Tong Yang Industry Financial Performance and Strategic Overview slide image

Tong Yang Industry Financial Performance and Strategic Overview

AM Competitive Advantage & Overseas Strategy AM Competitive Advantage AM Overseas Strategy TY☺ TONG YANG GROUP ◉ The ability to offer a complete product line-up of collision parts is required to meet one-stop shopping demands. Tong Yang's tooling library consists of 9500 items, covering 80% of global car models since 1970s Continuous capital expenditure of NT$ 1 billion developing new tooling sets annually. High capital costs and long development time of tooling sets: Cost to develop one tooling set is up to NT$5 million and development time is at least 6 to 8 months. Limited available capacity of tooling plants: It is therefore difficult for competitors to secure available tooling development capacity. All major manufacturers have more than 20 years experiences in this industry and have accumulated thousands of moulds. AM manufacturing plants in US, Italy and Thailand gives customers easier access to products Overseas plants compete directly with local players In 2000, Tong Yang acquired its largest competitor in South East Asia, the plant has now become the Tong Yang's Thailand plant Due to severe competition, Unicar (largest player in Europe) announced bankruptcy in 2004. The company's assets were acquired by Tong Yang. Continuous consolidation of AM industry controls competition Started developing AM in China in 2007. Tong Yang has a competitive edge over existing local competitors, in mould development technology and years of experience in the AM industry. 8
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