can't see anything when I go in.

According to the security guard, the company has more than 10,000 employees at the most. It was completely discontinued in November last year. From November 28th, the company began to demobilize employees. The factory now only left management staff to stay, but did not declare bankruptcy. The device is also not processed.

A former employee of Haohui Technology told the reporter that Qihui Technology had an agreement with the local government that it would take two years before moving out. Otherwise, it would have to compensate the government for the 150 million yuan liquidated damages. Therefore, the company decided to suspend production and wait for two years. Officially closed after the expiration. It is not important to declare the point of bankruptcy. What is important is why such a large-scale factory will come into such a situation?

Haohui Technology is a subsidiary of Taiwan-listed company, Huihui Industrial Co., Ltd., which mainly produces mobile phones and auto parts, including various mobile phone buttons, magnesium alloy mobile phone cases, car audio and other plastic parts. The data shows that in the first three quarters of last year, the company accrued a loss of NT$972 million and a net loss after tax of NT$1,265 million.

The reporter also learned that in addition to poor management, the explosion of a metal products workshop in Kunshan that occurred on August 2 last year was also implicated in the company's explosion. After a week, the government ordered the suspension of production and rectification.

After the company's industrial park in Suzhou Industrial Park announced on December 5 that the company collapsed, more than 3,000 workers suddenly lost their jobs. Due to dissatisfaction with the compensation plan, about 2,000 people gathered at the factory door to protest and petition.

Lianjian Technology is a subsidiary of Taiwan's Shenghua Technology. It was once a supplier of mobile phone screens for Apple. Later, it also cooperated with Xiaomi for several years. For the reasons of bankruptcy, Suzhou Industrial Park said that Shenghua Technology had previously declared bankruptcy, and the creditor bank applied for freezing and preservation measures for all accounts of Shenghua Technology and its subsidiaries, which led to the break of the joint construction technology capital chain.

It is understood that there are more than 20,000 employees when the company is brilliant. In 2014, the business went from bad to worse, and there were more than 3,000 employees before the closure. After the petitioning incident, after the coordination of the local government, the company raised the compensation standard, and the storm was calmed down.

Industrial winter

Over the years, countless foreign brand foundries have supported the reputation of China's “world factory”. However, with the increase of domestic production costs and the global economic downturn, the domestic processing industry is under tremendous pressure. Take Dongguan as an example. According to statistics from October last year, there were more than a dozen foundry companies such as Taiwan Xinghong Shoe Factory, which were bankrupt in Dongguan. Industry insiders estimate that at least hundreds of large factories in Dongguan will close down or stop production before the Spring Festival.

Liang Zhenpeng analyzed the reasons for the collapse of the above-mentioned factories: "The first is that the downstream customers have closed down or lost money and they are in arrears with huge amounts of money, which drags down the capital chain of the foundry enterprises. The second is that the major shareholders of the foundry enterprises are in crisis and have to pump from their enterprises. The third is that the technology of the foundry enterprise is outdated, and it can not be replaced by the technological upgrading of downstream customers. For example, the technology is backward because of backward technology and the production environment is abandoned by Nokia."

The former employees of the above-mentioned 闳晖科技 told the reporter that 闳晖科技 mainly produces mobile phone buttons for Nokia. “Who is still using the button mobile phone now? It’s all touch screens, the factory technology is too backward, and even Nokia can’t manage it.”

Lianjian Technology was once an important supplier of components to Apple and Xiaomi. An employee of the plant told reporters that because of its backward technology, the yield is too low and the cost is too high. Apple and Xiaomi have been removed from suppliers. Column.

“While Shenghua Technology has expanded its production facilities based on the prospect of iPhone sales growth, these devices are mainly used in the previous models of the iPhone 4s. Apple launched the iPhone 5 and iPhone 6 with a thinner screen from last year. The products of the technology can't adapt, and finally withdraw from the Apple supplier." Mr. Wang, a former middle management of Lianjian Technology, said.

Liang Zhenpeng said that the closure of domestic foundries has become more frequent, mainly because the domestic production cost advantage has been gradually lost, the premium ability to downstream customers is getting lower and lower, and many enterprises are too dependent on a single customer. As soon as the customer’s order was over, the company immediately closed down.

The direct consequence of factory closures is that a large number of workers are unemployed. An official of the Suzhou Park Management Committee said: "After the sudden collapse, a large number of workers will be pushed to the society at once. It is difficult to solve the employment problem in the short term, and it can only be diverted gradually."

"Now the foundry companies must be prepared for the rainy day. You can't sit back and relax because there are still some orders." Liang Zhenpeng suggested, "Either move the factory to a region with lower factor costs, such as the Midwest or Southeast Asia; or you still have money to step up independent brand building. Like ASUS and Acer in Taiwan."

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