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China to produce 560 million handsets in 2007

Daniel Shen, Taipei
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Production of handsets in China is expected to increase 16.7% on year to top 560 million units in 2007, accounting for 55% of the global handset production projected for the year, according to data recently released by China's Ministry of Information Industry. In 2006, handsets produced in China totaled 480 million units, accounting for a 47% share of global production.

In the first quarter of 2007, handset production in China totaled 134 million units, up 34.5% on year, the data showed.

Production ramps initiated by leading vendors, including Nokia, Motorola, Sony Ericsson and Samsung Electronics, and the increasing numbers of handset makers in China contributed to expanded handset production in China, the ministry pointed out, noting that the number of licensed handset makers in China has increased to 80.

Tianjin, Beijing and Shenzhen are the three main handset production areas in China, each being able to roll out more than 100 million handsets a year, the ministry noted.

Production capacity of major handset makers in China (million units)

Area

Company

Production capacity (yearly)

Tianjin

Motorola

50

Samsung

40

Beijing

Nokia

40

Sony Ericsson

N/A

Shenzhen

Foxconn International Holdings (FIH)

15

Samsung

10 (CDMA handsets only)

Chinese makers, including Huawei Technologies, ZTE, TCL and Konka

70

Source: China's Ministry of Information Industry, compiled by Digitimes, May 2007

Article translated by Steve Shen and edited by Ricky Morris