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Most Hong Kong manufacturers are RoHs compliant

Staff -- Purchasing, 2/23/2006

Ninety-three percent of electronics manufacturers in China, Korea, Taiwan and Hong Kong expect to comply with the European Union’s Restriction on the Use of Hazardous Substances (RoHS) directive by the July 2006 deadline, according to a new survey.

RoHS bans the use of lead, mercury and cadmium and three other substances in electrical or electronic equipment sold or used in the European Union after July 1.

The survey by business-to-business media company Global Sources was sent to companies in the four countries who either export or expect to export electronic equipment or components to Europe.
The survey found that 51% of surveyed companies said they were already RoHS-compliant. Forty-two percent expect to be compliant by mid-year.

Hong Kong manufacturers lead in RoHS compliance. Eighty-four percent of manufacturers in Honk Kong indicated they were already RoHs compliant. The EU is a critical market for many Hong Kong manufacturers.

Manufacturers in other regions have more diversified markets and compliance levels are correspondingly lower: 63% in Taiwan; 50% in mainland China, and 9% in South Korea.

The survey also found 64% electronics manufacturers expect RoHS compliance will increase cost. Thirty-five percent said prices would increase by 4% or less; 23% said prices would rise 5-10% and 6% expect prices would increase by more than 10%.
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