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《TAIPEI TIMES》 Production value at returning firms up 8.1%


A security guard stands at the entrance to the Ministry of Economic Affairs in Taipei in an undated photograqph.
Photo: Huang Pei-chun, Taipei Times

A security guard stands at the entrance to the Ministry of Economic Affairs in Taipei in an undated photograqph. Photo: Huang Pei-chun, Taipei Times

2022/08/30 03:00

GOOD MOVE: Returning companies in the optics, computer and electronics industries reported the highest average output growth of 27.1 percent

By Kao Shih-ching / Staff reporter

Combined production value of 135 Taiwanese companies that returned home from 2019 to last year grew at an average annual rate of 8.1 percent, higher than the average of 4.6 percent growth for the whole manufacturing sector, the Ministry of Economic Affairs said yesterday.

Although 266 companies with overseas operations had their local investment approved under the government’s Invest in Taiwan initiative as of Aug. 4, the ministry only tracked the output of 135 companies that had returned to Taiwan since 2019 for the sake of data accuracy, Department of Statistics Deputy Director Huang Wei-jie (黃瑋傑) told the Taipei Times by telephone.

The companies included networking solutions provider Accton Technology Corp (智邦科技) and fitness equipment manufacturer Johnson Health Technology Co Ltd (喬山健康科技), the ministry said.

“Since the government in 2019 launched the initiative to encourage companies to return to Taiwan, the public has been curious about how these returning companies are doing and how much they contribute to the local economy,” Huang said.

The statistics showed that these companies have been doing well over the past three years and better than the overall manufacturing sector, he said.

“In particular, in 2019 and 2020, the combined output of the whole manufacturing sector retreated at a single-digit percentage, but that of the 135 returning companies bucked the trend and grew at a single-digit percentage,” Huang said.

While a low comparison base might have partially explained the high annual growth of output at the returning companies, it is undeniable that the order-transfer effect also led to the higher growth rates, he said.

Returning companies in the computer, electronics and optics industries reported the highest average output growth of 27.1 percent over the past three years, Huang said.

Server makers registered an average increase of 55 percent, ministry data showed.

Many manufacturers in the sector had to shift their production bases from China to Taiwan after the US imposed high tariffs following a US-China trade dispute in 2018, Huang said.

The momentum continued in 2020 and last year, as demand for equipment for remote working and learning increased amid the COVID-19 pandemic, he said.

Fitness equipment manufacturers reported growth of 47.2 percent, because they expanded their local factories to satisfy increasing demand from the US market, he added.

新聞來源:TAIPEI TIMES

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