Fri, Aug 09, 2002 - Page 10 News List

NEC to source NT$61bn in products from makers

STAFF WRITER

NEC Corp plans to increase the amount of mobile phones, PDAs and notebook computers it purchases from Taiwan by 10 percent this year to NT$61 billion (US$1.8 billion), the president of Japan's largest computer manufacturer said yesterday.

Most of the orders will be for communications equipment and desktop-PC components, such as TFT-LCD panels, NEC Taiwan officials said.

The China External Trade Development Council, a government-sponsored organization, brought together 277 Taiwanese companies for a two-day meeting with NEC executives last month.

"With the NEC project, we had 19 companies [separate companies within NEC] requiring bids on 650 various types of products," Wu Cheng-tien (吳政典), director of the council's International Sourcing Center, said.

Mobile phones, semiconductor equipment and computer components will now, as a result of the meeting, be sourced by NEC from local manufacturers.

Fujitsu Ltd, a Japanese electronics giant, also announced plans earlier this year to purchase some NT$30 billion (US$885 million) in PCs, computer servers and mobile phones from Taiwanese manufacturers this year.

The company also worked with the trade council to finalize a list of companies that eventually met with Fujitsu executives in Taipei. It interviewed over 300 companies in an effort to source 207 products here.

Last year, foreign firms purchased US$37 billion in IT products from Taiwanese manufacturers, two-thirds of which were bought by US-based companies.

Japanese companies, by comparison, only purchased US$4.41 billion in IT products from Taiwan last year, although this was a 22.2 percent increase over the previous year, according of Industrial Development Bureau figures.

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