Taiwan's Auto-Parts Exports Hit Record High in 2011: ARTC

Taipei, July 2, 2012 (CENS)--Taiwan's auto-parts production value, a category including exports, imports and domestic demand, hit record high of NT$226.2 billion (US$7.5 billion) in 2011, the second year for the value to outstrip NT$200 billion (US$6.7 billion), according to Automotive Research & Testing Center (ARTC).

The major transportation vehicle research and testing center pointed out that the island's parts production value continued growing for four years from 2002 to 2005 in conjunction with local makers' efforts and strong demand from local automakers amid favorable business climate. From 2006 to 2009, the center added, parts production value turned into negative growth due to the unfavorable global business climate and down-turning new-car sales on the island.

The export ratio and value of Taiwan-made auto parts have been rising in recent years, thanks to both the government and local makers' joint efforts in the international market. Except a 8.45% year-on-year (YoY) decrease saw in 2009, when the international market was heavily affected by the global recession, in most of the history Taiwan's auto-parts exports enjoyed growth every year.

In 2011, Taiwan's auto-parts exports hit a record-high of NT$184.8 billion (US$6.2 billion); while the export ratio was 81.7% in the year, compared to 58.4% in 2002.

Domestic demand for auto parts peaked in 2005 to NT$179.4 billion (US$5.98 billion), thanks to the new-car sales in Taiwan topped to about 500,000 units in the year. In 2008 and 2009, the domestic demand declined to only NT$93.9 billion and NT$90 billion (US$3.1 billion and NT$3 billion), as a result of sudden frozen domestic new-car sales.

Thanks to constantly increasing exports, Taiwan's auto-parts trade in the past 10 years all came out with surplus, and the surplus value, in the past decade, peaked to some NT$90 billion (US$3 billion) in 2008 (due mainly to shrank imports) and was NT$84.3 billion (US$2.8 billion) in 2011, from the lowest NT$36.1 billion (US$1.2 billion) in 2002.

Major export product categories from Taiwan include auto lamps, body parts (plastic and sheet-metal), wheels etc., which are mostly shipped to the U.S. (36% of Taiwan's exports), Japan, and China, the center said.