Taiwan's Machine Tool Exports Surge 15.2% in First 10 Months of 2007

Taipei, Jan. 3, 2008 (CENS)--Taiwan saw exports of machine tools amount to US$2.796 billion in the first 10 months of 2007, representing a year-on-year growth of 15.2%, according to customs-cleared statistics compiled by the Taiwan Machine Tool Foundation (TMTF).

Of this, exports for domestically made metal-cutting machine tools reached US$2.199 billion, up 17.3% year-on-year. That for the metal-forming machine tools amounted to US$596.99 million, up 8%.

As regard to the leading export items for the metal-cutting machine tools, exports for machining centers grew 21.1% annually in the first 10 months of 2007. Exports for lathes, grinding machines, and milling machines grew 17.9% 7.5% and 20.6% year-on-year, respectively. In the metal-forming category, exports for presses and shearing machines grew 11.4% while that for the category of other metal-forming machines declined 5% year-on-year.

The TMTF's statistics showed mainland China and Hong Kong was the island's largest export outlet by absorbing US$1.038 billion worth of Taiwan-made machine tools in the first 10 months of 2007, up 12.1% year-on-year and accounting for 37.1% of the total exports. The U.S. ranked second with US$274.31 million, up 3.6% and commanding 9.8%. Turkey stood at the third place with US$133.26 million, up 9.8% and commanding 4.8%.

Other major export outlets, in descending order, were Germany, the Netherlands, Italy, Thailand, South Korea, India, United Kingdom, Japan, Brazil, Malaysia, Vietnam, and Spain.

The TMTF also noted Taiwan imported US$2.159 billion worth of machine tools in the first 10 months of 2007, up a whopping 40.4% year-on-year. Of this, the import value for metal-cutting machine tools amounted to US$2.078 billion, up 43.2% while that for metal-forming machine tools reached US$80.91 million, down 7.3% year-on-year.

TMTF chief executive C.C. Wang noted domestic demand for imported precision machine tools by high-tech industries reversed a decline trend and began recovered in 2006. The major categories of imported machine tools in the first 10 months of 2007 included non-conventional machine tools, machining centers, lathes, boring and milling machines, and grinding machines.

Japan was Taiwan's largest import source by selling US$937.4 million worth of machine tools to Taiwan in the first 10 months of 2007, up 27.1% year-on-year and accounting for 43.4% of the total imports. The second place went to the U.S. with US$885.13 million, up 72.6% and commanding 41%. South Korea stood at the third place with US$107.01 million, up a whopping 110% and accounting for 5%.

Wang said many domestic manufacturers of machine tools hold optimistic view about taking orders from Northeast Asia, Southeast Asia, India, North America, European Union, East Europe and Latin America in the months to come.

He called for domestic manufacturers of machine tools to have a tight grip at the demand growth of the global machine-tool industry and introduce high-value-added products to expand market share globally.

Exports of Taiwan-made Machine Tools in Jan.-Oct. 2007 by Products Unit: US$1,000
Products	Jan.-Oct. 2006	Jan.-Oct. 2007	Annual Change (%)
EDM, Laser-cutting Machines	118,027	112,317	-4.8
Machining Centers	762,548	923,310	21.1
Lathes	470,839	555,027	17.9
Drilling, Boring, Milling Machines	244,780	295,210	20.6
Grinding Machines	151,562	162,878	7.5
Shaping, Sawing, Gearing Machines	127,774	151,085	18.2
Presses and Shearing Machines	438,999	488,849	11.4
Other Metal-forming Machines	113,776	108,143	-5
Total	2,428,305	2,796,819	15.2
Source: Taiwan Machine Tool Foundation

Imports of Machine Tools by Taiwan in Jan.-Oct. 2007 by Products Unit: US$1,000
Products	Jan.-Oct. 2006	Jan.-Oct. 2007	Annual Change (%)
EDM, Laser-cutting Machines	1,221,550	1,826,618	49.5
Machining Centers	29,439	41,531	41.1
Lathes	59,067	76,586	29.7
Drilling, Boring, Milling Machines	28,528	36,363	27.5
Grinding Machines	88,833	69,085	-22.2
Shaping, Sawing, Gearing Machines	24,078	28,664	19
Presses and Shearing Machines	66,368	63,220	-4.7
Other Metal-forming Machines	20,886	17,693	-15.3
Total	1,538,749	2,159,760	40.4
Source: Taiwan Machine Tool Foundation