Taiwan vendors should focus on cost improvement, says SAS' chairman

Sino-American Silicon products Inc. (SAS)’s chairman M.K. Lu told today on April 23th that the solar industry is still in the growth stage, however, the production cost for Taiwan’s vendors is relatively high.

SAS’ revenue proportion of solar energy has decreased year by year and has dropped to below 10%. The company planned to extend its strategic deployment in critical supply chain of semiconductor industry to minimize possible impact upon SAS from the volatile solar market.

Lu said that the overall demand for solar energy continues to increase. However, China's solar energy vendors are more competitive in the market because the production costs for Taiwan's supply chain are much higher. In face of unfavorable factors, SAS is dedicating on the transformation. Lu told that the company has transfer to solar wafer special products, which is not for battery applications.

In terms of current industrial environment and vendors, Lu said that companies with larger capacity can maintain certain competitiveness in the market, however, those with smaller capacity may face some challenges.