Our seamless, integrated services within our manufacturing business covers all facets, from design conception and manufacturing to after-sales market support. Our Original Equipment Manufacturing (“OEM”) segment contributed 5.0% to total manufacturing business revenue with our aftermarket segment accounting for 95.0%. Europe remained our largest export market, contributing 50.4% of the aftermarket revenue followed by USA 19.9%, Japan 13.2%, Asia ex Japan 16.4% and Others 0.1%.


The increase in tariff to 25% on China-made wheels imposed by USA heightened uncertainty and posed challenges for our wheels manufacturing business in Suzhou, China. We ramped up our operating activities in Taiwan and Malaysia in order to fulfil new orders from our USA customers so as to minimise mould transfer cost from Suzhou. Production costs in these countries increased as the initial learning curve was steep. Added to this, car manufacturers scaled back orders in light of weaker automobile demand which affected the OEM market.