July 26, 2000
Two Taiwan bike manufacturers, A&J Enterprise Co. and Cycle Citi Corporation, are setting up shop in Wales, U.K. The Welsh Development Agency (WDA), a trade and investment promotion office for the region, was a major facilitator of the moves.
A&J Enterprise, a leading bike maker in Taiwan, has established its new factory in Powys, central Wales. Sunny Yeh, sales representative for A&J, commented that the company had been considering the expansion as far back as 1998. The final decision was made in 1999, and the Wales plant was set up in April of this year with the assistance of the WDA. “Currently there are around 80 staff members at the new factory, mostly local people, with only four employees from the Taiwan office,” reported Ms. Yeh. A&J plans to keep its R&D in Taiwan, said the sales rep. The main product from the Wales plant will be mountain bikes, with the aim of bringing production up to 340,000 units a year within three years. Cautioning that operations have just gotten underway, Ms. Yeh added that the move should have the benefit of reducing costs and increasing the company’s global competitiveness. Europe is A&J’s major sales market. Cycle Citi, another Taiwan bicycle manufacturer introduced to the Wales region by the WDA, will set up its new factory at Llandegai in North Wales, just outside the city of Bangor. The new factory is expected to create 160 jobs, according to the WDA. Once established, it will become one of the biggest cycle manufacturing operations in Europe, the agency added. One of the reasons Cycle Citi chose to move to the region was that like A&J, the firm realized it would be beneficial to manufacture bikes closer to its main market. Cycle Citi plans to use its plant in Wales to produce a range of bicycles, from mountain bikes to children’s bikes. The goal is to turn out 250,000 bikes in the first 12 months of operation, working up to 350,000 per year in the next three years. The project is also supported by a grant from the National Assembly for Wales, notes the WDA. The factory should be in operation by next month. (back to top) |