Dynamic Precision Makes

Golf Heads for World Brands

BY DANIEL FOONG

A major golf club manufacturer in Taiwan, Dynamic Precision Ind. Corp. has been in operations for three decades. It is located in Kaohsiung county, southern Taiwan.

The golf clubs offered by Dynamic Precision, consisting of heads, shafts and grips, are largely exported to the U.S., accounting for nearly 60 percent, with 36 percent going to Japan, and three percent to Europe.

Dynamic Precision's golf heads are made of titanium, stainless steel and aluminum. While stainless steel and aluminum are available locally, the general manager, Paul Liou, said, titanium is sourced from Japan, the U.S., Russia and China.  

Soaring titanium prices

The general manager said over the last few years, the prices of titanium have risen by 50 percent. "In spite of the surging price hikes, supply of titanium has not been disrupted," said Liou. He said the titanium offered by the U.S. and Japan is 30 percent more expensive than those produced by China and Russia.

The general manager said in 2003, export of golf heads dropped by 0.4 percent compared with the year earlier. In the first half of 2004, no turnaround was witnessed, according to Liou. "This business slowdown is a general phenomenon for the same sector because foreign importers had stuck up inventories," he continued.

Affected by the rising labor and land costs in Taiwan, Dynamic Precision set up a manufacturing base in Guangzhou, southern China, 10 years ago. More than 1,200 workers are being employed at the China factory where golf heads are made and golf clubs are assembled. The general manager said golf heads made of titanium are produced at its Taiwan plant where some 260 workers are employed.

The R&D department is composed of 35 specialists. Today, all the orders placed by foreign buyers are for OEM. "We hope to do some ODM business, beginning from this year," said the general manager.

The golf heads made by Dynamic Precision are high-end, meeting international standards, according to Paul Liou. "Our golf heads are supplied to the world's major brands in the U.S. and Europe," he added.