Taiwan' s Machine Tool Builders to Tap Vietnamese Market

Taipei, Feb. 22, 2006 (CENS)--Taiwan' s manufacturers of machine tools have shown strong interest in tapping Vietnamese market as many are scrambling to display products at the 2006 Vietnam International Machine Tool Show to be held in Ho Chi Minh City March 1-4, according to a survey conducted by the government-backed Taiwan External Trade Development Council (TAITRA).

Vietnam will become a more transparent and open market as it is expected to join in the World Trade Organization in the future. In view of the promising prospects of the Vietnamese market, the Taiwanese firms booked 65% more booth space at this year' s machine-tool show than last year' s, TAITRA said.

With total exhibition space reaching 7, 500 square meters, the Vietnam International Machine Tool Show will have 350 exhibitors that come from more than 30 nations, including Singapore, Japan, Taiwan, Germany, and South Korea.

TAITRA has formed an exhibition group comprised of 14 outstanding manufacturers who will showcase their latest products at the TAITRA-established Taiwan Pavilion, which will have 28 booths.

Major product items to be displayed by Taiwanese firms at the show will include CNC (computerized numerically controlled) lathes, automatic lathes, CNC machining centers, diamond tooling, centerless grinding machines, internal grinding machines, radial drilling machines, nut-heading machines, threading machines, CO2 laser cutting machines, engraving machines, air compressors, and mechanical accessories.

TAITRA noted Vietnam would remove some custom barriers in 2007, which will help make the country' s markets more prosperous.

According to statistics compiled by Taiwan' s Director General of Customs under the Ministry of Finance, Vietnam was the eighth-largest export outlet for Taiwan-made machine tools last year. The tallies showed Taiwan exported US$32.11 million worth of machine tools to Vietnam last year, up 83% from the previous year. Over the past few years, exports of Taiwan-made machine tools have been on the rise.

Taiwan has recently seen substantial growth in the exports of machine tools, which has helped boost exports of relevant components and parts. TAITRA said Taiwan has become one of the major suppliers of machine-tool components and parts worldwide, in addition to Japan and Germany.

TAITRA said such industrialized nations as Japan, Germany, and the U.S. are increasing procurement of Taiwan-made machine-tool components and parts, with the aim of cutting their production costs. In addition, some emerging nations are also scrambling to procure Taiwan-made machine-tool components and parts to upgrade the quality of their machine tools.