Taipei, Taiwan’s manufacturing sector suffered a year-on-year sales drop in the first quarter of this year, the fifth consecutive quarterly fall, the Ministry of Economic Affairs (MOEA) said Tuesday.
The revenue generated by the manufacturing sector amounted to NT$3.085 trillion (US$102.98 billion) in Q1, a drop of 2.15 percent from the same quarter of last year, according to the latest MOEA statistics.
The quarterly drop can be attributed to the COVID-19 coronavirus pandemic and declining international crude oil prices, factors that have caused a disruption in overall domestic production orders as demand has dwindled, the ministry said.
Despite this, the semiconductor industry continued to show positive growth.
In Q1, the revenue generated by the electronic components manufacturing sector was NT$899.4 billion, an 11.51 percent increase over the same period of last year, thanks mainly to an increase in demand for 5G and other related products, the MOEA said.
In terms of traditional industries, the chemical materials, basic metals, mechanical equipment and automobile parts sectors posted revenue drops of 17.80 percent, 9.77 percent, 10.41 percent and 2.93 percent, respectively.
The LCD panel industry, meanwhile, also posted a year-on-year drop of 16.52 percent, according to the statistics.
Production revenue can be affected by commodity price fluctuations, the MOEA said, noting that if the latter factor is excluded, the industrial production index for the first quarter of this year would be 109.19, an increase of 9.66 percent over the same quarter of 2019.
Source: Focus Taiwan News Channel