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Asahi Glass

Asahi Glass’s 2000 Plan for a TFT-LCD Substrate Plant in Taiwan

Asahi Glass announced a wholly owned Taiwan subsidiary in 2000 to make TFT-LCD glass substrates, then outlined separate capacity projects in 2002 and 2003.

By TheFinanceBase Team 3 min read

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In July 2000, Japan’s Asahi Glass announced plans to establish a wholly owned subsidiary in Douliu, Yunlin County, Taiwan, to make non-alkali glass substrates for TFT-LCD panels. The initial project called for two glass-processing lines, with manufacturing and sales targeted to start by the end of 2001. Later furnace and capacity expansions were separate projects, not part of the original announcement.

What Asahi Glass announced in July 2000

Asahi Glass said it would establish Asahi Glass Fine Techno Taiwan Co., Ltd. as a wholly owned company in Douliu City, Yunlin County, in central Taiwan. The plant was intended to manufacture non-alkali glass substrates used in thin-film transistor liquid crystal display (TFT-LCD) panels. The company’s July 17, 2000 announcement described the first investment phase as establishing the local corporation, acquiring factory land, constructing a building and installing two glass-processing lines. Production and sales were planned to begin by the end of 2001. AGC’s original announcement.

Investment and output figures reported at the time

A November 15, 2000 EE Times report attributed additional project figures to an official at Taiwan’s Ministry of Economic Affairs. The official put planned investment at about US$281 million and said initial annual output was expected to be 150,000 square meters from October 2001, rising to 300,000 square meters at full operation. Those figures are contemporaneous government-source estimates reported by EE Times; they are not figures stated in Asahi Glass’s July release.

The timing and output details differ in precision: Asahi Glass gave an end-of-2001 target for starting manufacturing and sales, while the EE Times report described expected initial output from October 2001. Both are plans reported before the target dates, not confirmation of when production actually began or what the plant ultimately produced.

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How the later Taiwan projects differed

Announcement Project Stated capacity or investment Planned timing Source
July 2000 Initial Douliu plant, including two glass-processing lines Capacity and investment not stated in the AGC release; EE Times later reported about US$281 million planned investment, 150,000 m² annual initial output and 300,000 m² at full operation, citing a Taiwan ministry official Manufacturing and sales by end of 2001 in the AGC release; EE Times reported initial output from October 2001 AGC; EE Times
July 2002 Separate capacity program: a new furnace at the Kansai factory and an added Taiwan polishing line About ¥17 billion total investment; 10 million m² per year aggregate capacity when four furnaces were fully operating Capacity stated for the condition when all four furnaces were operating; the release does not establish actual completion or output AGC
June 2003 New furnace at Asahi Glass Fine Techno Taiwan in Douliu Four million m² per year planned capacity; about ¥13 billion planned furnace investment Commercial production planned for September 2004 AGC

The 2002 capacity program

Asahi Glass’s July 18, 2002 release described a distinct investment plan: a new furnace at its Kansai factory and an additional polishing line in Taiwan. The company estimated total investment at about ¥17 billion and projected aggregate annual capacity of 10 million square meters when four furnaces were fully operating. It linked the Taiwan polishing-line decision to expected growth in Taiwanese panel production and expected use of fifth-generation substrates. These were projections for that later program, not specifications for the original two-line plant. AGC’s 2002 announcement.

The 2003 Taiwan furnace

On June 19, 2003, Asahi Glass announced another distinct project: a furnace at its Douliu subsidiary, with commercial production planned for September 2004. The company gave the furnace planned annual capacity of four million square meters and estimated its investment at about ¥13 billion. These figures apply to the 2003 furnace project, not to the plant announced in 2000. AGC’s 2003 announcement.

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What the announcements establish—and what they do not

Together, the dated announcements show an initial manufacturing-base plan followed by separate capacity programs. They establish what Asahi Glass and contemporaneous reporting said was planned, including intended equipment, projected capacities and target dates. They do not verify that construction finished on schedule, that planned production started on the stated dates, or that the forecast output was achieved.

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