To: Math Junkie who wrote (45408 ) 4/13/2001 5:28:16 PM From: Proud_Infidel Read Replies (1) | Respond to of 70976 Taiwan prospers amidst economic slowdown By Faith Hung EBN (04/13/01 12:21 p.m. EST) TAIPEI, Taiwan -- To help slash costs in the midsts of a market slowdown, foreign companies are sharply boosting the procurement of PC-related products from Taiwan. Siemens, Munich, Germany, is planning to buy 25 to 30% more products this year, rising from US$500 million in 2000. The purchase list includes notebook PC, monitors, personal digital assistants and ICs. “Taiwan is able to offer competitive pricing for quality goods,” said an official at Siemens' office in Taipei. “Our procurement here is among the top three in Asia in terms of amount and variety of products.” Suppliers of the German firm spread across from the island, China, Singapore, South Korea and many other Asian countries, she said. Siemens is not alone. To take advantage of Taiwan's lower costs, major OEMs like Compaq Computer Corp., Dell Computer Corp. and Hewlett-Packard Co. have all outsourced to the island. According to an estimate from Taiwan's Ministry of Economic Affairs, OEMs from the U.S., Japan and Europe will purchase electronics products worth US$45.6 billion this year, compared with US$35.6 billion in 2000. Among last year's biggest buyers, Houston, Texas-based Compaq bought up US$10 billion of products, followed by US$5.5 billion by HP, and US$4.5 billion by Dell and IBM Corp., respectively, the ministry said. Siemens said that Quanta Computer Inc. and Compal Electronics Inc. are possible candidates for supplying the laptop PCs, declining to reveal any other details. The German company will soon decide if it will farm out its handset production to Taiwan.