[TAITRONICS 2013 Industry Overview]

Sep 25, 2013

Growing Demand of Smart Handheld Devices Spurs Taiwan's Electronic Parts Production

The growth of Taiwan's electronic components industry is closely linked with the global economy and the electronic end-user production market. In recent years, due to the surging demand for low-end smartphones and tablets in the emerging markets, electronic component manufacturers in Taiwan have gained large profits, especially the ones producing PCB board, HDI board, connector, and battery.

The market share of smart phone under US$ 300 has exceeded 30% in 2013, and the number is still growing, according to statistics from the Industrial Economics & Knowledge Center (IEK). The market will see tablets with price under US$ 100 spring up the stage over the next few years, with those between 7 to 10 inches as mainstream products.
The global shipment of smart handheld devices (tablets and smartphones) in 2011 grew 52.2% from the previous year. The IEK estimates that the figure will further grow 49.7% in 2013 and prompt the production capacity of electronic components in Taiwan.
For five years in a row, China (including Hong Kong) has been the largest importing country of Taiwan's electronic parts, taking up over 60% of the its export. According to the IEK, 1% of order increased from China results in a 0.66% of production growth in the industry in Taiwan. Therefore, the Chinese market is an important parameter of Taiwan's electronic component industry.
(The four largest importing countries of Taiwan's electronic parts, 2008-2012)

Year
1st importing country(%)
2nd importing country (%)
3rd importing country(%)
4th importing country(%)
2008
Mainland China (Hong Kong included) (56.6%)
USA(8.6%)
Japan(5.4%)
South Korea(4.4%)
2009
Mainland China (Hong Kong included) (59.2%)
USA(7.4%)
South Korea(5.7%)
Japan(4.8%)
2010
Mainland China (Hong Kong included) (57.2%)
South Korea(8.6%)
USA(7.2%)
Japan(4.0%)
2011
Mainland China (Hong Kong included) (59.0%)
South Korea(7.9%)
USA(7.0%)
Malaysia(4.7%)
2012
Mainland China (Hong Kong included) (60.3%)
South Korea(7.8%)
USA(7.3%)
Japan(4.0%)

Source: Department of Statistics, Ministry of Economic Affairs; Customs Administration, Ministry of Finance; Industrial Economics & Knowledge Center.

Source: TAITRONICS 2013 


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