The Company’s management believe that the engineering plastic parts for electrical appliance, electronic equipment and car audio equipment markets is still attractive with good growth potential over the next 5 years, due to domestic economic recovery. Moreover, the government has a policy to promote electrical appliance, electronic equipment and auto parts industries for exports, which should support demands for high quality engineering plastic parts. Therefore, the Company plan to increase product lines to be more diversified. The Company also focuses on producing semi-finished products, such as fax cover, fax base and plastic car audio parts. Tapaco plans to continuously develop new products by focusing on office equipment, electrical appliance, auto parts and toy parts.
As the Company increase capacity from 298 tons per year as of the end of 31 October 2003 to 800 tons per year as of 31 July 2004, the Company does not have any plan to invest in new building, new plants, or new set of major equipment over the next few year. The Company believes the existing capacity should be sufficient for the next few years. If the Company would require more equipment, it should be for replacement of the existing machine than to increase capacity.