EPCOS Establishes Joint Venture with Baotong

July 18, 2004 by Jeff Shepard

EPCOS AG (Germany) and components manufacturer Jiangsu Baotong Electronic and Technology Co. Ltd. (Baotong, China) have set up the joint venture Baoke Electronic (Wuxi) Co. Ltd., which will manufacture surface acoustic wave (SAW) filters for use in television sets. This cooperation is based on technology from Baotong that is complemented by EPCOS’ SAW knowledge. The SAW filters will be marketed exclusively through EPCOS sales channels, to which some of Baotong’s sales staff will be transferred. EPCOS has a 51% stake in the joint venture.

"The joint venture with Baotong steps up our presence further in the world’s most dynamic electronics market, and strengthens our position in China’s vigorously expanding entertainment electronics market," said EPCOS President and CEO Gerhard Pegam. "Cooperation with Baotong will enable us to take greater advantage of the significant growth potential of local Chinese manufacturers in particular."

The joint venture will be headquartered in Wuxi, a Chinese metropolis of four million inhabitants about 150 km west of Shanghai. In recent years, Wuxi has emerged as one of China’s most important electronics centers.