Taiwan Machine Tool Exports Down 48.8% in January 2009

Taipei, April 6, 2009 (CENS)--Taiwan exported US$154.45 million of machine tools in January 2009, down 48.8% year-on-year, according to the Taiwan Machine Tool Foundation (TMTF).

Exports for metal-cutting machine tools came to US$117.54 million, down 50.9%; exports for metal-forming machine tools amounted to US$36.9 million, down 41.2%.

The table below lists the various categories of machine tool exports in the month for this year and the last, together with the annual changes.

Mainland China and Hong Kong together was Taiwan's largest export outlet by absorbing US$34.76 million of the products in January 2009, down 59.6% year-on-year and accounting for 22.5% of the total exports. The second place went to the U.S. with US$18.21 million, down 36.7% and commanding 11.8%. Germany stood at the third place with US$10.79 million, down 37.1% and accounting for 7%.

The TMTF's tallies also show that Taiwan imported US$21.75 million of machine tools in January 2009, down a whopping 89.2% from US$201.3 million a year earlier. The import value for metal-cutting machine tools came to US$14.94 million, down 92.2%; that for metal-forming machine tools amounted to US$6.8 million, down 27.4%.

C.C. Wang, chief executive of the TMTF, attributed the lower imports of machine tools to the slowdown in the domestic high-tech industry since the second half of 2008.

The table below lists the various import categories of machine tools into Taiwan during January 2009 and 2008, as well as the annual changes.

Japan was the island's largest supplier by selling US$9.39 million of machine tools to Taiwan, down 92.4% year-on-year and accounting for 43.2% of the total. Germany ranked second with US$4.05 million, down 10.2% and commanding 18.6%; Hong Kong and mainland China together stood at the third place with US$2.17 million, down 2.2% and accounting for 10%.

Wang said 2009 will be harsh for major machine-tool producing nations, with U.S. and Japan seeing substantial decrease in orders so far this year.

Many domestic manufacturers in this field foresee lower global demand in the first half of 2009.

Wang said the woes battering domestic machine-tool manufacturers in 2009 include the sharp volatility of the local currency against greenback and the relatively high prices of steel and cast iron, in addition to the relatively lower value of the Korean won, considering South Korea is the island's major competitor in the global machine-tool arena.

Exports of Taiwan-made Machine Tools in January 2009 Unit: US$1,000
Products	January 2008	January 2009	Annual Change (%)
EDM, Laser-cutting Machines	9,030	4,806	-46.8
Machining Centers	94,655	38,616	-59.2
Lathes	69,405	41,591	-40.1
Drilling, Boring, Milling Machines	35,154	16,808	-52.2
Grinding Machines	15,992	5,826	-63.6
Shaping, Sawing, Gearing Machines	14,993	9,898	-34
Presses and Shearing Machines	50,597	29,179	-42.3
Other Metal-forming Machines	12,124	7,728	-36.3
Total	301,950	154,452	-48.8
Source: Taiwan Machine Tool Foundation

Imports of Machine Tools by Taiwan in January 2009 Unit: US$1,000
Products	January 2008	January 2009	Annual Change (%)
EDM, Laser-cutting Machines	163,485	6,020	-96.3
Machining Centers	3,136	2,197	-29.9
Lathes	9,671	1,348	-86.1
Drilling, Boring, Milling Machines	3,901	1,038	-73.4
Grinding Machines	9,091	2,675	-70.6
Shaping, Sawing, Gearing Machines	2,703	1,671	-38.2
Presses and Shearing Machines	8,895	4,623	-48
Other Metal-forming Machines	474	2,179	359.7
Total	201,356	21,751	-89.2
Source: Taiwan Machine Tool Foundation