SMT chip mounting technology is driving the wave of intelligent electronic manufacturing. Nectec is leading the industry breakthrough with high-precision detection and green processes, achieving zero-defect manufacturing and a 24% increase in production capacity, providing a Shenzhen, China solution for the global electronics industry. As global electronic products accelerate their iteration toward intelligence, miniaturization, and high integration, SMT chip mounting has become a core part of modern electronics manufacturing. With its advantages of efficient production, high-precision assembly, and cost optimization, this technology continues to penetrate fields such as consumer electronics, automotive electronics, 5G communications, and the Internet of Things. Leading companies in the industry, such as Shenzhen Nectec, are promoting the high-quality development of the SMT chip mounting industry through technological innovation and intelligent upgrades.
First, we would like to discuss the progress of both growing market demand and technological iteration. We anticipate that the diversification of application scenarios will further expand market opportunities, as the widespread adoption of products such as smartphones, wearable devices, and electric vehicles drives exponential growth in demand for SMT assembly services. According to statistics, the global SMT equipment market size is projected to exceed 7 billion U.S. dollars by 2025, with significant growth rates in the automotive electronics and industrial control sectors. Taking Nectec’s clients as an example, their PCBA production lines have already expanded into emerging fields such as smart home devices and medical equipment, reflecting the diversified demand from downstream markets. We also believe that technological innovation is another important factor in raising the ceiling of the industry, as industry technological innovation focuses on high-precision mounting and intelligent production. For example, Nectec’s NX-E1 intelligent X-ray inspection machine reduces inspection time by 28% and fault rates by 45% through rapid programming and real-time data feedback. Such technological breakthroughs not only optimize production processes but also advance the industry toward the goal of zero-defect manufacturing. Additionally, the application of laser placement technology and flexible circuit board processes has further overcome the limitations of traditional SMT in the processing of miniaturized components.

Second, we would like to discuss some of the key challenges and solutions in the transition to smart manufacturing. We first address the challenge of balancing quality control and efficiency, as even a minor oversight in component inspection during mass production can lead to widespread quality defects. Nectec employs a dual-track strategy of intelligent inspection and process optimization, integrating SMT and PCB component inspection processes with equipment parameter calibration systems to ensure that process deviations are identified and corrected at an early stage. For example, the AOI module we developed can simultaneously analyze soldering quality and component offset data, significantly improving yield rates. As an internationally renowned manufacturer of X-ray inspection machines and SMT placement machines, Nectec places great emphasis on the relationship between green manufacturing and cost control, as increasingly stringent global environmental regulations are driving companies to upgrade their processes. Nectec has introduced lead-free soldering technology and optimized solder paste usage algorithms, reducing single-board material costs by 10% while also reducing volatile organic compound emissions. This practice demonstrates the compatibility of environmental investments with economic benefits, providing the industry with a replicable path for transformation. Third, we would like to discuss some industry empowerment and future plans for Nectec. When it comes to business development, Nectec places the highest priority on building an intelligent ecosystem. Leveraging an industrial Internet platform, Nectec has integrated data flows across the entire chain, from order management and production scheduling to quality traceability. Our X-ray inspection equipment is seamlessly integrated with the manufacturing execution system, enabling a 20% increase in capacity utilization. This inspection-as-a-service model is reshaping the collaborative relationship between SMT contract manufacturers and their customers.

Additionally, with the rise of the SMT industry and the continuous contraction of various manufacturers’ markets, technological reserves have become increasingly important in the context of global competition. Faced with the impact of low-cost manufacturing in Southeast Asia, Nectec has consolidated its advantages through a differentiated technology strategy.
For example, our 3D mounting solution developed for high-density interconnect boards has been certified by several European automotive electronics manufacturers. Looking ahead, Nectec plans to increase R&D investment in AI defect prediction algorithms to further reduce the need for manual intervention. Finally, let us carefully analyze the industry outlook for SMT and X-ray inspection and Nectec’s strategic positioning. Based on market demand and technological potential, the SMT assembly industry will exhibit three major trends. The first is flexible production: this is to adapt to the rapid switching capabilities required for small-batch, high-variety orders; the second is full-process intelligence: this is to achieve digital closed-loop management from design to inspection; the third is cross-industry integration: this is to facilitate collaborative innovation with semiconductor packaging and micro-assembly technologies.
To conclude, through the dual drivers of technology and service, Nectec has become an industry benchmark for innovation. Starting with X-ray inspection, we have gradually transformed into a provider of comprehensive smart manufacturing solutions, setting an example for the industry in terms of transitioning from single-process manufacturing to high-end value chains.

Against the backdrop of deepening globalization in the electronics manufacturing industry, the rise of such technology-intensive enterprises will inject strong momentum into China’s participation in international competition in high-end manufacturing.