Director-General of the Hsinchu Science Park (新竹科學園區) Admin-istration James Lee (李界木) for the first time warned against overinvestment by the nation's TFT-LCD manufacturing firms, who are planning to ramp up production at the Central Taiwan Science Park (中部科學園區) in Taichung County.
"It is worrying to see that this unlimited expansion of the TFT-LCD industry may leave photoelectric plants without any profits and cause the overuse of land, capital, electricity and talent," said Lee. "Therefore, it is advisable to set up criteria for the investment and establishment of new factories in the Central Science Park."
Lee, who doubles as director-general of the planned Ilan Science Park (宜蘭科學園區) Administration, made the remark at a press conference held in Hsinchu on Monday.
Inaugurated two years ago, the Central Taiwan Science Park is becoming a hub for manufacturing photoelectric products in Taiwan. After AU Optronics Corp (
Lee stressed that the government had a key role to play in maintaining the viability of the TFT-LCD sector.
"It's a good thing for the Taiwanese factories to continue investing in Taiwan, but the government has to come up with a strategy to deal with the development of the industry over the next ten years," Lee said. "Otherwise problems such as overproduction, declining prices and the lack of profitability are sure to arise."
Lee said that AU Optronics Corp and Chunghwa Picture Tubes Ltd. have placed a large order for a chunk of land, which is likely to push other industries out of the area. In response to Lee's remark, an AU Optronics official who requested anonymity said yesterday that the company believes that if the Central Taiwan Science Park is really running out of space, than the government should figure out how to acquire more land.
The official added that the nation should consider the issue from an international perspective if it intends to stay competitive.
translated by Daniel Cheng
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