BEIJING, Oct. 26 -- Yageo, the Taiwan passive component maker, says sales in China will account for more than half its revenues in the next three years, up from 30% this year. The company is continuing to add capacity in anticipation of the demand, reported DigiTimes.

Speaking here at the opening of the PT/Expo COMM exhibition, a telecom show, president Remko Rosman said thhe global market for passives will grow 12 to 15% in 2005, reported DigiTimes. However, prices for passives are expected to fall 8% during the same period, Yageo reportedly said.

Yageo forecast its sales in China will grow 20 to 25% next year. Starting next year, the company will lower production at its Holland plant, DigiTimes reported.