Page 30 - TTG-Taiwan Transportation Equipment Guide 2024-04 Edition

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Industry Trends Report

take effect in 2026, with reporting starting in 2023. In light of these policies, Taiwan manufacturers
This is expected to impact products like steel or demonstrate receptiveness to reform. For instance,
aluminum-made auto parts. Yao cited China Motor, which, along with 11
suppliers such as Hersheen, Ying Ming, Kian Shen,
In response, the Taiwanese government Wuu Shiang, Uni Auto Parts, Tai Yue, Shin Choung,
introduced the "2050 Net Zero Transition" policy and Chun Yuan… has been awarded a total subsidy
objective in 2022, and aiming for a 24% carbon of NT$110 million for project implementation.
reduction by 2030 as a key milestone. This initiative Moving forward, these companies will collectively
encompasses four strategies: "Energy Transition," undertake 41 energy-saving projects. However,
"Industrial Transition," "Lifestyle Transition," and alongside carbon reduction efforts, the ongoing
"Social Transition." Under the industrial transition trend of electric vehicles is also driving significant
strategy, the government provides assistance in change.
four main areas for industries. These include carbon
quantification and reporting, enhancing mitigation Paradigm Shift Triggered
capabilities, updating information, and capacity by Electric Vehicles
building in the financial industry. Additionally, the
government plans to enlist major emitters to lead In recent years, thanks to technological
the transition and support others in compliance. It advancements, reduced production costs,
also aims to collaborate with sectoral associations and heightened competition among vehicle
and leverage state-owned enterprises as examples manufacturers, the once lofty prices of electric
in this transition process. vehicles have steadily declined, bringing them within
reach of the general public on the international
Furthermore, in 2023, the Industrial Development market.
Administration (IDA) under the Ministry of
Economic Affairs (MOEA) coordinated interagency Consumers have responded favorably to this
resources and initiated the manufacturing industry shift. According to a report from the Automotive
subsidy program geared towards promoting low Research & Testing Center (ARTC), the global
carbonization and intellectualization transformation. electric vehicle market surpassed the 10 million
This program offers grants of up to NT$30 unit milestone as early as 2022, with 10.52 million
million for eligible applications, underscoring the units sold annually. Concurrently, Taiwan's EV sales
government's commitment to environmental policy soared to 29,329 units (comprising both BEV and
implementation. PHEV) in 2023, marking a remarkable 60% annual
growth rate and nearly a 36-fold increase compared
to the 795 units sold just five years ago in 2018.