(Yicai Global) Feb. 21 -- Sihui Fuji Electronics Technology is investing up to CNY500 million (USD73 million) to build a printed circuit board factory in Thailand to better cope with changes in international trade patterns and other adverse factors, the Chinese printed circuit board supplier said.

The new facility, which will be located in the Amata Industrial Park in Rayong province, will be engaged in the design, manufacturing and sales of printed circuit boards, the Guangdong-based company said yesterday.

A Thai subsidiary will be set up in the second half of this year, construction will begin in phases and mass production will start on a small scale in 2025, it said. No further details about production capacity and the target market were given.

Thailand has advantages in terms of land, facilities, human resources and tax, Sihui Fuji said. The local printed circuit board industrial chain is also improving, which means it can better support the construction of a production base by a foreign firm.

More than 70 percent of Sihui Fuji’s revenue comes from its Japanese customers and this reliance on Japan is expected to continue, according to the financial report issued by the company before its initial public offering in 2020.

Industrial control clients accounted for 60 percent of Sihui Fuji’s printed circuit board revenue in 2021 and automotive electronics customers 20 percent, according to the firm’s 2021 annual report.

Sihui Fuji’s share price [SHE:300852] closed up 0.7 percent today at CNY36.64 (USD5.33). Earlier in the day it gained 2.1 percent to hit CNY37.16.

Editor: Kim Taylor