As energy challenges become increasingly pressing, consumers are seeking ways to maintain comfortable lifestyles while contributing to environmental sustainability. Sanyo Electric (1614-TW) is actively addressing this demand through strategic initiatives, including urban renewal projects and energy-efficient appliance development.

Tai Shan Factory Urban Renewal Project Advances

Sanyo Electric has made significant progress in its Tai Shan factory urban renewal project. On May 19, the company submitted relevant documentation to the New Taipei City Urban and Rural Development Bureau, initiating the self-proposed case amendment process. The project is currently undergoing review by the Urban Planning Committee, with applications for planning documents and maps under consideration.

Concurrently, New Taipei City government is conducting a comprehensive review of industrial zones near Fu Jen University, including potential transformations. Sanyo Electric confirmed that both processes can proceed simultaneously without conflict. Once approved by the Ministry of the Interior's Urban Planning Committee, development can commence according to the finalized urban plan.

Energy Efficiency Policies Drive Appliance Sales

Sanyo Electric is capitalizing on government energy efficiency initiatives aligned with Taiwan's 2050 net-zero emissions target. With energy bureau subsidies increasing by 12%, particularly for air conditioners, refrigerators, and water heaters, the company has positioned itself to meet growing demand.

The company's new air conditioner and refrigerator lines have achieved Tier 1 energy efficiency ratings, qualifying for government rebates. This strategic alignment with national energy policies is expected to generate significant sales growth in the coming quarters.

Diversified Development Strategy

Beyond the Tai Shan project, Sanyo Electric is pursuing additional development opportunities. Plans include the development of the Gangshan Benzhou Industrial Zone in Kaohsiung and land preparation in Sanxia, New Taipei City for potential factory relocation. These diversified investments aim to strengthen the company's long-term competitiveness.

Product Portfolio and Distribution Network

Air conditioners remain Sanyo Electric's flagship product category, accounting for 41.87% of home appliance revenue and maintaining stable performance over three years. Washing machines contribute 19.22%, refrigerators 18.19%, and freezers 10.23%.

The company maintains a strong domestic focus, with over 95% of sales occurring in Taiwan through an extensive network of 1,170 dealers. This distribution channel generates 78.3% of total revenue, with plans to further strengthen these partnerships.

First Quarter Performance Overview

Sanyo Electric reported positive first-quarter results, with air conditioners, washing machines, and displays showing year-over-year growth. However, freezer demand declined post-pandemic, and refrigerator sales experienced a slight decrease. Despite these variations, the company maintains stable operations and optimistic projections for future performance.