The recent amendment to the Commodity Tax Act has injected new momentum into the growth of fuel-powered motorcycles, but not the electric motorcycle market. Data from manufacturers show that motorcycle sales in Taiwan reached 66,630 units in June 2025, compared to 65,291 units in May, representing a 2% month-over-month increase but a 3.98% year-over-year drop. In particular, sales of electric motorcycles were nearly cut in half.

J-Star Holding, a composite materials company with extensive patents and expertise in carbon fiber design, supplies products for bicycles, rackets, automotive parts, and medical robotic arms. Its carbon fiber bicycles have supported athletes in winning major events like the Tour de France and Olympic road races. Recently, J-Star launched the electric-assisted bike brand Litzmo.

Global electric vehicle (EV) sales rose 29.4% year-over-year to 9.29 million units in the first half of 2025, driven by strong momentum in China, Europe, and the US. The three markets delivered 8.4 million units, accounting for 90.4% of the total. China retained its position as the world's largest EV market and the sector's key growth driver.

Smartphone manufacturers have reduced the number of camera lenses to make devices thinner, focusing on performance and image correction instead. This trend has led suppliers like LG Innotek to pivot toward high-resolution sensors and automotive camera modules.

The automotive cameras sector is experiencing a noticeable slowdown in 2025 after several years of rapid growth, which industry players generally attribute to the sluggish adoption of autonomous driving services and frequent vehicle design adjustments by automakers due to various internal and external factors. Even so, the industry remains confident in sustained demand growth in the long term.

Taiwan's semiconductor automated test equipment (ATE) maker Chroma ATE has filed a lawsuit against Good Will Instrument (GW Instek), accusing the rival instrument maker of infringing on its intellectual property by copying the name and interface of its self-developed automated test system, ATS 8000. The case was submitted to Taiwan's Intellectual Property and Commercial Court on September 1, 2025, under the Fair Trade Act.

BYD's financial report reveals a 30% year-over-year decline in profit for the second quarter of 2025. This drop not only fell short of market expectations but also marked the first decline since 2021, underscoring how intense price competition in China's automotive market is affecting even industry leaders.

As trade talks between the Trump administration, the European Union, and Japan advance toward a "spec-for-tariff" arrangement, Taiwan faces growing uncertainty over its imported car market. The proposed scheme would allow US-spec vehicles to enter Europe and Japan without local specification restrictions and could eventually extend to Taiwan, raising questions about whether it would invigorate consumer demand or further strain the domestic automotive industry.

On August 24, 2025, South Korea's National Assembly officially passed amendments to Articles 2 and 3 of the Trade Union and Labor Relations Adjustment Act, otherwise known as the "Yellow Envelope" bill. Spearheaded by South Korea's current ruling party, the bill has caused significant concern in the country's industrial sector, with potential unrest brewing in its aftermath.

Taiwan's auto market has entered a deep freeze in 2025, with industry leaders pointing to ongoing tariff uncertainties as a major source of disruption. At an investor briefing on August 27, 2025, Chih-Wei Lai, Director and Spokesman for Hotai Motor Co., Taiwan's largest automobile distributor, said that while market conditions remain challenging, the company's flagship brands — Toyota and Lexus — have expanded their combined market share by 6 percentage points year-over-year through July 2025.

The United States is in talks with the European Union, Japan, and other countries on a proposed "spec-for-tariff" agreement, which would allow US-made vehicles to bypass costly redesigns required to meet local regulations, thereby reducing production and export costs.