Taiwan Helping Tech Firms To Choose Southeast Asia Over China

- Advertisement -
- Advertisement -

Some of Taiwan’s biggest tech companies share the concern that Southeast Asia’s electronics manufacturing ecosystem still has some way to go before it can rival China’s.

Image for representational purpose only

Taiwan, the home base of many of the world’s top producers of electronics, is helping its companies to seek out new Asian manufacturing hubs outside China as skyrocketing U.S. tariffs threaten to splinter the global tech supply chain.

Why this shift?
President Donald Trump’s decision to increase tariffs on $200 billion of Chinese imports last week will have convinced any undecided Taiwanese companies of the need to shift some production away from China, Kung Ming-hsin, Taiwan’s minister-without-portfolio in charge of economic affairs, said in an interview in Taipei Tuesday. After Taiwan, according to Kung, Vietnam and India are the next two preferred destinations for Taiwanese electronics companies.

- Advertisement -

Taiwan has been the primary beneficiary of the shift away from China so far. Since the beginning of the year, 52 local companies have pledged to invest around $9 billion on the island as part of a government program to persuade Taiwanese companies with facilities in China to bring production back home.

While there’s little chance that China will cede its mantle as the world’s electronics workshop anytime soon, that trend is accelerating as the U.S. and China clash in politics and business — and companies scramble to get out of the way. That’s splitting the global production chain from one centered on China to a multi-pronged system with one based in the world’s second-largest economy and another that serves the U.S. and other non-Chinese markets, according to Kung.

Despite a lack of formal diplomatic ties, Taiwanese officials are currently helping companies talk to governments elsewhere in Asia about tax, subsidies and development of industrial zones, Kung said.

But Kung and some of Taiwan’s biggest tech companies share the concern that Southeast Asia’s electronics manufacturing ecosystem still has some way to go before it can rival China’s.

(Source: Bloomberg)

- Advertisement -

Related Artcles

LEAVE A REPLY

Please enter your comment!
Please enter your name here
Captcha verification failed!
CAPTCHA user score failed. Please contact us!

Exclusive

“More Chargers Provide Security And Confidence To Customers, Encouraging EV Adoption”

0
With an agenda to transform the EV industry, EarthtronEV has established 250+ charging stations on major highways across India. The company aims to interconnect...

5G RedCap To Transform IoT Module Shipments

0
Over 60% of IoT module shipments will originate from the Asian & Oceania region. Automotive sector is expected to be a significant driver. The...
XR Headset Quest 3, Meta

Global XR Headset Shipments See A Major Decline, Sony Rises

0
Sony grabbed a market share of 24% in 2023 up from 1% in 2022. Bulky form factor, and lag, hinder adoption by serious...

Buzz

Hyundai Motor Boosts EV Investment In Korea

0
The automaker stated that over half of the investment, amounting to 35.5 trillion won will be dedicated to new R&D infrastructure and EV assembly...

Jitendra EV Plans Sodium-Ion E-2Ws In Two Years

0
Sodium-ion batteries primarily use table salt and forest industry biomass, making them more readily available domestically. Jitendra New EV Tech, an electric two-wheeler manufacturer based...
Tenstorrent- RISC V cores

MosChip Collaborates With Tenstorrent For Advanced RISC-V Cores

0
Tenstorrent has selected Moschip due to their tape out expertise in design services. India’s MosChip Technologies has announced partnership with computing company Tenstorrent and to...

Important Sectors

Hyundai Motor Boosts EV Investment In Korea

0
The automaker stated that over half of the investment, amounting to 35.5 trillion won will be dedicated to new R&D infrastructure and EV assembly...

Jitendra EV Plans Sodium-Ion E-2Ws In Two Years

0
Sodium-ion batteries primarily use table salt and forest industry biomass, making them more readily available domestically. Jitendra New EV Tech, an electric two-wheeler manufacturer based...

“More Chargers Provide Security And Confidence To Customers, Encouraging EV Adoption”

0
With an agenda to transform the EV industry, EarthtronEV has established 250+ charging stations on major highways across India. The company aims to interconnect...

BYD Aims For 20% Increase In Yearly EV Sales

0
The company is targeting sales of 500,000 vehicles internationally this year, over twice the amount sold last year, and aims to increase that figure...

RRP Electronics To Invest ₹5000 Cr In OSAT and R&D In Maharashtra

0
Cricket legend Sachin Tendulkar is investing in this semiconductor facility. Such celebrated personalities investing in the sector could be a great asset to the...

Manufacturing

JLR To Hire 250 Electrical Technicians For Future EVs

0
These new roles, part of a £15 billion investment, are in addition to 300 positions created last year by the British car maker. Jaguar Land...

Altmin India Partners With WMG To Advance Battery Tech

0
Altmin and WMG will collaborate to strengthen their global battery materials supply chain position by optimizing cathode materials and developing diverse cell designs across...

EVs To Cost Less Than Gas Vehicles by 2027, Says Gartner

0
Gartner predicts a faster decline in production costs compared to battery costs, which represent the most significant expense in an electric vehicle, accounting for...
MG

MG Motor To Set Up Battery Assembly Unit At Halol Facility

0
The company plans to investigate battery cell production in collaboration with external partners. Automaker MG Motor India is actively exploring the possibility of assembling and...

Servotech Boosts India’s EV Charging Infrastructure With Manufacturing Facility

0
The new facility is poised to start with an annual production capacity of 24,000 power modules and plan to scale up to 2.4 lakh...