Value of Taiwan's auto parts exports to Japan up 56.30% in Jan.-June

Taipei, Aug. 21, 2003 (CENS)--Six local automobile manufacturers exported US$506.59 million worth of auto parts to their technological partners in Japan during the January-June period this year, jumping by 56.30% from the US$324.12 million posted in the same period of last year.

Many local automobile manufacturers, through technological cooperation with Japanese counterparts, import key auto parts at quite large values from Japan each year. At the same time, these local manufacturers also export auto parts at much less value to their Japanese technological partners including their overseas plants in Southeast Asia or mainland China.

In order to reduce Taiwan's deficit in trade with Japan, the Industrial Development Bureau (IDB) under the Ministry of Economic Affairs requires each of these local carmakers to reach a minimum export value of auto parts represented as a ratio to the value of auto parts imported from its Japanese partner in the preceding year. The minimum ratio for auto parts exported back to Japan came into force in 1991.

There were six local manufacturers exporting auto parts to their Japanese partners in the first six months of the year: Yulon Motor Co., Ltd. (cooperating with Nissan), China Motor Corp. (Mitsubishi), Kuozui Motors, Ltd. (Toyota), Ford Lio Ho Motor Co., Ltd. (Mazda), Prince Motors Co., Ltd. (Suzuki and Isuzu), and Taiwan Isuzu Motors Co., Ltd. (Isuzu for trucks).

According to statistics compiled by the Taiwan Transportation Vehicle Manufacturers' Association, the six manufacturers' export values of auto parts in January-June 2003 are tabulated below:

	Export Value in US$M. (A)	2002 Import Value in US$M. (B)	% Back Export Ratio (A/B)	% Minimum Ratio for 2003
Yulon Motor	131.33	210.09	62.51	18
China Motor	267.12	291.71	91.57	18
Kuozui Motors	87.77	377.29	23.26	18
Ford Lio Ho	13.72	162.24	8.46	18
Prince Motors	4.17	46.58	8.95	18
Taiwan Isuzu	2.48	12.58	19.71	16
Total	506.59	1,100.49	46.03