Teco eyes electric tricycle replacement market in Philippines.
Taipei, Aug. 7, 2012 (CENS) -- Teco Group of Taiwan, a major electrical-machinery conglomerate on the island, plans to tie up with a Filipino partner to set up a factory in the Philippines to manufacture electric propulsion systems, with investment of about US$40 million to US$50 million and located in the Subic Bay to turn out products for export to Vietnam, Indonesia, Sri Lanka, India etc.
Teco's move aims to tap the Filipino government's plan to gradually replace about 3.5 million powered tricycles with pure-electric models.
Executives of Teco say that the maker plans to bid for an electric tricycle contract organized by the Asian Development Bank, and can supply also brushless motors, DC motors or wheel (in-hub) motors.
Teco has contacted Chinese automaker Chery Automobile Co., Ltd. for supply of chassis of the e-tricycles, also planning to send managers to Chery for negotiations.
Industry sources say that Teco also plans to produce electric commercial vehicles in the Philippines.
Teco executives say that the Manila-headquartered Asian Development Bank has agreed to lend US$500 million to the Filipino government to replace the 3.5 million powered tricycles, by first replacing 5,000 electric tricycles and then as many as 100,000 units by 2016.
Industry insiders say that Teco has successfully developed independent wheel motors for EV applications and has sent samples to the Yulon Group for installation on a multi-purpose van for tests.