On May 27, 2021, Apple released the latest version (2020 edition) of the parts procurement list "Apple Supplier List". It will be the first time in two years and two months since it was not released last year due to the confusion caused by the corona disaster. The list includes 200 companies that accounted for 97-98% of the purchase value of the previous year, indicating the trend of component manufacturers. In the first part, we asked Mr. Tomohiro Otsuki, a Nikkei Electronics contract reporter, to analyze the latest trends in Apple's parts procurement based on data for the past eight years. This time, we will introduce the notable stocks of Chinese suppliers that are close to Taiwan, which is the top company in terms of the number of companies on the list, by comparing them to the "batting order" in baseball. (Nikkei Electronics)
Let's compare the profiles of major Chinese suppliers listed in the latest version of the "Apple Supplier List" to the "baseball batting order". This is because I thought that by introducing the baseball batting order familiar to the readers, it would be easier for them to remember the growing Chinese companies. Of course, the author's personal opinion is included in it, but please forgive me there. It also shows the market capitalization that is directly linked to the financial power of each company *1.
*1 The market capitalization of Chinese electronics companies is generally much higher than that of Japanese companies. For example, if you compare Panasonic's 3.2 trillion yen and Sharp's 1.1 trillion yen, you can see this clearly. Table 1. The Chinese batting order against Apple's major Chinese suppliers is likened to the batting order of baseball. Market capitalization is directly linked to financial power. This is because the higher the market capitalization, the more money can be raised from the stock market with less dilution. Dilution refers to a decrease in the shareholding ratio of existing shareholders. (Front: Tomohiro Otsuki)
| Battering order | Company name | Stock code | Market capitalization | ||
|---|---|---|---|---|---|
| English | Chinese | Local currency | JPY conversion (trillion yen) | ||
| 1 | Lens Tech | Blue Si | 300433 | 143 Billion RMB | 2.4 | 2 | GoerTek | Gong Er | 002241 | 141 Billion RMB | 2.4 |
| 3 | Luxshare | Lixun Precision | 002475 | 3070 RMB 100 million | 5.2 |
| 4 | BYD | Biyadi | 002594 | 627 billion RMB | 10.7 |
| 5 | BOE | Jingdong | 000725 | 207 billion RMB | 3.5 |
| 6 | Lingyi iTECH | Lingyi Zhizo | 002600 | 63 Billion RMB | 1.1 |
| 7 | JCET | Nagaden | 600584 | 70 billion RMB | 1.2 |
| 8 | AAC Technologies | Ruisei | 002018 | HK$69 billion< /td> | 1 |
| 9 (DH) | WillSemi (OmniVision) | Wei (great power)< /td> | 603501 | 273 billion RMB | 4.6 |
| 9 (DH) | Tianma Microelectronics | Tianma | 000050 | 23 Billion RMB | 0.4 |
| Sunwoda Electronics | Xinwangda | 300207 | 47 billion yuan | td>0.8 | |
| 9 (without DH) | Dongshan Precision | Higashiyama Precision | 002384 | 34 billion RMB | 0.6 |
The first hitter is Lens Tech (Lan Si). In addition to being on base in all at-bats with cover glass processing (listed in all lists from 2012 to 8 years), he has an excellent eye for pitching (selection of new fields). In 2020, it acquired a Taiwan Catcher Chinese corporation in Taizhou City, Jiangsu Province for about 150 billion yen, and started a high-priced mechanical parts business called chassis. The market capitalization as of July 2021 was 143 billion yuan (2.4 trillion yen at 1 yuan = 17 yen). The company plans to enter the EMS/ODM business for smart devices and manufacture 100 million units a year. It seems that the iPhone has not been ordered yet, but it is said that the final assembly of the Android smartphone (smartphone) has been received.
Shohei Ohtani, who is very active in the major leagues, plays the second batter, which is said to be even more important than the fourth batter, is GoerTek from China. He continued to receive EMS/ODM orders for "AirPods". It took advantage of the great opportunity of the spread of Bluetooth earphones. The company also has the dexterity to work on MEMS (micro-electro-mechanical systems) microphones and head-mounted displays (Fig. 1). The market capitalization is 141 billion yuan (2.4 trillion yen).
Figure 1 Example of a product manufactured by GoerTek According to the author's research, GoerTek was in charge of manufacturing Facebook's VR (virtual reality) head-mounted display "Oculus Quest 2" (Photo: Facebook) [Click image to enlarge ]The fourth hitter is BYD with a market capitalization of 10 trillion yen
The names and market capitalizations of the three companies involved in the cleanup are listed below. The third hitter is Luxshare, also known as the “mini Foxconn.” The company is preparing to mass-produce some of the new-generation iPhones (to be released within 2021). It seems that it was the first Chinese-funded company to receive an order for EMS/ODM for Apple smartphones. Its market capitalization is *2 at 307 billion yuan (5.2 trillion yen).
*2 Mr. Laichun Wang, the founder and manager of Luxshare, worked at Sanyo Electric's Chinese audio factory, and at the age of 21 (1988) worked at the cable/connector factory that Foxlink had just established in China. changed jobs as an employee. Foxlink was run by the younger brother of former Foxconn CEO Terry Gou. Wang founded Luxshare in 2004 as a subcontractor for Foxlink and Foxconn-owned FIT Hong Teng.The fourth hitter is an electric vehicle (EV) manufacturer that is neither pushed nor pushed in China. Di). It has a large market capitalization of 627 billion yuan (10.7 trillion yen). The fifth batter is BOE (Beijing Dongfang), the dominant player in the large LCD panel market. The market capitalization is 207 billion yuan (3.5 trillion yen).
