Taiwanese machine tool maker Tongtai is pivoting hard into semiconductors and AI, and business is picking up again — good news for the company and a sign that chip equipment demand is still strong.

• Chip and electronics work now makes up 40% of Tongtai's new orders, with the rest coming from older businesses like aerospace and Southeast Asian vehicle production.
• Orders tied to chips and electronics have doubled from a year ago, and overall orders started recovering in August and September.
• Its grinding and thinning machines are going into wafer and substrate work, and one customer ordered ten laser machines for advanced chip packaging, due by early 2027.
• The tool side is supplying parts and consumables for chipmaking, and is working with a top-tier equipment maker on next-generation processes.

Outlook: Tongtai expects the second half of the year to beat the first, helped by rising orders for both machine tools and circuit board equipment.