Page 35 - Taiwan Hand Tools 2023-01 Edition

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INDUSTRY NEWS

Post-COVID puts digitalization ost-COVID puts digitalization
P

into spotlight in hand tool and
into spotlight in hand tool and

hard
hardware sectorsware sectors

Stephanie Chao
oronavirus lockdowns and travel restrictions around years, Taiwan Hand Tool Manufacturers’ Association
Cthe world have generally lifted this year, prompting (THTMA) Honorary Chairman David Huang pointed out
a flurry of activity as suppliers and buyers alike seek to that average unit prices have been steadily increasing year
take advantage of the resurgence of demand, as well as by year now. While total exports are not yet comparable
changed market landscape in the post-pandemic world. with China’s performance, Huang pointed to the industry’s
Taiwan’s hand tools industry sits on the cusp of change, strong foundations, allowing companies to develop towards
as many seek to find opportunities to reinvent business high-end markets.
operations and gain a stake in the changing industry.
However, the next step for the traditional sector will
As the third largest hand tools exporter in the world, be significant in its challenges, since suppliers aiming to
Taiwan’s total hand tool exports value refl ected the surge in enhance their bargaining power in the competitive market
demand in 2021, with the overall fi gures steadily reaching must similarly embrace new technologies that are outside
USD$4.79 billion, a signifi cant increase of 27.4% compared their expertise: digitalization. Citing the online magazine for
to 2020 and breaking the historical value on the record the global home improvement industry, DIY International,
as the economy had rebounded and metals had seen a in an article covering the Taiwan International Tools &
signifi cant price hike. Growth statistics in 2022 are likely to Hardware Expo (TiTe), Merkle Taiwan Chairman Boice
continue the trend, where in the fi rst half of 2022, Taiwan’s Lin was quoted saying that the most common problem
hand tools total export value could surpass USD$5 billion. encountered by traditional Taiwanese business was that
in the past, they were unable to integrate each stage
Noting how the domestic hand tools industry has been of work necessary for them to fully utilize the benefits
moving away from the traditional OEM model in recent of digital transformation. On the other hand, Lin added

Taiwan Hand Tools 2023 Issue