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Political and Policy Analysis for the Taiwanese Automation and Electronics Industry
Frost & Sullivan, Jan 2007
The automation and electronics industry is one of the leading manufacturing sectors in all the industrialized and industrializing countries. Due to its pervasive applicability, the industry is strongly linked to macroeconomic conditions. Over the years, the production base of electronic components and semiconductors has shifted from developed countries in North America and Europe to emerging ones in Asia Pacific and Latin America. Low labor costs and unsaturated markets, combined with steady economic recovery have made the Asia Pacific region attractive to semiconductors manufacturers. With some of the world’s fastest growing economies such as China and India, Asia Pacific is expected to exhibit rapid growth in demand for electronic components and applications in the future.
To help maintain its position as one of the major semiconductor producers of the world, the Taiwanese government has extended support to the semiconductor industry by framing favorable policies. Robotics is considered a major potential market by the government, given the demographic transition and technology development. Robotics segment offers a variety of investment opportunities for participants in different parts of the industry chain.
The Taiwanese Government has been formulating policies to attract foreign investors and promote private investment. The government has identified the growth of the electronics industry, in general, and the semiconductors segment, in particular, as prerequisites for a technology revolution. The National Si-Soft project, the ‘Two Trillion NT Dollar, Twin Star industries’ Program, and the Medium-term National Development Plan (2005-2008) are some of the programs launched by the government for the development of the semiconductors and related segments. The fiscal and monetary policies are expected to lend strength to the economy and trade-related policies are likely to open up new markets. Local governments are also encouraged to provide incentives to attract investment to aid the formation of industrial clusters and free economic zones. The Government and associated ministries are promoting industry-academia collaboration and allocating funds for R&D.
Frost & Sullivan’s Automation and Electronics Country Industry Forecast service provides vital inputs for evaluating the attractiveness of a country and its automation and electronics industry. Besides enabling decision makers to assess the impact of non-market forces, it also helps in identifying new market opportunities. This service provides a strong base for preparing contingency plans. In addition, investors can assess industry-specific risk factors as well as conduct in-depth micro research.
Benefits of the Report:
Understand Future Industry Trends
The study offers insights into the Taiwanese automation and electronics market, discusses its dependence on the prevailing political and policy scenario, and forecasts its future environment. This will enable industry participants to gauge the future direction of the market, enabling them to devise appropriate strategies to improve market share.
Understand Policy and Regulatory Environment
An account of the policy and regulatory framework of the Taiwanese automation and electronics industry provides insights into the regulatory environment as it exists and the future direction of the same.
Devise Country Entry Strategies
The research provides valuable information and analysis of the strengths and weaknesses of the political and policy environment of Taiwan, which are relevant to the automation and electronics industry. This is particularly useful to industry participants in devising country-specific strategies.
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