Economy to gain momentum in April or May: Terry Gou

By Ted Chen ,The China Post

TAIPEI, Taiwan — Economic growth will gain momentum this year, but not until April or May, said Foxconn Chairman Terry Gou yesterday.

“The Golden Snake has not emerged from its cave yet,” said Gou, as he described his economic forecast for the Year of the Snake.

According to Gou, it is currently difficult to determine whether economic conditions will improve this year, citing numerous political variables with administrations poised to change hands in various nations throughout the world.

For his outlook on the economy of Taiwan, Gou said a similar structural adjustment as seen in China is needed, adding that adjustments must begin with the foundations of enterprises and education.

In addition, the scope of economic structural adjustment must be measured not only in months and season, but also years. Gou said the industrial sector remains Taiwan’s greatest economic driver.

Taiwan, Japan and South Korea lead the global display panel market, with Taiwan retaining its edge over its competitors worldwide, said Gou, while pointing out that China is rapidly catching up in the field.

In the medical equipment sector, Gou proposed that high-end medical equipment will greatly improve if integrated with cloud-computing technologies.

“Taiwan cannot revert to its past of low-end contract manufacturing. The future lies in highly technical manufacturing to ensure profitability,” said Gou.

Meanwhile, Gou outlined a proposed housing program for Foxconn engineers, while showcasing his plans to build housing units in New Taipei City, Tucheng (土城), Taichung, and Kaohsiung. “A home for each engineer,” described Gou.

In addition, Gou said Foxconn and its subsidiary Innolux (群創光電) will be commencing a major hiring program, creating up to 10,000 jobs between the two companies.