How machine tool industry is surviving during the coronavirus pandemic
Top executives from the machine tool industry from Taiwan gathered at the TIMTOS 2021 Hybrid Global press conference to discuss the role of machine industry and shared their opinions on how the sector will show its progress this year, when people are still living in the pandemic.
It should be noted that the Taipei International Machine Tool Show (TIMTOS) itself will be held on March 15-20.
Mr. James C. F. Huang, Chairman of TAITRA believes that there we are facing is a lot of challenges ahead due to the coronavirus pandemic.
«Due to the pandemic we are all facing a lot of challenges. The machinery industry is no exception. We have had a very tough year. Due to geopolitical problems we really have had a difficult year. We now only have to manage our company well, but also have to take different factors into consideration», James C. F. Huang said.
However, at the end of 2020 the world has seen some recovery in the machinery industry, he added.
«In the future how to maintain the pandemic, how to stimulate the global economy - that is really the shared task, a mission for all of us in the world. The machinery industry definitely will be playing a leading role. We really have to stand up again on our feet. So that we can drive other industries to go back to normal again. The machinery really is the foundation of many other different industries», the head of TAITRA said.
In this regard, according to James C. F. Huang, TIMTOS platform has become the third largest machinery show in the world. The world is looking for recovery right now, he also stressed.
«I think that machinery tools play a very important role and that is why TIMTOS-2021 really has a lot expectations for the industry. We are facing a lot of challenges, the rupturing of the supply chain, the fluctuation of currencies. However, I think that we are about to see the light at the end of the tunnel through the platform of TIMTOS. I think we can become a driving force for Taiwan’s economic growth», he noted.
In his turn, Alex Ko, Chairman of TAMI, pointed out that the world is experiencing an economic slump.
«I still want to point out how important machine tools are and the challenge could actually be turned into an opportunity. This is an opportunity to upgrade our supply chain or our manufacturing equipment. We have seen some companies have been moving their production bases from China to a new destination. It is a time for us to make adjustments and for these adjustments we really have to tap in to the latest trends including automation. From the second half of the last year we have seen some recovery of the industry. Some orders are coming back to our companies. Some big and leading companies are doing very well», the head of TAMI considers.
He thinks that TIMTOS 2021 will become a productive platform and he expressed hope that through the event there will be an opportunity for business orders up to 1.6 billion US dollars.
According to Chairman of FFG Jimmy Chu, Taiwan’s machine tools are exported to China, the US, Turkey, Europe and some Asian countries. He also informed that the demand and orders in the sphere had increased after last May.
«I do believe that the demand of machine tools is rising. As for the US, pandemic is still raging and causing a havoc. But the economy is not suffering that much. From FFG’s point of view, I think, there is still possibility the enterprises can produce a manufacture locally and we can also export goods to the US. So, the first quarter is actually quite prosperous but it suffered from the second quarter, but the third quarter demand has already risen again», Jimmy Chu said.
He also noted that the airspace and automobile industries have suffered the most in Europe.
«Presently I think the economy is reviving a little in Europe, but it is still facing a lot of difficulties compared to 2019. I do think that machinery industry is facing a revival. China is making a strong come back. I think in the US after the inauguration of Joe Biden the local market will see a revival as well as in automobile industry and airspace industry. We all see an opportunity. I think Japan and Korea will also see an increase in order or demand», the head of FFG thinks.
In addition, Global Chairman & CEO of HIWIN Group Eric Y. T. Chuo predicts the machinery is not doing bad at all right now. According to him, in the fourth quarter in 2021 the world will be seeing «a pretty great prospective».
«We have some companies of the HIWIN Group focusing on machine tools. I do believe that the economy is definitely better and we are all having more orders. And China is going through a transformation, they are also reviving and Europe is coming back as well. The US is also focusing on manufacturing,» he noted.
Article by Kazinform correspondent Akbota Kuzekbay