IMI brings Ayala’s Commercial Might to Israel
6 March, 2019
IMI's CEO, Arthur Tan, came to Israel with a tempting offer: We can produce your systems and help you going to the market with the commercial arms of our parent company, Ayala Corporation
The Philippines’ Ayala Corporation and its EMS daughter company, Integrated Micro-Electronics, are campaigning now to gain a bigger share in the Israeli Electronics production market. During a visit in Israel last week, the CEO of IMI, Arthur Tan, met local companies to introduce IMI’s capabilities and to offer production agreements bundled with marketing and distribution. IMI is the world’s 18th-largest Electronics Manufacturing Services provider with annual sales of US$1.35 billion in 2018. With workforce of 15,000 employees, it operates 20 manufacturing plants in China, the Philippines, The United States, Mexico, Bulgaria, Czech Republic, Germany, and the UK.
Ayala Corp was established 185 years ago and is considered the largest commercial body in the Philippines, involved in the industrial, real estate, retail, banking, communications, automotive, health and education business. Ayala’s’s sales totaled approximately US$49 billion in 2015. During a meeting with Techtime, Tan said that he came to Israel not only as an IMI representative, but also as Ayala’s too. “Our interest in Israel is wider than of a pure EMS contractor.”
Dual-mode Business Offer
“Ayala notices Israel and wish to expand its activities here. Today, for example, we are negotiating with Teva to manufacture pharmaceuticals in the Philippines through Ayala’s health division, and our communications services company, Globe Telecom, is a big customer of Amdocs. We suggest cooperation agreements that include complimentary components: Manufacturing Services and opening of the Philippines’ market to the costumers through Ayala’s commercial arms.”
“This is something we’v already done: Today we are a major manufacturer of Huawei’s phones, while our Globe Telecom is the largest customer of Huawei in the Philippines. Ayala is a partner in a production plant of Honda Isuzu, and also a dealer of those cars in the Philippines.” The strategic interest of Ayala in Israel is a result of the group’s Global assessment of the future emerging technology markets: “We are looking for opportunities in Aerospace and Defense, Mobility, Smart Energy, Internet and Connectivity.
“Those are fields of excellence of Israeli companies, and some of them play a Global role. Now, they have to consider how they reach the Global markets, and here we can help because we run a supply chain at a Global scale.” Tan is stressing also the benefits of the Philippines economy: “We are the fastest growing economy China, with successive 5% growth over the last 75 quarters. Every product that is manufactured in the Philippines is Tax free product in Southeast Asian countries according to the ASEAN Free Trade Agreement.”
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