Taiwan at the Top of Auto Electronics Producers

With an automotive market which absorbs more and more cars every year, China is slowly becoming at the same time an important component supplier for the global auto industry. The companies working in the auto electronics segment of the market are currently trying to get together and invade the international market with its products.

If they manage to get at the top of the auto electronics producers, the Chinese will have, again, struck gold. According to the studies conducted so far, the electronics embedded into a vehicle accounts for about 23 to 30 percent of the manufacturing cost in mid-priced vehicles.

For the local market, the boom of the automotive sector which started last year will lead to an electronics market worth 200 billion Yuan ($30 billion) this year and 300 billion Yuan ($45 billion) in 2012.

One Chinese region plans at this time to become the premiere supplier of auto electronics: Taiwan. The businesses from this sector on the island are now asking for better collaboration so that a good portion of the electronics market be located there. Currently, the state's Ministry of Economic Affairs is also pushing for foreign investors to be drawn to the region.

“In the longer term, mainland Chinese automotive electronics firms will be able to benefit from Taiwan’s experience in the actual on-road use of these new applications, and Taiwanese and mainland Chinese companies will be able to work together to develop the international automotive electronics systems market, complementing one another’s strengths and striving to upgrade themselves,” a statement of the Department of Investment Services in Taiwan says.