Taiwan’s manufacturing sector output hits new high in Q3

Taipei-The output value of Taiwan's manufacturing sector was NT$3.3 trillion (US$109.67 billion) in the third quarter, the highest level since the third quarter of 2015, according to statistics released by the Ministry of Economic Affairs on Friday.

The NT$3.3 trillion figure was up 6.43 percent from the same quarter of 2016, pushing manufacturing output growth for the first nine months of the year to 6.7 percent, the highest rise in the past five years.

The ministry expected the strong growth to continue because of a recovering global economy, the onset of the peak season for electronic parts and components, and the launch of new mobile devices by international brands, keeping supply chains running at a high level.

Demand in the basic metal and plastics industries will also be strong because of increases in the prices of international raw materials, the ministry projected.

It expressed similar optimism toward the future output of the machinery, automobile and car parts and components sectors.

The basic metals sector saw output grow 14.58 percent in the third quarter, while output in the chemical materials sector was up 10.15 percent, with both sectors benefiting from increasing demand and higher raw material prices.

Higher demand for memory chips and panels led to a 3.6 percent increase in third quarter output to NT$962 billion in the electronic parts and components manufacturing sector -- Taiwan's largest industry -- the statistics showed.

The machinery sector's output rose 11.68 percent in the quarter from a year earlier, while the output of makers of automobiles and auto parts was up 6.5 percent.

Manufacturers of electronic and optics products for computer use, however, saw their output fall 3.79 percent year-on-year in the quarter because of stiff international competition and sluggish demand for handheld mobile devices and virtual reality products.

Source: Focus Taiwan News Channel