Page 39 - Taiwan Hand Tools 2022-03 Edition

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INDUSTRY NEWS

T
Taiwan's Hand Tool Exports aiwan's Hand Tool Exports

Reco
Recover in 2021ver in 2021

Stephanie Chao

hen the U.S.-China trade war began in earnest in pandemic, as well as the federal government passing an
W2018, Taiwanese industries looked on as orders were infrastructure bill.
transferred out of China to avoid getting hit by tariff s, and
were redirected to Taiwan instead. These included the hand While the European Union region is Taiwan’s hand
tool industry as well. While Taiwanese companies were in tools industry second biggest market, exports to the region
a similar boat as the COVID-19 pandemic swept through had still fallen behind in the past two years. However, with
countries in 2020, Taiwan continued relatively business as tentative lessening of lockdown restrictions, demand in the
usual and was able to make the most of it in 2021, even EU has steadily risen, boosting Taiwan’s export growth to
as prices of metals increased. Taiwan’s hand tools industry 33.3%, and surpassing Taiwan’s own export growth to the
was able to correct, leading to an export value growth of U.S. market.
27.4%, reaching USD$4.79 billion.
As Taiwan’s hand tools sector are largely made up of
The latest overall performance report for 2021 was small and medium enterprises, companies had begun to
released in mid-January by the Bureau of Foreign Trade. invest in smart manufacturing in recent years, so as to
The report analyzed that from 2017 to 2020, the global continue to contend with global big brands. By improving
hand tools market share showed China at the top, the overall production capabilities, hand tool makers are
averaging at around 30% of global exports, followed by well equipped to optimize the manufacturing process and
Germany at around 15%, and the U.S., Japan, and Taiwan quality, and move from producing for the DIY market, to
respectively; Taiwan’s hand tools made up around 4% of high-end, high added-value industries, such as electric
the world’s market share. vehicles, medical healthcare, and aerospace.
Taiwan’s hand tools are primarily exported to the As a result, since implementing smart solutions,
U.S. and Europe, making up over 60% of export volume, Taiwan’s hand tools suppliers have seen a significant
with the U.S. as Taiwan’s biggest market. In the past few increase of inquiries from global brands, elevating the
years, Taiwan has seen a steady export growth to the local sector to become one of the world’s major hand tool
U.S., buoyed by the its economy bouncing back from the procurement hubs.

Taiwan Hand Tools 2022 Issue