TAMI Forms Fact-finding Group to Visit Vietnam

Taipei, August 5, 2008 (CENS)--Looking to the promising prospects of Vietnam, the Taiwan Association of Machinery Industry (TAMI) will form a fact-finding group to visit Vietnam.

The group will visit such big cities as Hanoi and Ho Chih Minh in Vietnam. So far, 15 domestic firms, from CNC (computerized numerically controlled) lathe, automation, logistics and food-processing machinery sectors, have registered with the TAMI to take part in the group.

Members of the group include such machine-tool manufacturers as Hsing Kang Machinery Works Co., Pro Richyoung Industrial Co., Kaori Heat Treatment Co., Excetek Technologies Co., Jeng Fong Iron Works Co. and Ever Richo Technology Co. This is the largest group ever organized by the TAMI to visit Vietnam.

Fred P.C. Huang, chairman of the TAMI, said Vietnam procured US$498 million wroth of Taiwan-made machinery and relevant components last year, up 22.1% year-on-year. He calls for domestic relevant manufacturers to speed up the pace of tapping the Vietnamese market.

Eric Y.T. Chuo, president of Hiwin Technologies Corp., said Vietnam has sound fundamentals because of stable politics and a huge pool of manpower, despite the impact of inflation and rising interest rates.

Although Vietnam is faced with an aggravated economic situation, Chuo believes after the economic situation comes back to the right track, Vietnam will be an appropriate investment destination for domestic enterprises.

Kung Long Batteries Industrial Co., one of Taiwan's leading manufacturers of uninterruptible power systems and batteries, noted it would continually increase investments in Vietnam in which it has erected two plants. The company has already invested US$20 million in Vietnam. The company's two new plants in Vietnam, with total investment of US$3 million, will be inaugurated by the end of this year.

The company noted its Vietnamese operations contributed NT$1.7 billion (US$56.1 million at US$1:NT$30.3) to its total sales last year and the amount will grow to over NT$2 billion (US$66 million) this year.