Top-2 PTW Makers in Taiwan See Rising Exports in 1st Half

Taipei, Aug. 1, 2008 (CENS)--Thanks to the strong demand resulted from appreciation of the euro against NT dollars and upgraded product competitiveness, exports from the top-two powered two-wheeler (PTW) manufacturers in Taiwan, Kwang Yang Motor Co., Ltd. (KYMCO) and Sanyang Industry Co., Ltd., saw clear growths.

Sanyang president Huang Kwang-wuu recently pointed out that his company's PTW plants in Taiwan and mainland China jointly exported 75,000 to 76,000 units in the first half to mainly customers in Europe, up 40% from the same period of 2007, including about 30,000 units from its Chinese subsidiary Xiashing Motorcycle Co., Ltd. (which produces mainly 50cc, 90cc, and 125cc low- and middle-price scooter models) and around 45,000 units from the local factory (higher-level models with bigger engine displacements).

Kwang Yang senior executives said their company signed an OEM agreement with BMW Motorrad of Germany two years ago to supply a 450cc single-cylinder motorcycle engine for its new GS450 enduro bike. Kwang Yang began shipping the engine in May and is expected to win more contracts from BMW.

In addition to the powertrain, industry sources said, Kwang Yang also supplies some other parts for the GS450.

Kwang Yang senior executives said the company's Taiwan factory exported 155,000 PTWs in the first half, up 5% from the same period of last year; while its two subsidiaries in mainland China, Changzhou Kwang Yang and Hunan Kwang Yang, together shipped about 80,000 units to markets such as Europe, Southeast Asia and Latin America, up 10% to 15%.

Kwang Yang pointed out that its Taiwan plant is expected to export 300,000 units while factories in China about 160,000 units.