TAIPEI (Taiwan News) — Advantech posted NT$17.35 billion (US$568.73 million) in Q1 revenue on Wednesday, up 6% quarter-over-quarter and 25% year-on-year.

Advantech CFO Chen Ching-hsi (陳清熙) explained that 93% of Advantech’s US-bound exports are from Taiwan, with only 6% from China, per CNA. He noted that despite tariff concerns, clients haven’t requested the company absorb the added costs.

About 40% of North American orders involve customer-paid tariffs, while Advantech initially covers the remaining 60% and later bills clients, per Anue. “Most customers don’t even bring it up,” said Chen, adding that the company is taking a balanced approach.

Some shipments that once passed through US warehouses can now be sent directly to global end-users, bypassing tariffs entirely. Advantech is also relying on its US assembly capacity to prioritize high-value products like CPUs and memory.

The company’s manufacturing footprint is split 45% each between Taiwan and China, with the rest in Japan and Malaysia. However, rising demand could push Advantech to build a fourth site, possibly in Southeast Asia or the US.

A second US system assembly facility in southern California is set to open by 2026, doubling local production capacity. Advantech is also evaluating a US-based SMT line, with discussions underway with potential partners.