Taiwan-based memory module maker A-Data Technology will hold open the opening ceremony at its Suzhou, China, on November 22. The Suzhou plant will house eight SMT (surface mount technology) production lines by the end of the year will have a monthly capacity of 1.8 million DDR2 modules and 1.2 million NAND flash modules, according to sources at the company.

The company began building its Suzhou plant in the second half of 2005 and the plant officially entered test runs in the beginning of October this year. Currently, there are six SMT lines at the plant and A-Data will add two more by the end of the year, added the sources.

Expansion will continue next year and by 2008, the Suzhou plant will have 16 SMT lines and monthly capacity will reach three million DDR2 modules and 3.6 million NAND flash modules, said the sources.

With the added capacity coming from Suzhou, A-Data expects to increase its sales contribution coming from its OEM business from to 30%, up from 20% at present, noted the sources.

Company chairman Simon Chen commented that the company has been aggressively competing for OEM orders. The company recently landed NAND flash orders from a first-tier Japan-based consumer electronic maker with shipments starting last quarter.

Several executives at Samsung Electronics, Hynix, United Microelectronics Corporation (UMC) and King Yuan Electronics (KYEC), will join A-Data's ceremony.