Taiwan's Manufacturing Output Picked Up in August

Taipei, Sept. 26, 2005 (CENS)--Benefiting from brisk demand for consumer electronics products and the induced output growth of electronics components and computer/communications industries, Taiwan's manufacturing output in August grew 5.35% over a year earlier, a departure from the stagnation over the past 12 months.

Chang Yaw-tzong, director general of the Department of Statistics under the Ministry of Economic Affairs, reported that Taiwan's industrial output index in August hit 135.78, 5.92 points higher than the same month last year. Under the overall index, manufacturing output index gained 5.35 points; water, power, and fuel industry added 1.87 points; and housing, construction, and engineering industry advanced 45.95 points.

Chang pointed out that one major contributor to the growth in manufacturing output in August is the output growth of electronic components and computer/communications industries. Among them, the strong performance of electronics components benefited mainly from the remarkable growth in the demand for consumer electronics products, which led to output growth of related IC manufacturing, IC assembly, IC testing, contract IC production, and power supply. Moreover, with new capacities gradually stepping up their output, shipment volume of TFT-LCD (thin file transistor, liquid crystal display) panels advanced 15.89% over a year earlier.

Output of computer/communications products and audio-visual electronics grew vigorously in August. Main reasons include increased output of handset makers, due to the reception of orders from major international brand vendors and the rollout of smart handsets. Moreover, aided by brisk demand from the applications of multimedia and Internet/communications in consumer electronics and the demand for cable-TV and communications products from Europe and the U.S., output of interface cards, cable transmission equipment, and Internet connectors rose 17.65% from a year earlier.

Chang believes that riding on the upturn in both domestic and overseas demands, manufacturing output will continue to grow in the remainder of the year.