Rapid growth seen in ASEAN countries. Soldering Market Report

The ASEAN countries are increasing their presence as an area that supports the world’s manufacturing industry. The following is an overview of the features of the ASEAN countries and their soldering situations.

ASEAN countries have been increasing their presence in recent years

The ASEAN region is gaining prominence as a major area that supports the world’s manufacturing industry. In particular, more and more companies are focusing on ASEAN not only because of its benefits as a production base in terms of land and labor costs, but because its proximity to the major Asian markets allows for local production for local consumption. Here, we will explore the characteristics of the countries that belong to ASEAN and the state of soldering in each country.

Singapore

Singapore is politically and economically stable and stands out in the ASEAN region with the world’s fifth largest nominal GDP per capita in 2021 based on IMF statistics. It is a manufacturing center for medical equipment and advanced technologies, which tend to require difficult soldering. In addition, labor costs are high, and automated equipment for high-quality soldering, such as laser soldering, is being introduced.

Thailand

In addition to the automotive and consumer electronics industries opening production bases in Thailand, it is said that approximately 90% of the world’s hard disks are produced in the country. Labor costs are second only to Singapore, and while automated factories are increasing, there are also aspects of the country where workers from neighboring countries can cover the human resources for simple tasks. Desktop robots equipped with high-power heaters and articulated soldering robots are often installed, and there are calls for the introduction of high-power lasers.

Malaysia

In Malaysia, as in other ASEAN countries, labor costs are on the rise. A high percentage of Japanese-affiliated companies have set up operations in the country, and low-end, mass-produced goods, such as general-purpose home appliances, are common. Due to intense cost competition, there are increasing cases where not only soldering robots are introduced, but also soldering automation units are purchased and installed on robots and equipment by local system integrators (SI) to provide automation support.

Indonesia

Indonesia is the fourth most populous country in the world. The motorcycle market is thriving in the country, and the number of motorcycle-related electrical components and automobile-related companies is increasing. As in Malaysia, consumer electronics-related products are mainly low-end products. There are challenges in training skilled workers, and small soldering robots and automated facilities are being introduced for mass production.

Vietnam

Vietnam has one of the lowest wage levels among ASEAN countries. Due to low labor costs, soldering is also done manually in some cases, but recently small soldering robots have been introduced to support mass production.

Philippines

The Philippines has many small islands and transportation is mainly by sea, so costs tend to be high. In many cases, many American-affiliated companies are promoting automation in the Philippines by launching projects for automated production lines in the manufacturer’s home country and then establishing those production lines in the Philippines.

Myanmar, Cambodia

In Myanmar and Cambodia, the introduction of robotic soldering is increasing in place of skilled workers, and training of soldering equipment operators has begun.

Soldering efficiency tailored to each country

Even within the ASEAN region, each country has different circumstances, languages, national characteristics, geographical conditions, and production environments. Appropriate automation approaches must be taken in consideration of each situation.

The Forefront of Soldering Technology Vol.5 download

To learn more about the features of ASEAN countries, issues faced by each country, and automation proposals from Japan Unix, whose overseas manufacturing bases account for more than 50% of sales, click here to download the PDF file.