Business

Friday November 21, 2008

P.I.E. to make solar panel cables next year

By DAVID TAN


GEORGE TOWN: P.I.E. Industrial Bhd plans to make solar panel cables next year to diversify further its manufacturing capability and mitigate the impact of the global recession.

Group managing director Alvin Mui said it was now applying for the relevant TUV certification from Germany to manufacture the solar panel cables. The certification is expected by mid-2009.

“There are new multinational corporations in the country involved in the solar panel business and we look forward to supplying to them.

P.I.E employees working at a production line in the Seberang Prai factory. The firm plans to make solar panel cables next year.

“The new solar panel cable business will enable us to service new customers’ needs and tap into new markets,” he told StarBiz.

The use of solar energy was becoming increasingly popular as global warming was now a primary concern, Mui said.

He added that the group’s multiple-product manufacturing capability had helped to make the company resilient, even during economic slowdown.

“During a global recession, there will be even more companies that can no longer produce cost-effectively and will need to outsource their manufacturing activities.

“There are also single-product companies that require our contract manufacturing services, as they will no longer be cost-effective,” he said.

Mui said P.I.E. was now also more focused on producing lower volume but a higher mix of industrial electronic products which could yield better profit margins.

The group will start construction work on a new plant in Seberang Jaya soon.

“We will invest RM30mil in the facility that will allow us to expand the cable and wire manufacturing business, which contributes about 35% to group revenue.

“The new plant will be ready in the third quarter of 2009,” he said.


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