TMTF: Taiwan's Machine-tool Exports Drop 50.9% in Q1

Taipei, June 5, 2009 (CENS)--Taiwan exported US$444.85 million in machine tools in the first quarter of 2009, down 50.9% year-on-year, according to the Taiwan Machine Tool Foundation (TMTF).

The exports of metal-cutting machine tools amounted to US$333.93 million, down 53.8% and that for metal-forming machine tools came to US$110.92 million, plunging 39.2%.

Specifically the exports of machining centers slid by 62.1%; lathes, down 46.4%; grinding machines, down 57.7%; drilling, boring and milling machines, down 46.3%; shaping, sawing and gearing machines, down 33.8%; presses and shearing machines, down 40.4%; and other metal-forming machines, down 34.4%.

Mainland China and Hong Kong together bought US$130.31 million in Taiwan-made machine tools in the first quarter of 2009, ranking first place but down 50.2% year-on-year and accounting for 29.3% of the total exports. The U.S. was second at US$45.8 million, down 45.8% and commanding 10.3%. The third place went to Germany with US$29.52 million, down 37.4% and accounting for 6.6%.

The TMTF's statistics also showed Taiwan imported US$81.16 million in machine tools in the first quarter of 2009, down 85% year-on-year. The imports of metal-cutting machine tools amounted to US$63.97 million, down 87.6% and that for metal-forming machine tools came to US$17.19 million, down 29.5%.

The table below shows the other imports of machine tools into Taiwan in the first quarter.

C.C. Wang, TMTF CEO, noted the demand for imported precision machine tools by Taiwan's semiconductor, information technology, electronics, communications and optoelectronics sectors has been on the wane since the beginning of 2008. Still, the demand by conventional industries of precision components and metal products still maintained moderate growth.

Japan led the supply of machine tools to Taiwan by selling US$29.13 million of such items in the first quarter, down 91.2% year-on-year and accounting for 35.9% of the total imports. Germany ranked second with US$20.45 million, up a whopping 72.8% and commanding 25.2%. The third place went to mainland China and Hong Kong at US$6.72 million, up 1.5% and commanding 8.3%.

Wang said the domestic machine-tool industry has suffered gradual decline in production and orders since the fourth quarter of 2008, the outbreak of the global financial tsunami.

Exports of Taiwan-made Machine Tools (Jan.-March 2009) Unit: US$1,000
Products	Jan.-March 2008	Jan.-March 2009	Annual Change (%)
EDM, Laser-cutting Machines	39,038	13,539	-65.3
Machining Centers	297,318	112,634	-62.1
Lathes	211,409	113,262	-46.4
Drilling, Boring, Milling Machines	89,600	48,124	-46.3
Grinding Machines	43,372	18,339	-57.7
Shaping, Sawing, Gearing Machines	42,357	28,035	-33.8
Presses and Shearing Machines	148,084	88,287	-40.4
Other Metal-forming Machines	34,493	22,639	-34.4
Total	905,671	444,859	-50.9
Source: Taiwan Machine Tool Foundation

Imports of Machine Tools into Taiwan (Jan.-March 2009) Unit: US$1,000
Products	Jan.-March 2008	Jan.-March 2009	Annual Change (%)
EDM, Laser-cutting Machines	447,751	26,080	-94.2
Machining Centers	12,494	9,029	-27.7
Lathes	20,932	7,667	-63.4
Drilling, Boring, Milling Machines	11,402	4,988	-56.3
Grinding Machines	16,446	10,843	-34.1
Shaping, Sawing, Gearing Machines	5,923	5,364	-9.4
Presses and Shearing Machines	23,030	13,922	-39.5
Other Metal-forming Machines	1,379	3,275	137.5
Total	539,357	81,168	-85
Source: Taiwan Machine Tool Foundation