MIRA INFORM REPORT

 

 

Report No. :

337163

Report Date :

20.08.2015

 

IDENTIFICATION DETAILS

 

Name :

TONG CHENG IRON WORKS CO., LTD.

 

 

Registered Office :

No.116, Shing Yee St., Taichung, Taiwan, R.O.C.

 

 

Country :

Taiwan

 

 

Date of Incorporation :

01.05.1965

 

 

Com. Reg. No.:

51331209

 

 

Legal Form :

Joint Stock Company

 

 

Line of Business :

Manufacturing and Sale of Air Compressors.

 

 

No. of Employees :

About 220

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

Payment Behaviour :

Unknown

Litigation :

Clear

 

NOTES:

Any query related to this report can be made on e-mail: infodept@mirainform.com while quoting report number, name and date.

 

 

ECGC Country Risk Classification List – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

Taiwan

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

TAIWAN - ECONOMIC OVERVIEW

 

Taiwan has a dynamic capitalist economy with gradually decreasing government guidance of investment and foreign trade. Exports, led by electronics, machinery, and petrochemicals have provided the primary impetus for economic development. This heavy dependence on exports exposes the economy to fluctuations in world demand. Taiwan's diplomatic isolation, low birth rate, and rapidly aging population are other major long-term challenges.

Free trade agreements have proliferated in East Asia over the past several years. Following the landmark Economic Cooperation Framework Agreement (ECFA) signed with China in June 2010, Taiwan in July 2013 signed a free trade deal with New Zealand - Taipei’s first-ever with a country with which it does not maintain diplomatic relations - and, in November, inked a trade pact with Singapore. However, follow-on components of the ECFA, including a signed agreement on trade in services and negotiations on trade in goods and dispute resolution, have stalled. In early 2014, the government bowed to public demand and proposed a new law governing the oversight of cross-Strait agreements, before any additional deals with China are implemented; the legislature has yet to vote on such legislation, leaving the future of ECFA up in the air as President MA enters his final full year in office. MA has portrayed ECFA as Taiwan’s key to greater participation in East Asia’s free trade networks.

Taiwan's total fertility rate of just over one child per woman is among the lowest in the world, raising the prospect of future labor shortages, falling domestic demand, and declining tax revenues. Taiwan's population is aging quickly, with the number of people over 65 expected to account for nearly 20% of the island's total population by 2025.

The island runs a trade surplus, largely because of its surplus with China, and its foreign reserves are the world's fifth largest, behind those of China, Japan, Saudi Arabia, and Switzerland. In 2006 China overtook the US to become Taiwan's second-largest source of imports after Japan. China is also the island's number one destination for foreign direct investment. Taiwan since 2009 has gradually loosened rules governing Chinese investment on the island and has also secured greater market access for its investors in the mainland. In August 2012, the Taiwan Central Bank signed a memorandum of understanding (MOU) on cross-Strait currency settlement with its Chinese counterpart. The MOU allows for the direct settlement of Chinese RMB and the New Taiwan dollar across the Strait, which has helped Taiwan develop into a local RMB hub.

Closer economic links with the mainland bring greater opportunities for Taiwan’s economy but also pose new challenges as the island becomes more economically dependent on China at a time when political differences remain unresolved. During 2014, the press paid increasing attention to domestic economic issues, while pushing aside the debates over trade liberalization that were a hallmark of MA’s tenure. The media focused on the divide between Taiwan’s “haves” and “have nots,” providing extensive coverage of public frustration with stagnant wages, skyrocketing housing prices, and the difficulty of finding decent entry-level jobs.

 

Source : CIA


Contact Points

 

Company Name:

TONG CHENG IRON WORKS CO., LTD.

Supplied Name:

TONG CHENG IRON WORKS CO LTD

Trading Address:

No. 16 Ta Chin St. Sec.2 Taichung, Taiwan

Supplied Address:

16 TA CHIN ST.,SEC.2,TAICHUNG 402 TAIWAN

Telephone Number:

+886-4-2261-2135

Fax Number:

+886-4-2262-8246

 

Notes: The exact name and address are as above.

 

 

Company Identification Details

 

Registered Name:

Tong Cheng Iron Works Co., Ltd.

Registered Address:

No.116, Shing Yee St., Taichung, Taiwan, R.O.C.

Date of Foundation:

1965-5-1

Registration Number:

51331209

Registry:

Taichung City Government

Registered Capital:

NTD 130,000,000 (USD 4,160,000)

(As of 2015.8, 1 NTD = 0.0320 USD)

Paid-up Capital:

NTD 130,000,000 (USD 4,160,000)

Legal Representatives:

Mantang Jiang

Legal Form:

Joint Stock Company

Principal Activities:

Manufacturing and sale of air compressors.

Staff:

About 220 Employees

Listed at Stock Exchange:

No

Date of Last Annual Return:

2010-11-3

 

 

History

 

Subject was incorporated on 1965-5-1 with registered number 51331209 as Joint Stock Company in Taiwan.

 

 

Corporate Structure

 

Factories

1

Name:

Taichung General Factory

Address:

No. 16 Ta Chin St. Sec.2 Taichung, Taiwan

Date of Foundation:

1969-1-1

Date of Registration:

1969-1-1

Factory Registration Number:

99669768

Factory Manager:

Mantang Jiang

Status:

In Production

Date of Last Annual Return:

2008-1-28

Major Products:

293 general machinery equipment

332 medical equipment and products

2

Name:

Tainan Factory

Address:

No.635, Zhong Zheng S. Rd., Yong Kang Dist., Tainan City, Taiwan

Date of Foundation:

1993-12-20

Date of Registration:

1993-12-24

Factory Registration Number:

99659356

Factory Manager:

Mantang Jiang

Status:

In Production

Date of Last Annual Return:

2002-6-25

Major Products:

293 general machinery equipment

 

Offices

1

Name:

Taipei Office

Address:

No.43, Wu Quan 5th Rd., Wu Gu Dist., New Taipei City, Taiwan 248

Telephone No.:

+886-2-2299-1285

Fax No.:

+886-2-2298-2296

2

Name:

Tainan Office

Address:

No.635, Zhong Zheng S. Rd., Yong Kang Dist., Tainan City, Taiwan 710

Telephone No.:

+886-6-253-9848

Fax No.:

+886-6-253-9849

 

Related Companies

1

Name:

Thai Golden Pneumatic Co., Ltd.

Address:

35/18-19 Moo.13 Bangna-trad Km.11.5 T.Bangplee-Yai A.Bangplee Samutprakarn 10540

Telephone No.:

+66-2-316-2418~20

Fax No.:

+66-2-750-1468

2

Name:

Wuxi Tong Cheng Machinery Co., Ltd.

Address:

16, Chun Lei Rd. Xi-Shan Economic Development Zone Xi-Shan District, Wu-Xi, Jiangsu Province,214101 CHINA 214101

Telephone No.:

+86-510-8826-4202

Fax No.:

+86-510-8826-4260

3

Name:

Swan Industry (Vietnam) Co., Ltd. 

Address:

No.3 St, Nhon Trach 1 Industrial Zone, Nhon Trach District-Dong Nai Province Vietnam

Telephone No.:

+84-61-356-0047-8

Fax No.:

+84-61-356-0049

4

Name:

PT. Angsa Putih Kurnia Kharisma

Address:

Jalan H. Samanhudi No. 47 Jakarta 10710 Indonesia

Telephone No.:

+62-21-384-9612,344-2639, 344-2640

Fax No.:

+62-21-384-9609

 

 

Shareholders

 

Major Shareholders

 

Name

Subscription Shares     

Mantang Jiang

38,215

Linhuiying Jiang

13,976

Naizhang Jiang

65,000

Yuexia Zhou

2,000

Naizheng Jiang

112,638

Naihui Jiang

65,000

Naijun Jiang

160,951

Naizhao Jiang

65,000

Naiyi Jiang

65,000

Naiyu Jiang

160,951

Jinghui Jiang

67,809

Rongdong Ou

2,000

Jinhe Wu

2,000

Xiuxing Jiang

44,256

Xiuzhuang Jiang

42,256

Xiuhong Jiang

44,255

Naikuan Jiang

65,000

 

 

Management Information

 

Core Management

 

Directors

1

Name

Mantang Jiang

Position

Chairman of the Board

2

Name

Linhuiying Jiang

Position

Director

3

Name

Naizhang Jiang

Position

Director

4

Name

Yuexia Zhou

Position

Director

5

Name

Naizheng Jiang

Position

Director

6

Name

Naihui Jiang

Position

Director

7

Name

Naijun Jiang

Position

Director

8

Name

Naizhao Jiang

Position

Director

9

Name

Naiyi Jiang

Position

Director

10

Name

Naiyu Jiang

Position

Director

11

Name

Jinghui Jiang

Position

Director

12

Name

Rongdong Ou

Position

Director

13

Name

Jinhe Wu

Position

Director

14

Name

Xiuxing Jiang

Position

Director

15

Name

Xiuzhuang Jiang

Position

Director

16

Name

Xiuhong Jiang

Position

Supervisor

17

Name

Naikuan Jiang

Position

Supervisor

 

Personnel Structure

 

Total Employees

About 220 Employees

 

 

Operation Information

 

Offices & Factories

 

 

Headquarters

Add

No. 16 Ta Chin St. Sec.2 Taichung, Taiwan

 

Production Information

 

Subject is engaged in manufacturing of air compressors, etc.

Subject has two factories in Taiwan for production.

It is introduced that subject also has a factory in the Mainland of China for production.

Subject obtained the certification of ISO9001.

 

Purchase Information

 

The registered activities of subject:

Business Code

Details

CB01010 

Machinery and Equipment Manufacturing

CB01990 

Other machinery manufacturing

CF01011 

Medical device manufacturing

F106010 

Hardware wholesale

F113010 

Mechanical wholesaling

F113990 

Other mechanical appliances wholesale

F108031 

Medical equipment wholesale

F401010 

The international trade

ZZ99999 

Besides licensed business, all other business items those are not banned or restricted.

 

The components and raw materials for production are both purchased at home and abroad.

 

Sales Information

 

Subject is engaged in sale of air compressors.

The major products are oil-less air compressor, screw air compressor, portable air compressor, dental air compressor, reciprocal air compressor, silent air compressor, engine air compressor, water cooled air compressor, air booster, air dryer and filter.

Subject’s products are applied for vehicles, motors, chemistry and labs, mining industries, pharmaceutical industry.

It is introduced that subject has its own brand “SWAN”.

It is introduced that subject also provides the design and OEM/ODM services.

Subject’s sales regions include domestic market and abroad.

 

Import and export right:

Import right

Yes

Export right

Yes

 

 

Settlements

 

Purchase

 

Domestic Purchase

Products

Components and raw materials

Payment Terms

T/T, Cash

 

Import

Products

Components and raw materials

Payment Terms

L/C, T/T

 

Sales

 

Domestic Markets

Product

Air compressors

Selling Terms

T/T, Cash

 

Export

Product

Air compressors

Selling Terms

L/C, T/T

 

 

Financial Information

 

Subject has no obligations to disclose its financial statements to the third party according to the relevant policy in Taiwan and the only source from which we can obtain the information is the subject itself.

Subject’s relevant staff declined to disclose its financials citing the grounds of company’s confidentiality; from other sources we could not obtain such information, either.

 

 

Bankers

 

Subject declined to disclose its bank details; from other source we could not obtain the relevant information, either.

 

 

Public Record

 

Mortgage

 

No chattel mortgage record of subject has been found within the recent 3 months.

 

Lawsuit

 

Up to date of reporting, no existing or latent litigation of the subject has been found.

 

 

Special Note

 

Interview Details

Name

Ms. Jiang

Department

Sales Department

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.65.25

UK Pound

1

Rs.102.25

Euro

1

Rs.72.20

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAS

 

 

Report Prepared by :

TPT

 

               

RATING EXPLANATIONS

 

RATING

STATUS

PROPOSED CREDIT LINE

 

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

 

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

 

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

 

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

 

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

 

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

 

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

Credit not recommended

 

--

NB

New Business

--

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                  Payment record (10%)

Credit history (10%)                   Market trend (10%)                                Operational size (10%)

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