Taiwan Genesis Photonics has scheduled to pour US$35 million in 2012 in China to build Kunshan plant in southern China.

The new plant is a joint venture between Genesis and the Kunshan municipal government. Construction began in September 2010 with a total investment of around US$200 million. Under the construction, the municipal government will provide 51% of the funds and Genesis 49%. And Genesis has invested US$35.88 million for the first phase.

The plant is expected to be completed in the Q3. And it will procure 2-inch MOCVD equipment and expects to have a monthly capacity of 20,000-30,000 epitaxial wafers as commercial production begins.

Genesis mainly focuses on supplying green LED chips for LED outdoor billboards in mainland China. And green LED chips products have 90% share in the company’s total products, while 10% were blue LED chips before 2009.  However, it takes a big change as the increasing demand for white light LEDs. Currently, blue LED products accounted for 80% of total products, while green LED products accounted for 20% in first-half 2012.

The company chairman David Chung has pointed out that China is the second-largest market for Genesis and approximately 40% of 2011 total revenues came from mainland China.

As developing, Genesis will have three production bases in the Greater China region: Tainan, Dongguan and Kunshan. The Tainan plant will focus on innovative technologies R&D and sales to international customers.  And for the two China-based plants, Chung expected them to be completely responsible for supplying LED chips in China before 2015.