Taiwan's machinery exports up 19.6% in first 4 months

Taipei, July 1, 2004 (CENS)--Taiwan's exports of machinery products came to US$3.764 billion in the first four months of this year, up 19.6% from the corresponding period of last year, according to statistics compiled by the Directorate General of Customs under the Ministry of Finance.

Of the major export items, machine tool ranked first with export value of US$640 million in the first four months of this year, up 34% from the same period of last year. The second place went to pumps, fans and compressors with US$299 million, up 23%, followed by plastic and rubber processing machines with US$283 million, up 22%; special-purpose machines with US$228 million, up 43%; woodworking machines with US$215 million, up 19%; valves with US$212 million, up 17%; textile machines with US$177 million, up 6%; molds and dies with US$177 million, up 4%; sewing machines with US$165 million, up 6%; bearings, gears and ball screws with US$131 million, up 19%; paper-making and printing machines with US$58 million at flat annual growth; and leather and shoe-making machines with US$39 million, down 9%.

In terms of export outlets, mainland China and Hong Kong together ranked first by taking up US$1.376 billion worth of Taiwan-made machinery in the first four months of this year, up 17% from the same period of last year and accounting for 36.6% of Taiwan's total machinery exports. The second place went to the U.S., which absorbed US$681 million, up 24% and accounting for 18.1% of the total. Japan ranked third with US$280 million, up 6% and commanding 5.5% of the total.

The fourth up to seventh places went to Thailand with US$175 million, up 31%; Vietnam with US$121 million, up 4%; and Malaysia with US$99 million, up 22%; and Germany with US$76 million, up 32%. Other major export outlets of domestically made machinery went to Indonesia with a 18% annual growth; Turkey, up 63%; Canada, up 11%; South Korea, up 24%; India, up 77%; Britain, up 32%; Singapore, up 34%; Italy, up 4%; Australia, up 14%, Holland, up 7%; and the Philippines, up 9%. Some others, including Spain, France, Saudi Arabia, and Russia, were also among the list of major export outlets for Taiwan-made made machinery in the first four months of this year.

On another front, customs statistics showed Taiwan imported US$5.318 billion worth of machinery in the first four months of this year, up 47% from the corresponding period of last year.

Of the major import items, special-purpose machinery ranked first with import value of US$1.749 billion, accounting for 32.9% of the total import value. In this regard, machines used in semiconductor and computer, consumer electronics and communications sectors saw an annual import growth of 41%.

The second place went to machine tools with import value hitting US$613 million in the four-month period, up 202% from the same period of last year and accounting for 11.5% of the total; followed by pumps, fans and compressors with US$287 million, up 20% and accounting for 5.4% of the total; plastic and rubber processing machines with US$233 million, up 99% and accounting for 4.4%; engines and parts ranked fifth with US$250 million, up 31% and accounting for 3.9% ; valves with US$145 million, up 32% and accounting for 2.7%; textile machines with US$93 million, down 9% and accounting for 1.8%.

In respect of the import sources, Japan ranked first with US$2.88 billion in the first four months of this year, up 42% from the same period of last year and accounting for 54.2% of Taiwan's total machinery imports for the period. The U.S. ranked second with US$1.159 billion, up 111% and accounting for 21.8%; Germany ranked third with US$332 million, up 22% and accounting for 6.3%; mainland China ranked fourth with US$229 million, up 51% and accounting for 4.3%. Other major import sources included South Korea, Switzerland, Britain, Italy, and France.

Wang Cheng-ching, vice president of the Taiwan Association of Machinery Industry, noted Taiwan imported the machines mainly used in photoelectronic, communications, information and semiconductor sectors.

Wang predicted the local machinery industry to enjoy a substantial growth in both production and export value this year because of the positive economic projections made by the World Bank. The bank predicted global economy and trade volume will grow by 3.2% and 8.1%, respectively, this year. Based on the World Bank's projection, Wang believed Taiwan's overall economic growth would hit over 5% this year, which will help fuel the growth of the domestic machinery industry.

He predicted Taiwan's machinery industry to enjoy an annual export growth of 18% to 25% and a production growth of 15% to 20% this year.