Taiwan ranks world's sixth-largest producer of machine tools

Taipei, March 18, 2003 (CENS)--Taiwan was the world's sixth-largest producer of machine tools with an overall production value of US$1.75 billion last year, advancing one spot from the previous year, according to an analyst of Gardner Publications, an authority on the machine-tool industry.

Gardner also said Taiwan was also the world's fifth largest exporter of machine tools last year.

Japan slipped a notch on the global list of machine tool producers to No. 2 because of its deteriorating economy, ceding the top spot for the first time in a decade. Germany replaced it as No 1.

According to Gardner, the world's top-five producers of machine tools last year, in order, were: Germany with US$6.73 billion, Japan (US$6.37 billion), Italy (US$3.77 billion), mainland China (US$3.02 billion), and the U.S. (US$1.91 billion).

Switzerland ranked seventh at US$1.71 billion, followed by Spain (US$862.2 million), South Korea (US$833.3 million), and France (US$812 million).

Except mainland China, Taiwan and India, most of the world's leading producers of machine tools encountered a decline in production value last year. Output in the mainland grew 15% during the year, while Taiwan enjoyed a 7% gain. The 22nd ranked India saw output surge by 14% from 2001.

Germany was the world's largest exporter of machine tools with overall export value reaching US$3.88 billion last year, followed by Japan at US$3.43 billion, Italy (US$1.80 billion), and Switzerland (US$1.48 billion). Taiwan occupied fifth place with an export value of US$1.45 billion last year, up 6% from the previous year.

"Judging from the export growth, Taiwan's machine-tool industry seems to have recovered from the slowdown last year," said C.C. Wang, managing director of the Taiwan Machine Tool Foundation (TMTF).

According to statistics compiled by the TMTF, Taiwan exported US$1.05 billion and US$390 million worth of metal-cutting and metal-forming machine tools respectively last year, up 3% and 17% from the previous year.

In terms of the metal-forming machine categories, exports of Taiwan's stamping, pressing and shearing machines enjoyed a 20% annual export growth last year, and other kinds of metal-forming machines grew by 8%.

Exports of Taiwan-made electric discharge machines and machining centers declined by 5% and 1%, respectively, last year, while other kinds of metal-cutting machines enjoyed small growth.

Taiwan imported US$704 million worth of machine tools last year, down 17% from the previous year. Wang attributed the decline to the slow demand for imported non-conventional machine tools by domestic high-tech and semiconductor industries.

Taiwan imported US$476 million worth of non-conventional machine tools last year, down 15% from the previous year. But the import value of the non-conventional machine tools accounted for 86% of the island's overall import of machine tools last year.