TAIPEI, TAIWAN — With a theme of “Innovating for a better tomorrow,” the 28th Taipei International Auto Parts & Accessories Show (AMPA) is hoping many of their tomorrows include improved business relations with the United States automotive market.
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Held April 11-14, 2012, in Taipei, Taiwan, AMPA and its sister show, the 7th Taipei International Automobile Electronics Show (AutoTronics) are “the most professional aftermarket auto parts procurement platform in Asia,” says Yuen-Chu an Choa, president and CEO of event organizer TAITRA (Taiwan External Trade Development Council.)
With its continued focus on innovation, Taiwan’s aftermarket is constantly developing new technology with flexibility and delivering products of small quantities and high diversity, which has helped lead to growing market share on the overseas market.
The country’s innovation focus appears to be paying off. Taiwan auto parts exports have increased by 7.8 percent from 2010 to 2011, according to Taiwan Customs, with top destinations bing the US (36 percent), Europe (25 percent), Japan (7 percent) and China (5 percent). The show has also boasted record attendance, with 1,052 exhibitors, 2,841 booths and more than 6,000 buyers — an increase of 15 percent compared to the previous year.
“This show offers the greatest profile yet. It maintains its winning categories of Auto Parts, Auto Accessories, Repair & Maintenance, Automobile Electronics Products and Automobile Electronics Components & Parts. But it also offers four new areas, namely those of Tuning & Restyling, Enging Parts, Chassis Systems and Automobile Frames & Parts,” an Choa says.
The strong turnout for the two-in-one show last year left hundreds of exhibitors disappointed with insufficient venue space at the Nankang Hall. In remedy, 300 additional booths were added this year at a second location — the TWTC Exhibition Hall.
TAIPEI AMPA and AutoTronics Taipei coincided with the 2012 Motorcycle Taiwan (the 7th Taiwan International Motorcycle Show) and the 2012 EV Taiwan (the 2nd Taiwan International Electric Vehicles Show) that unfolded April 12-15 at TWTC Hall and focus on hybrid vehicles, electric motorcycles, battery, battery-driven electric vehicles, imported motorcycles and related components.
This dual-format show is known for product variety, with many well-known local exhibitors attending this year; while nearly 170 international exhibitors from Japan, the U.S., South Korea, Thailand, Malaysia and China registered for the event.
US reach
Although AMPA only welcomed three US exhibitors — Winbo USA, Inc., Big Roc Tools, Inc. and Manatt, Phelps & Phillips, LLP — it did boast its highest attendance yet of US buyers with 434 visiting the show.
And that is really who Taiwanese exhibitors are hoping to reach. A main end goal is to build more partnerships with US companies, especially OEMs, and try to gain a bigger foothold of the American market.
“Taiwan is not good at making entire cars. It’s not our strength. We don’t produce any major car brands like Ford, BMW or Mercedes. But what we are good at is making smaller car parts in partnership with an OEM brand, whether for their OE or aftermarket lines,” says John Tseng with Adrinoc Instrument Manufacture Co., Ltd., a scan tool manufacturer who works with some US partners.
So it is really their hope that US attendees take what they’ve learned back to their companies, with an end result of improved business relationships with Taiwan.
But exporting to the US is not as simple and just forging a relationship with domestic companies. Much more goes into the process of importing products in the US, and not all companies may make the cut.
TYC Brother Industrial Co., Ltd., is a manufacturer of lighting systems in Taiwan. The company exports to more than 100 countries — including the US, particularly Daimler, GM and Ford, China, Europe, Mexico and the BRIC markets, among others.
A regular exhibitor at the Taipei AMPA show, TYC was promoting their adaptive front lighting system, which is a headlight system that rotates up to 15 degrees in each direction based on steering movements. TYC also has an annual presence at AAPEX in Las Vegas in November.
Importing both aftermarket and OEM parts into the US, Carlos Ting, senior vice president, sales, says the company’s biggest challenges are “competitors and complying with the laws of each country. It is important for our company and for the country image. At the end of the day, customers only want to buy from companies that deliver quality products, compliance with country laws and customer satisfaction,” he says. And not all companies can meet these strict regulations.
There are also some differences in perception between the Taiwanese and US markets, which could make understanding a company’s role a bit more challenging.
In the US, if a company is an OEM supplier, it means just that. The company works directly with a carmaker, whether supplying an OE or aftermarket parts line. But some companies in Taiwan who use the phrase “OEM supplier” have a different understanding.
Bill Wu, vice president with E-Lead Electronics Co., Ltd., an infotainment and in-dash system manufacturer, says his company is an OE supplier to multiple Japanese OEMs. But in his definition, which is supported by many Taiwanese companies, OE supplier means a company builds their products to an OEM’s specification. But this does not necessarily mean that OEM uses these products in their OE or aftermarket lines. It simply means they could.
Regardless of different market definitions and business practices, AMPA remains a major inroad for both Taiwanese companies looking to generate domestic business and US companies looking to expand their international offerings. But the show may have more value for some than others.
Big Roc Tools attended AMPA for the first time in 2012, pushing a new product and trying to reach out to new markets. “We were really testing the waters,” says Amy Tsai with Armor Seal, a trademark of Big Rock Tools, Inc. “We are trying to reach out to different markets and some consumers, especially in Asia, specifically Thailand.”
Tsai’s impression of the show was that traffic was slow, especially in comparison to the Automotive Aftermarket Products Exposition (AAPEX) in Las Vegas in November every year, and Asia’s Canton Fair in Guangzhou, China, which is going on its 106th installment. The fair, which is held twice a year in April and October, sees its April date typically fall the week after AMPA, which may have affected attendees. China’s largest trade fair, the Canton Fair has a complete range of Chinese commodities and is divided into three phases — machinery, electrical and electronic products; home and decoration; and textiles, garments and fashion accessories.
Big Roc Tools has attended the Canton Fair for 20 years, and Tsai was unsure if they would return to Taipei AMPA. Much would ride on the after results of the show and the business they were able to generate, which has yet to be seen.
But comparing AMPA to AAPEX of the Canton Fair does not provide an accurate picture, as it is a newer show that is still growing, learning and working to improve its reach and results.
AMPA’s continued growth in international exhibitors and buyers reflects the momentum the show has, and hopefully a positive continuing trend going forward.
