Page 6 - GenerationCar

Overview of Industrial

Development

1 Output Value

The automotive industry in Taiwan has accumulated decades of experience
in traditional car manufacturing. A complete automotive industry supply chain
has also taken shape in Taiwan thanks to long-term cooperation between car
makers and suppliers. As vehicle developments shift toward smart applications
and electric vehicles, Taiwan's automotive electronics companies have also made
use of their advantages and gradually became a part of the supply chain for
international automobile manufacturers. In 2019, the "Automobile Manufacturing
Industry" in Taiwan had an output value of NT$167.4 billion, the "Automotive
Parts and Body Manufacturing Industry" was worth NT$191 billion, and the
"Automotive Electronics Industry" had an output value of NT$247.7 billion. The
three industries therefore have a combined output value of NT$606.1 billion (refer
to Figure 1). The "Automotive Electronics Industry" has become the main driver
of growth in Taiwan's automobile industry in recent years.
In terms of product category, small sedans (under 2,000 c.c.) were the
main type of vehicles produced in Taiwan while manufacturing of automotive
parts and components consisted mainly of car lights, bumpers, rear view mirrors,
wheel rims and body bumper parts. Taiwan's automotive parts are sold not only
in the domestic market, but also exported in large quantities to North America,
European Union and other markets. In addition to being a key player in the
After-Market (AM) and Original Equipment Manufacturing (OEM) markets, some
manufacturers have broken into the supply chain of international car makers (e.g.
Tesla, Ford) as well. The entry of Taiwan's ICT and other related industries into
the automotive electronics, self-driving technology, new energy, and other sectors
against such a backdrop means that all the basic conditions for the development
of next-generation vehicles are present in Taiwan.

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