Hiwin Technologies to Hike Prices by up to 10% This Quarter

Hiwin Technologies Corp. (2049-TW) has launched a comprehensive price hike for all product lines, including ball screws and linear guideways by 5 to 10% since late April to reflect the soaring costs of raw materials, such as stainless steel and steel. 

Hiwin is benefiting from the strong orders in the semiconductor and automation sectors and has also made gains in the new energy and electric vehicle lithium battery industries. 

Currently, the order visibility for ball screws has reached 4.5 months, and the order visibility for linear guideways has also been extended to 3.5 months. 

The overall order visibility has reached the end of the third quarter. 

Hiwin Technologies chairman Chuo Wen-heng pointed out that although many cities in China were closed due to the pandemic, the production of the Suzhou plant was not affected. 

Demand from distributors located in Shanghai and the Kunshan area was somewhat affected due to logistics constraints, but customers’ demand in other cities remained stable. 

The chairman added that orders from Europe, the United States, South Korea, Japan and other markets remain strong while the Indian market is stabilizing with the pandemic. Demand for recent machine tools and automation is also beginning to recover. 

Although the first quarter was traditionally slow, Hiwin’s revenue climbed to a 42-month high in March, benefiting from solid demand. In addition to being the strongest first quarter in years, it also set a new high in the past 14 quarters. 

Translated by DB, cnPOST