Taiwan makers have advantages in EV supply chain, says AUO chairman
Rebecca Kuo, Taipei; Adam Hwang, DIGITIMES
Taiwan-based companies, with support from a local ecosystem for integrating power and electric/electronic systems, have significant advantages in the global in electric vehicle (EV) supply chain, according to chairman Paul Peng for LCD panel maker AU Optronics (AUO).
Taiwan-based makers can easily source from the local supply chain electronic components, ICs, memory, sensors and panels for EVs, which is the world’s most convenient and comprehensive supply chain, Peng said.
In terms of components, EVs will bring many new business opportunities for Taiwan-based makers, Peng indicated.
Tesla executives reportedly visited Taiwan at the end of 2020 to invite local makers, including Pegatron, AUO, Quanta Computer and TPK Holding, to set up factories in the US. Peng declined to comment on this but indicated that AUO is evaluating the feasibility of constructing LCD module production lines in the US, Europe and Southeast Asia.
Automotive displays have seen sizes inceasing to over 20 inches or even as large as 50, Peng said. The number of automotive displays inside a car is on the rise, Peng noted, adding that a car is equipped with at least 5-7 display panels – for GPS devices, driver’s seats, front passenger seats, rear-view mirrors and infotainment systems.
Peng said the current shortages of car-use ICs have resulted mainly from automakers and their suppliers sharply cutting orders in first-half 2020, driving IC makers to shift their production capacities to other applications.
Now the production capacity cannot be adjusted fast enough to fully meet carmakers’ rebounding demand, Peng said, adding the shortages are expected to last for a while.
