Taiwanese companies assess overseas strategies after Trump election win

Taipei, Nov. 6 (CNA) In the wake of Donald Trump's victory in the U.S. presidential election, which was confirmed Wednesday afternoon (Taiwan time), Taiwanese companies are assessing their overseas plans.

Advantech Co., Ltd., a Taiwan-based industrial automation product manufacturer, will continue to develop in the United States, said Miller Chang (張家豪), president of Advantech's embedded-IoT (internet of things) group.

At an investors' conference, Chang said Trump's presidency could result in some of their clients in the U.S. requesting products "Made in the USA," and not merely assembled in the U.S.

The company's sales teams, which are mainly located in California and Chicago, recently expanded to Boston. Ground was also broken on its California headquarters in 2023, Chang said.

Advantech has an assembly plant in North California, but it currently has no printed circuit board nor surface mount assembly product lines in the U.S., though it is considering introducing such units.

The details of a "made in the USA" plan will be assessed with a focus not only on cost but also the supply chain, Chang said.

The company's current manufacturing centers in Taiwan, China and Japan are very effective, something Chang wishes to replicate in the U.S. or Mexico.

The U.S. is Advantech's largest market, accounting for 30 percent, with the Chinese market declining in recent years, Chang said, adding that he is optimistic about developing the U.S. market.

Meanwhile, Hung Shui-shu (洪水樹), chairman of Tainan-based electronics casing manufacturing company Catcher Technology, announced that it has decided to establish a factory in Thailand.

At the company's Wednesday investors' conference, Hung said it had been preparing such a move in the wake of geopolitical tensions. While Taiwan's factories can meet most demands from their clients, a Thai factory means more supply resilience, he said.

However, Trump potentially poses more "volatility" and could "impact strategies," he said.

In response to the possible impact on Taiwan's industries by Trump winning his second presidency, Qisda Corp., an original design/original equipment manufacturer (OEM/ODM) headquartered in Taoyuan, said it is still observing what proportion of products will have to be "made in the USA."

Peter Chen (陳其宏), chairman and CEO of Qisda, said at an investors' conference that investments may flow into the U.S. and drive up American stock prices, because the Republican Party favors easing monetary flows.

However, USA manufacturing will also push up costs and in turn, inflation, which would be negative for the stock market, Chen said, referring to Trump's outspoken "America First" stance in which his upcoming administration is expected to emphasize more on domestic production.

As of 10:00 p.m. on Wednesday (Taipei time), Trump had secured 277 Electoral College votes, surpassing the 270 needed to win the race, while his main opponent Kamala Harris trailed with 224 votes, according to the Associated Press.