Japan International Machine Tool Fair (JIMTOF) brings business to Taiwan makers
The prosperity being enjoyed by the Japan machine tool industry this year has benefitted the machine tool makers in Taiwan as well. Owing to an increased demand in the aerospace markets in China and India, sales of Mitsubishi Regional Jet (MRJ) of Mitsubishi Heavy Industries, Ltd. have been growing. Aerospace Industrial Development Corporation (AIDC) representatives have met up with Mitsubishi executives recently to collaborate in MRJ’s aerospace part project.
Taiwan Association of Machinery Industry president Zheng-Qing Wang said that the business deal exceeds $100 billion yen. The estimated order is valued at 120-140 billion, which is the second highest recorded. Growth is due to the flourishing U.S. automation and aerospace industries. Growth is also boosted by the Japanese government’s move to extend loans to companies for upgrades. The depreciation of the yen and the increasing demand for machines from mobile manufacturers in China also contributes to growth.
However, Taiwanese companies have been under pressure recently because of the yen’s depreciation by 40% against the US dollar over the past two years. This is despite the fact that the prices of Taiwan-made machines were 30~40% cheaper than those from Japan. Doosan Corporation, the largest Korean machine tool company, has cut its prices by an average of 10%, or US$3,000 to $10,000, making things worse. But despite the challenges, Taiwanese firms still possess certain advantages to compete globally.
There were 53 exhibitors from Taiwan at JIMTOF this year.
Taiwanese makers are stepping in to fill up some rush orders as Japanese companies are currently running at full capacity. Comparing production costs between Taiwan’s TAKISAWA Technology Co. Ltd and Takisawa Machine Tool Co., Ltd. (Japan), it will be beneficial to outsource production to Taiwan. AIDC has been aggressive, grabbing every chance to supply the Japanese market. The supervisor of AIDC paid a visit to Mitsubishi in Osaka this September to discuss cooperation on MRJ aerospace part development.
Hiwin Technologies Corp is also very active in supplying the Japanese market. Its 36-unit stand scale is much superior to similar products from its competitors, THK and NSK.
Taking the opportunity to promote its Ballscrew Preload Diagnostic System, Ballscrew Lubrication Diagnostic System, Ballscrew Sensing Device, Direct Drive CNC Tilting Rotary Table, Industrial Robot, and other products. Tongtai Machine & Tool Co. Ltd showcased its automatic lathes and ultrasonic equipment for semiconductors and automation, successfully attracting lots of attention during the exhibition.