Name of Company:
Williams Advanced Materials Far East Pte Ltd

Summary:
SBA Stone Forest (SBA SF) advised Williams Advanced Materials (WAM) on strategic investment in China, and facilitated an investment application initially rejected by Suzhou Industrial Park (SIP) Customs for tariff exemptions. SBA SF was able to help WAM in pushing through its application and successfully achieved cost savings of US$85,000, through exemption of import VAT.

Description:
Williams Advanced Materials is the leading supplier of specialty materials used in thin film deposition and semiconductor packaging applications. A unique combination of innovative culture, metallurgical expertise and lean cost structure makes WAM the premier choice for engineered materials, from R&D programmes through full production. By utilising its material processing and product development knowledge, WAM is a leading material supplier in many markets, including Data Storage, Hybrid micro-electronics, Semiconductor packaging and the Photonics and Wireless industries.

WAM grew globally by establishing a manufacturing and sales facility in Singapore to support Asia, and a sales office in the United Kingdom to service the European marketplace. With these two strategic moves, WAM quickly gained global market share and spread its industry leading customer service standards worldwide. WAM has manufacturing plants in Philippines, Taiwan & USA as well.

WAM has identified China as the next key growth market, and is looking to set up a sales and manufacturing facility in Suzhou Industrial Park.

Internationalisation Challenges faced by Company

WAM approached Suzhou Industrial Park (SIP) Investment Bureau, and was advised that investing equipment being shipped into SIP would be exempted from import VAT. However, when the application was filed with SIP Customs, it was rejected. WAM approached SBA SF, the Shanghai office of RSM Chio Lim, for market entry advisory support and review.

Professional Services from SBA SF

SBA SF was in Suzhou the next morning to assist WAM in strategic investment entry into SIP. SBA SF was able to rectify the original application rejected by SIP Customs, through a thorough review of WAM's investments into SIP, and advised WAM to better describe its investments as equipment falling within high-tech ambit. SBA SF further facilitated discussions between WAM and SIP Customs, and directed WAM to higher authorities within the Customs.

As a result from this strategic advisory support on investment entry, SBA SF was able to help WAM in pushing through its application and successfully achieved cost savings of US$85,000, through exemption of import VAT.

“SBA SF has been instrumental in helping us to understand the complexity of doing business in China from the beginning. It helped us greatly by being a conduit in bridging the gaps in our relationships with the local authorities facilitating the process of setting up our Suzhou plant and providing the essential administration and accounting services to our company so that we stay focused on the operation aspects of the startup.

We appreciate its efforts and help in this very stage of our growth into China.”

Mr Lee Chee Kong
Managing Director & Vice President, Asia Pacific
Williams Advanced Materials Far East Pte Ltd