There was a time when almost everything imported was “Made in China”. Those times are over.
Trade disputes, impaired supply chains due to COVID-19 and growing ethical concerns are changing the global economy forever.
What we are seeing already in 2020, is Taiwan emerging as a logical alternative to sourcing from China. Politically, Taiwan are allies with the US and the countries exemplary reaction to the Coronavirus outbreak has saved their economy and lines of production from greater harm.
Why Sourcing “Made in Taiwan”
Taiwan – or “the Republic of China”, as it is sometimes confusingly called – has a long history of producing from low-cost goods to high-tech electronics. In fact, some of the largest technology companies such Asus, TSMC or Acer are from Taiwan.
These aren’t the largest Taiwanese companies by any means though. What Taiwan is best at is at working behind the scenes as OEM, ODM or White Label supplier for well-known global brands.
Did you know that the Taiwanese companies HonHai Precision, Pegatron and Wistron are 3 of the 5 largest electronics manufacturers in the world (according to the 2019 MMI report)?
In other words, those are the companies that actually produce what you later buy as Apple, HP, Dell, etc.
It’s not only electronics where Taiwanese expertise, design and production quality are valued internationally from FBA businesses to large brands.
There are also stark differences in mentality and way of doing business compared to China. Buyers who have worked with both Chinese and Taiwanese engineers and factory bosses frequently report that while Chinese tend to be self-confident and sometimes aggressively ambitious, their Taiwanese counterparts tend to do business in a more friendly and modest way.
Taiwanese producers are not only easy to work with, but the well-established logistics network guarantee efficient delivery. There are shipping ports in various parts of the country, strategically located near areas with high factory density.
Cost of sourcing wholesale products from Taiwan can be higher (though in some cases lower) compared to China. However, in reality much of the price difference is put into perspective by higher quality, reliable scheduling, lower minimum order quantities. Further, US-China tariffs have eroded some of the price gap in favor of other Asian countries such as Taiwan.
How to Find Taiwanese Suppliers
You can search and contact suppliers online, similar to how you would do it on Alibaba for Chinese companies.
Some Taiwanese supplier directories are:
B2B China Sources
Trade fairs are another popular way to find and get to know relevant suppliers. You can find upcoming trade shows here:
We Can Help
If you need a procurement agent, contact person or someone who can help you “on the ground” in Taiwan, don’t hesitate to contact us. Our international team is able to assist and support you.