Taiwan's machine tool exports shot up 34% in first 11 months of 2004

Taipei, Feb. 2, 2005 (CENS)--Taiwan's exports of machine tools amounted to US$2.026 billion in the first 11 months of last year, representing an annual growth of 34.6%, according to statistics compiled by the Taiwan Machine Tool Foundation (TMTF).

Of the two major categories, metal-cutting machine tools saw exports hit US$1.598 billion in the first 11 months of last year, up 37% year-on-year, and metal-forming machine tools saw exports reach US$516.49 million, representing an annual growth of 28%.

Of major metal-cutting machine tools, lathes grew 44% in exports year-on-year, machining centers increased by 43%; electric discharge machines, 41%; grinding machines, 34%; milling & boring machines, 29%, with the others growing at a small pace. In the metal-forming machine tool category, forging, pressing and shearing machines saw exports grow 36% annually and others saw exports growing at a mere 4% year-on-year.

In terms of major export outlets for the products, Hong Kong and mainland China together ranked first by absorbing US$924.49 million worth of the products in the first 11 months of last year, up 27% from the same period of the previous year and accounting for 45.6% of the total such exports. The U.S. stood at second place with US$172.29 million, up 54% and commanding 8.5%. The third place went to Turkey with US$121.07 million, up 63% and commanding 6%.

Other major export outlets, in descending order, were Thailand, Malaysia, Holland, South Korea, Italy, India, Germany, Britain, Singapore, Vietnam, Japan, Indonesia, South Africa, Australia, and Brazil.

The TMTF's statistics also showed Taiwan imported US$1.767 billion worth of machine tools in the first 11 months of last year, representing a whopping 146% from the corresponding period of last year. Metal-cutting machine tools commanded US$1.678 billion, up 161% annually and metal-forming machine tools had US$98.57 million, representing an annual increase of 26%.

TMTF chief executive officer Wang Cheng-ching attributed the growth in imports of the products to the increased demand for foreign-made sophisticated machine tools by hi-tech and conventional industries. The largest-growing items included non-conventional machine tools, machining centers, and milling & boring machines.

In terms of metal-forming machine tools, exports of imports of forging, pressing and shearing machines grew 28% annually and exports of others increased by 17%. TMTF's Wang ascribed the increase of the imported machine tools to the increased demand of such conventional industries as automobile, and metal products, and such hi-tech industries as semiconductor, information-technology products, electronics, communications, and optoelectronics.

In respect of major import sources, Japan served as No.1 by exporting US$927.93 million wroth of machine tools to Taiwan in the first 11 months of last year, up 99% year-on-year and accounting for 52.2% of the total imports. The U.S. stood at second place with US$618.08 million, up 363% annually and commanding 34.8% of the total imports. The third place went to Germany with US$75.67 million, up 67% annually and commanding 4.3% of the total imports.

Exports of Taiwan Machine Tools in 2004 (Jan.-Nov.) by Products Unit: US$1,000
Products	Jan.-Nov., 2003	Jan.-Nov., 2004	Change (%)
EMD, Laser Cutting Machine	79,616	112,052	41%
Machining Center	384,649	549,867	43%
Lathe	249,092	359,207	44%
Drilling, Boring, Milling Machine	205,150	264,179	29%
Grinding Machine	92,972	124,906	34%
Shaping, Sawing, Gearing machine	90,271	99,640	10%
Pressing & Shearing machines	305,038	413,442	36%
Other Metal-Forming Machine	99,079	103,051	4%
Total	1,505,867	2,026,344	35%
Source: Ministry of Finance