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Electronics retailers welcome consumption incentives

Electronics retailers welcome consumption incentives

Taipei, Oct. 30 (CNA) Taiwan's electronics and appliance retailers welcomed a short-term government measure to stimulate the economy by subsidizing the purchase of electrical household appliances and smartphones. Immediately after the Cabinet announced the incentives Friday morning, stock prices of leading consumer electronics retailers rose by 1.4-3 percent, with market leader Tsann Kuen 3C surging by the daily maximum of 10 percent. The Cabinet plans to set aside NT$4.08 billion (about US$125 million) to boost the economy by subsidizing the purchase of smartphones and energy efficient and water saving household appliances, including refrigerators, air conditioners, washing machines and sanitary equipment. The plan also provides incentives for domestic travel, including subsidies for hotel stays. To encourage consumers to shop online, the Ministry of Economic Affairs (MOEA) will set up a platform for online retailers of Taiwan-made products in December, targeting the Christmas shopping season. Electrical appliance manufacturers responded quickly and positively to the government incentives.
TECO Electric and Machinery Co. (????), for instance, announced that TECO's refrigerators, TV sets and air conditioners all meet energy efficiency and water-saving requirements and can all be purchased through the subsidy program. Under the plan, consumers will receive rebates of up to NT$2,000 for each purchase of a locally produced energy-efficient electrical appliance. TECO expressed its gratitude to the government for supporting domestic brands.
Meanwhile, the MOEA's Industrial Development Bureau will discuss with telecom service providers whether the purchase of imported smartphones will be eligible for subsidies. The telecom service providers will themselves be beneficiaries of the stimulus package because the government will offer a NT$2,000 subsidy to consumers who upgrade their contracted 2G smartphones to 4G sets and add a monthly subsidy of NT$200 in the first three months after consumers upgrade their device. At present, Taiwan's three leading telecom service providers -- Chunghwa Telecom, Taiwan Mobile, and Far EasTone -- have a combined 1.5 million 2G smartphone clients, and the Cabinet expects 522,000 2G users to take advantage of the incentive program to upgrade their smartphones. (By H.W. Lo, M.Y. chiang, J.F. Chung and Lillian Lin)


Updated : 2021-09-25 01:59 GMT+08:00