The Ministry of Economic Affairs yesterday said it expects about NT$200 billion (US$6.56 billion) of the approved investments by Taiwanese companies moving production back to the nation to materialize by the end of this year.
The ministry’s statement followed its announcement on Thursday that it had approved two more investment applications: Shuz Tung Machinery Industrial Co’s (旭東機械) NT$900 million and more than NT$200 million from Sunder Biomedical Tech Co (善德生化科技), which plan to expand their capacities in Taiwan.
Including the two latest approvals, the ministry has given the green light to 151 companies’ applications to invest a total of NT$623.6 billion since the beginning of this year, which are expected to create 54,970 jobs, it said.
About a third of this sum should materialize by the end of the year, Ho Kun-sung (何坤松), chief operating officer and spokesman for the ministry’s InvesTaiwan Service Center, told the Taipei Times by telephone.
“We estimated that about NT$200 billion [should materialize] by this year from Taiwanese companies returning to invest in the nation, while another NT$200 billion should materialize by the end of next year,” he said.
The ministry considers new investments as having materialized if the company has bought new land and equipment or has started construction of new factories as stated in its application, center director Emile Chang (張銘斌) said.
“That [NT$200 billion] is a practical estimate, as many companies have proceeded,” Chang said.
Shuz Tung, a supplier of machinery equipment to companies such as bicycle makers Giant Manufacturing Co (巨大) and Merida Industry Co (美利達), on Thursday said it plans to set up a smart manufacturing facility near its headquarters at the Central Taiwan Science Park (中部科學園區), which would focus on providing equipment for thin-film transistor liquid crystal displays and related packaging.
The Taichung-based company said its decision was prompted by its customers’ relocation plans.
It would simultaneously expand its existing plant in Taichung, as it is expanding into the aerospace industry, the ministry said, adding that the company would offer 56 job opportunities.
Sunder Biomedical said it is relocating its China orders to Taiwan amid rising trade tensions between the US and China, adding that it would purchase smart machinery equipment for its facilities in Yunlin County and Taichung’s Cingshuei District (清水).
The plan is expected to provide about 25 job opportunities.
Separately, the ministry on Thursday approved applications by four small and medium-sized enterprises to invest nearly NT$1.3 billion.
Bicycle component manufacturer Glory Wheel Enterprise Co (金盛元興業) plans to invest NT$90 million to expand its plant in Taichung’s Daya District (大雅) to develop its electric bicycle business.
Re-Dai Precision Tools Co (銳泰精密工具) is to invest NT$200 million to install a smart production line at its plant in Chiayi, while cold forming auto parts manufacturer Extend Forming Industrial Co (英鈿工業) is to invest more than NT$800 million to add advanced processing equipment to its plant in Kaohsiung.
Yu Hong Steel Industrial Corp (昱鋐實業), which specializes in the manufacturing and design of steel equipment, plans to invest NT$100 million to automate its plant in Pingtung County.
‘ACCORDING TO PLAN’: A company official said that it has set up production sites worldwide to provide services and that its Wisconsin project was going smoothly Hon Hai Precision Industry Co’s (鴻海精密) smart manufacturing center in Wisconsin would begin trial manufacturing in the middle of this year, the company said yesterday, adding that it plans to build a research institute to develop key technologies to support growth over the next five years. Hon Hai, known internationally as Foxconn Technology Group (富士康科技集團), said in an annual report submitted to the Taiwan Stock Exchange that its planned Foxconn Institute for Research in Science and Technology would conduct research into artificial intelligence, next-generation communications, quantum computing, cybersecurity and nano semiconductors in Taiwan. Hon Hai is to make products at the center
TV and online retailer Momo.com Inc (富邦媒體) yesterday said it has set up a new logistics subsidiary, Fu Sheng Logistics Co (富昇物流), to oversee the company’s extensive shipping operations. Leveraging Momo’s 23 satellite warehouses and distribution centers nationwide, Fu Sheng will be in charge of executing the retailer’s same-day shipment plan for deliveries in Taipei, New Taipei City, Taoyuan, Taichung, Tainan and Kaohsiung, Momo said in a press release. Seeking to further shorten its supply chain, the company is to set up another seven satellite warehouses and distribution centers by the end of the year. “Fu Sheng has a fleet of 200 couriers
E Ink Holdings Inc (元太科技), the world’s sole supplier of e-paper displays for e-readers and shelf labels, posted its best quarterly net profit for the first quarter in nine years amid increased demand during a traditionally slow season. Net profit soared 80 percent to NT$787 million (US$26.23 million) in the quarter ended March 31, compared with NT$438 million a year earlier. That translated into earnings per share of NT$0.69, up from NT$0.39. E Ink posted lower royalty income of NT$371.23 million last quarter from NT$448.74 million a year earlier, a company financial statement showed. E Ink said that it expects royalty income to
The latest US government action against Huawei Technologies Co (華為) takes direct aim the company’s HiSilicon (海思) chip division — a business that in over the past few years has become central to China’s ambitions in semiconductor technology, but is now to lose access to tools that are central to its success. That could make it the most damaging measure by the US yet against a Chinese company. On Wednesday, US officials told reporters that the Huawei’s chip division functioned as a “tool of strategic influence” for the Chinese Communist Party. Huawei, for its part, denounced the US allegations and called the