First International Computer Inc (
The company, which counts NEC Corp as one of its biggest customers, said it needs to move production from its base in Taiwan in response to client requests and in a strategy to cut costs.
First International has about 2,500 employees in Taiwan.
"We're probably lagging other notebook makers in Taiwan in moving to China," said Rita Wu, a First International spokeswoman, said the company will eliminate as many as 400 jobs.
Wu made the comments in response to reports in a Chinese-language newspaper.
"We need to move to China to stay competitive," Wu said.
Quanta Computer Inc (廣達電腦), the world's biggest laptop computer maker, on Aug. 27 said it plans to more than double its output in Shanghai this year, helping China to unseat Taiwan as the world's largest manufacturing base for notebook PCs.
Taipei-based Quanta more than doubled its sales in the third quarter as it gained market share against its more than 20 rivals in Taiwan.
First International was founded by Charlene Wang, the daughter of Wang Yung-ching (
Wu declined to say how many jobs will be cut, adding that the total will probably be fewer than the 400 reported by the paper.
Taiwan's unemployment rate fell to a six-month low to 4.92 percent in October, reflecting an improving job market amid an economic recovery, according to the Directorate General of Budget, Accounting and Statistics (DGBAS).
The number of people out of work in October fell to 497,000 from 510,000 a month earlier.
In particular, the number of unemployed people who lost their jobs because of business closures and job cuts was 199,000 in October, compared with 210,000 in September, the DGBAS said.
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