Sinbon Electronics Ltd. plans to build a new manufacturing facility in Taiwan’s Miaoli County, betting on growing demand for semiconductor equipment amid the artificial intelligence surge, even as its core business faces headwinds.
The connector maker expects to begin construction in 2025 at the Tongluo Science Park, pending final approval from Taiwan’s National Science Council later this month. Production is slated to start in 2028, focusing on cable assemblies for semiconductor equipment.
The expansion comes as Sinbon grapples with weaker performance in its traditional markets. Revenue for the first 11 months of 2023 dropped 0.66% to NT$30.56 billion ($970 million), falling short of its 13.11% compound annual growth rate from 2018 to 2023. The company’s green energy division saw sales decline 12% in the first three quarters, while automotive-related revenue fell 8%.
Chief Operating Officer Wen-sen Huang cited disappointing electric gun market performance for the slowdown. The company is diversifying into new segments including humanoid robots, smart retail, and EV charging stations to offset the weakness in core markets.
