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Taiwan's listed manufacturing firms report revenue, profit drop in 2019

Source: XinhuaUpdated: 2020-05-06

TAIPEI, May 5 -- Taiwan?s listed manufacturing companies reported less revenue and profit in 2019, but their spending in research and development increased to a new high, the island?s economic department said Tuesday.

The 2019 revenue of the listed manufacturing firms totaled at 16.5 trillion new Taiwan dollars (about 550 billion U.S. dollars), down 2.8 percent from 2018, while the 2019 after-tax profit stood at 1.23 trillion new Taiwan dollars, down 19.8 percent year on year, the department said in a press release.

It attributed the reduction of revenue to the trade disputes between the Chinese mainland and the United States, the slowdown of global economic growth and the reduction of raw material in international market.

Traditional industries in manufacturing, such as chemicals, oil and coal products and basic metals, all reported significant reduction in revenue, ranging from 12.5 percent to 18.8 percent, while IT industries, such as computer, electronics, optics and electronic components, saw slight decrease.

While the revenue and profit decreased in 2019, the listed manufacturing companies? spending in research and development increased by 7.9 percent to 460.8 billion new Taiwan dollars, the highest level and biggest growth in the past five years, the statement said.

Manufacturers of electronic components contributed to 57.8 percent of the total spending in research and development, the most of all industries and up 8.7 percent year on year.