Ichia Technologies, a Taiwan-based maker of flexible PCBs and keypads used in handsets, on October 18 started construction of a factory building to house SMT lines at its plant in Suzhou, eastern China. Construction will cost US$10 million and be completed in June 2012, according to the company.

Ichia is motivated to expand as it expects growing demand for FPCBs used in handset touch screens, according to company CEO Wu Le-sheng. Ichia has received orders worth NT$1.15 billion (US$38 million) for October and orders worth NT$1.3 billion for shipments in November, Wu indicated. Ichia hopes to turn its operations to profitability in the fourth quarter of 2011 to cover net losses of NT$250 million posted in January-September, Wu said.

Based on Ichia's planned capacity expansion, monthly FPCB production capacity at the Suzhou plant will increase from 92,000 square meters in the third quarter to 120,000 square meters in the fourth, and further to 150,000 square meters in the fourth quarter of 2012. Total SMT capacity will expand from 19 lines assembling six million FPCBs in the third quarter, to 25 lines and eight million FPCBs in the fourth, and further to 45 lines and 14 million FPCBs in fourth-quarter 2012.

Source:digitimes