MOEA pushes for cross-strait panel field part­ner­ship

The China Post - - TAIWAN BUSINESS - BY JOHN LIU

A part­ner­ship should be formed for the panel in­dus­try across the strait, es­tab­lish­ing a uni­form stan­dard and co­op­er­a­tion plat­forms, Eco­nom­ics Min­is­ter John Deng (

) said yesterday. This en­deavor will im­prove the do­mes­tic en­vi­ron­ment and pro­vide in­cen­tives for com­pa­nies to stay in Tai­wan, Deng said at the open­ing cer­e­mony of Touch Tai­wan 2015, a dis­play panel and op­ti­cal film ex­hi­bi­tion held in Taipei.

“Against the back­drop of a fastchang­ing and chal­leng­ing in­dus­trial en­vi­ron­ment, the Eco­nom­ics Min­istry will not only con­tin­u­ously en­able cross-strait col­lab­o­ra­tion via co­op­er­a­tion plat­forms, but push for cre­ative ap­pli­ca­tion to­gether.”

In ad­di­tion, the min­istry will push for more ex­change with trade groups from emerg­ing coun­tries, con­nect­ing re­gional brands and con­tract man­u­fac­tur­ers to help Tai­wan’s panel busi­ness in­crease ex­port out­lets.

Other gov­ern­ment mea­sures in­clude as­sist­ing the panel in­dus­try to pro­tect patent tech­nolo­gies and cul­ti­vate and re­tain tal­ent, Deng said.

China’s panel in­dus­try has in­di­cated its in­ten­tion to ramp up cross- strait co­op­er­a­tion. At yesterday’s open­ing cer­e­mony, Bai Weimin ( ), vice pres­i­dent of the China Video In­dus­try As­so­ci­a­tion and also known as China’s “panel queen,” said China would place more or­ders this year than it did last year, es­pe­cially of smart prod­ucts and high-res­o­lu­tion pan­els.

As of now, in­dus­tries across the strait are co­op­er­at­ing with and com­pli­ment­ing each other, Bai said, adding that be­cause of this joint ef­fort, re­lated tech­nolo­gies are con­tin­u­ously in­no­vat­ing.

Bai an­nounced in May that or­ders worth US$4.5 bil­lion would be placed from Tai­wanese man­u­fac­tur­ers this year.

Panel Maker AUO Re­mains Con­ser­va­tive

Re­search and de­vel­op­ment as well as in­no­va­tion are crit­i­cal driv­ing force in the panel in­dus­try; its prod­ucts are con­nected to peo­ple’s ev­ery­day life, Eco­nom­ics Min­is­ter Deng said.

Tai­wanese panel mak­ers have placed greater fo­cus on large- size and high-res­o­lu­tion pan­els in re­cent years, bring­ing qual­ity prod­ucts to the world. Be­sides smart­phone pan­els, larger 65-inch and 85-inch pan­els made by In­nolux Corp. ( ) and AU Op­tron­ics Corp. ( ) are also fo­cal points of the panel expo. AUO Chair­man Paul Peng ( ), who also at­tended yesterday’s Touch Tai­wan 2015 ex­hi­bi­tion, said the com­pany has shifted fo­cus from mass pro­duc­tion to ad­vance tech­nol­ogy de­vel­op­ment.

In the old busi­ness model, panel mak­ers com­peted on pro­duc­tion ca­pac­ity and quan­tity, Peng said, adding that the new fo­cus is on im­prov­ing tech­nol­ogy, which will lead to higher prof­itabil­ity.

The panel in­dus­try faced a “win­ter” eco­nomic cli­mate in the first half of the year, Peng said. While the sec­ond half of the year is usu­ally con­sid­ered the peak sea­son for the in­dus­try, Peng only forecast an “au­tumn” cli­mate.

Things will turn bet­ter af­ter in­ven­tory ad­just­ment, Peng said. Although there has been re­duc­tion in panel prices and ship­ment, AUO’s sit­u­a­tion is much bet­ter than it was dur­ing the fi­nan­cial cri­sis, said the com­pany’s head.

CNA

AU Op­tron­ics Chair­man Paul Peng ( ), cen­ter, poses for a photo at the Touch Tai­wan 2015 open­ing cer­e­mony. Touch Tai­wan is a panel and op­ti­cal film expo held in Taipei. Do­mes­tic panel mak­ers have fo­cused on pro­duc­ing high-res­o­lu­tion large pan­els in re­cent years.

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