The ongoing COVID-19 virus outbreak has hit many sectors of Taiwan’s economy. The latest bad news comes from the automotive and electronics industries, which are being forced to slow down production because of a shortage of parts and other supplies from China.
Car sales in Taiwan have increased since the COVID-19 outbreak began, as more and more choose to drive instead of taking public transportation.
However, this growth will likely be short-lived.
Taiwan’s automotive industry is facing a shortage of parts that it would normally get from China’s Hubei province. The province is at the center of the outbreak, and it also happens to be a major manufacturer of car parts for brands around the world. Several Taiwanese car companies warn that if shortages continue, they will have to shut down production lines and put employees on extended leave.
Taiwan’s electronics industry is in bad shape, too. Taiwan’s top industrial association, the Chinese National Federation of Industries, says that electronics companies are surviving on whatever parts remain in their inventories. According to the federation, the outlook for Taiwan’s electronics companies will grow increasingly bleak if the outbreak continues.