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Taiwan Chip Makers Hit 266.5B in '05
June 8, 2006 |Estimated reading time: 1 minute
DUBLIN, Ireland The growing portable consumer electronics and personal computing sectors have been driving chip component production in the Greater China region. Demand for these devices requires manufacturers to ramp-up production. In China alone, component output is forecast to increase 20% by year's end, shows China Sourcing Report. There are more than 200 chip components manufacturers in mainland China, where production in 2005 reached about 415.15 billion units of chip capacitors, inductors, resistors, and antennas, according to estimates from the China Electronic Components Association (CECA). Output is forecast to further increase to 498 billion units in 2006. Companies surveyed within mainland China are expected to account for about 47% of the country's total component output in 2006. In Taiwan, more than 100 of the 500 passive component manufacturers produce chip components. Excluding inductors, Taiwan produced 266.5 billion units of chip components in 2005, according to the Industry and Technology Intelligence Services (ITIS); production is expected to rise to 292.6 billion units this year. The combined capacity of mainland China chip resistor makers surveyed is projected to reach 5.42 billion in 2006, while Taiwan production will reach up to 23.84 billion units.The majority of chip components manufacturers in mainland China are chip inductor companies, most of which are mid-range to small-scale suppliers. According to the report, chip capacitors comprise more than 70% of the total capacitor segment. The resistor segment of mainland China accounts for 80% of overall resistor production. CECA reports that mainland China's chip resistor production capacity reached 431 billion units in 2005, representing about 39.2% of the global capacity. Mainland China's chip inductors comprise more than 30% of the region's entire inductor sector. This region also supplies about 5-10% of the global chip inductor market, according to the China Center for Information Industry Development. The ITIS reports that Taiwan's production value of chip inductors accounts for 3% of the world total.