Page 42 - Taiwan Hand Tools - 2021-03 Edition

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INDUSTRY HIGHLIGHTS

Emerging Trends and and
Emerging Trends

Technologies in the Hand echnologies in the Hand
T

Tools Industry to Watch Out Forools Industry to Watch Out For
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Stephanie Chao

he COVID-19 pandemic that upended the global among the most traditional sectors in Taiwan. IDB Metal
Teconomy, production chains and society has brought and Mechanical Industries Division Chief Chang Shang-
forth or accelerated irreversible change. Among the latest chun said the hand tool industry’s internal challenges are
trends, digital transformation and new related technologies low birth rate and lack of related and new technological
in automation and AI are the hottest topics and in the most talent. On the fl ip side, these are also the very issues that
urgent demand among companies in the hand tools and digital transformation can tackle.
hardware industries. How would a traditional sector like
hand tools and hardware, attempt to bridge the digital and The looming circumstance is because Taiwan’s
automation gap? The answer lies in a government agency workforce has dwindled over the years due to a low birth
and the technology research and development institution in rate. New graduates heading into the workforce are also
Taiwan. more likely to seek jobs in popular industries, such as
the electronics and semiconductor sectors, Chang said.
Digital Transformation In contrast, the more traditional hand tool fi rms are often
small-and-medium enterprises (SMEs) and, admittedly,
The pandemic has forced businesses to either less appealing to fresh graduates. Also, Chang pointed out
accelerate their digital transformation capabilities or that many senior craftspeople are nearing retirement; thus,
struggle amid a tentatively resurging economy. In Taiwan, fi rms could see talent shortage from both ends of the talent
where business continues as usual, the urgency for digital spectrum in a few years. Employing digital optimization and
transformation is less apparent and urgent, but at the same transformation can help hand tool fi rms lessen the impact
time, no less critical. caused by the lack of a new workforce and the incoming
retirement of its seasoned craftspeople.
Economic Ministry Industrial Development Bureau
(IDB), considered the nexus point between the industry With such a backdrop, it’s no wonder that the hand tools
and academia, revealed the hand tools and hardware sector is more progressive in adopting new technologies
industries’ challenges in implementing new technology into among the metals and hardware-related fields, Chang

Taiwan Hand Tools 2021 Issue