Yu Huiru, a reporter from the Economic Observation Network, said: "There are only a few dozen employees left in the factory, doing some tail cleaning work." On September 17, an employee of Omron Precision Electronics (Dongguan) Co., Ltd. (hereinafter referred to as "Omron Dongguan Company") confirmed to the Economic Observer Network reporter the information of the dissolution of Omron Dongguan Factory.
Recently, a "Supplier Notice Letter" and "Announcement on the Closure of Omron Precision Electronics (Dongguan) Co., Ltd." for Omron Production Management Department were widely circulated in the electronics industry. According to the two documents, due to the adjustment of business strategy, Omron decided to terminate the backlight board business and close the Dongguan production base. This "announcement" explains the reasons for the closure of the Dongguan factory: with the sudden innovation of the smartphone market in recent years, Omron Group has had to adjust its operations, and after careful study by shareholders and the board of directors, the company decided to dissolve early on October 10, 2019. In addition, the "Notice" mentioned that starting from September 17 after the Mid-Autumn Festival, the original corresponding window personnel will dock with the suppliers to carry out follow-up tail clearance work.
At 12:30 noon on September 17, the Economic Observer Network reporter saw that there were many fewer employees who walked out of the Omron Dongguan factory to eat in the canteen than last month, and this part of the employees who were still working was the employees mentioned in the above-mentioned "Notice" who carried out the tail cleaning work.
"There are still some equipment and products in the factory, and I am not sure if the equipment is going to be moved to the nearby factory area." There used to be 600-800 employees, but now there are fewer than 100 people left in the factory. A Japanese employee told the Economic Observer Network reporter.
Qixinbao data show that Omron Dongguan was established in 2009, the main production and sales of LCD backlight board spare parts, TFT-LCD flat panel display, TFT-LCD flat panel display materials and manufacturing tools for the above products.
It is worth mentioning that a manufacturer who acquired second-hand equipment heard the information of the dissolution of Omron's Dongguan factory and rushed from Shenzhen to Omron Dongguan Factory - Fuji Industrial City, Qinghu Industrial Park, Qingxi Town, Dongguan City, to inquire whether the company sold equipment.
"I saw the news of their company's dissolution on the Internet, so I called the phone number on the company's page to ask if there was any equipment for sale, but I couldn't get through. I happened to be running an errand nearby today, so I stopped by to take a look. The above-mentioned second-hand equipment buyer from Shenzhen said.
According to public information, Omron Dongguan is one of the companies wholly owned by Omron Precision Electronics Co., Ltd. in China, and was officially put into production on New Year's Day in 2011. Three years later, in order to occupy the peak of the industry's technology, Omron Dongguan newly rented the No. 13 factory building of Fuji Industrial City in Qinghu Industrial Park for the establishment of R&D branches to develop and produce industry-leading ultra-thin (bendable), large-size, high-brightness backlight board technology to increase the production capacity of enterprises and expand market share.
Omron Dongguan's ambition to "occupy the highest technological peak in the industry" collapsed on the occasion of its tenth anniversary. In addition to the dissolution of the Dongguan company, Omron also terminated the backlight board business of its subsidiary, Omron Precision Electronics Co., Ltd. In the announcement, Omron said that the market environment that the business is currently facing has changed dramatically, and it will be very difficult to continue to carry out the relevant business in this case.
The OMRON China factory, which is affected by the great environment, is not the only one in Dongguan. In July 2018, Omron Precision Electronics (Suzhou) Co., Ltd. announced its permanent closure. The main business of Omron's Suzhou factory is similar to that of Omron's Dongguan factory, which is the backlight board required for the production of electronic products.
Public data show that in the past 5 years, the output value of backlight applications has fallen sharply, and the backlight board market has been replaced by OLED, gradually becoming a sunset industry.
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