Demand for industrial land and properties might increase further in the short to medium term as China-based Taiwanese manufacturers take advantage of reshoring initiatives to cut exposure to trade conflict-related risks, CBRE Taiwan said yesterday.
Authorities have unveiled a three-year program to help China-based manufacturers move back to Taiwan to avoid punitive tariffs from Washington on Chinese goods.
The program, which took effect this year, provides incentives including land provisioning, help with staffing, tax credits, utility discounts and funding services. Specific measures include rent waivers at industrial parks for two years.
“More Taiwanese firms in China have voiced a willingness to move back to Taiwan,” CBRE Taiwan said in a report, adding that some already took action last year.
The international property broker said that it recorded several transactions last year involving manufacturers relocating from China, with the largest being Quanta Computer Inc (廣達), the main assembler of Apple Inc’s MacBook and Apple Watch.
Quanta acquired an 8,900 ping (29,421m2) factory complex in Taoyuan for NT$4.28 billion (US$138.68 million) and plans to turn the site into a manufacturing base for high-end products, as well as an artificial intelligence laboratory, CBRE Taiwan said.
Clients have demonstrated a keen interest in industrial land and properties in Taipei, New Taipei City and Taoyuan, the broker said, adding that Kaohsiung is also attractive given its status as a manufacturing hub.
Manufacturers are eligible for the stimulus program if they are affected by the US-China trade conflict, have been operating in China for more than two years and intend to include high-value or smart manufacturing in their operations after relocation, CBRE Taiwan said.
Industrial land deals last year soared 77.1 percent from 2017 to NT$54.98 billion, with self-occupancy driving 84 percent of transactions, the consultancy said.
Authorities lent support by introducing measures to boost land utilization, fining owners for who fail to build factories within three years of purchase of plots in industrial parks, with idle lots subject to public auctions later, it said.
Starlux Airlines Co (星宇航空) today unveiled a long-haul network expansion plan at a shareholders’ meeting in Taipei, including direct flights to Barcelona, Spain, and Zurich, Switzerland, as well as a service connecting Taipei, Sydney and New Zealand. Starlux is to become the first Taiwanese carrier to offer non-stop services to the two European cities, while the inaugural oceanic route is expected to expand transit opportunities within the Australia-New Zealand market, Starlux said. Flight services to Chicago, Dallas, Washington and New York are under evaluation, the airline added. Prior to the shareholders’ meeting, the airline earlier this year announced that it would be
Netherlands-based semiconductor equipment supplier ASML Holding NV yesterday said that it is planning to hire an additional 1,000 people in Taiwan this year in response to growing demand from clients. ASML had previously planned to recruit 600 people this year, but that the plan has been adjusted upward, ASML vice president and ASML Taiwan general manager Grace Wang (汪佳慧) told reporters. ASML has a workforce of more than 4,500 in Taiwan, accounting for about 10 percent of its global total, Wang said. This year’s recruitment campaign would focus on adding people in the customer support, manufacturing and supply chain domains to assist ASML
UNDER MICROSCOPE: Taiwan detained three people who allegedly conspired to buy servers in Taiwan and export them using fraudulent documentation, prosecutors said Nvidia Corp chief executive officer Jensen Huang (黃仁勳) on Saturday urged Super Micro Computer Inc to tighten up on compliance after Taiwan detained three people this week for allegedly making fraudulent declarations about artificial intelligence (AI) servers made by its US partner. The development marked the nation’s first crackdown on semiconductor smuggling, which grew after the US slapped restrictions on exports of high-end chips such as Nvidia AI accelerators to China. Nvidia is “rigorous” in explaining regulations to all of its partners, Huang told reporters after arriving in Taipei. “Ultimately Super Micro has to run their own company,” he said in response to
Nvidia Corp yesterday announced that CEO Jensen Huang (黃仁勳) would attend an employee meeting in Taipei tomorrow to celebrate the launch of the company’s Taiwan headquarters project. Huang would attend a gathering at the site of Nvidia’s planned headquarters in Beitou Shilin Technology Park (北投士林科技園區), the company said in a statement. After arriving in Taiwan on Saturday last week, Huang told reporters that he plans to meet with Quanta Computer Inc (廣達) chairman Barry Lam (林百里) and Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) chairman C.C. Wei (魏哲家), and would attend the groundbreaking ceremony for Nvidia’s Taiwan headquarters tomorrow. Nvidia has not yet applied
RSS