Japan-based vendor Canon has decided to increase the proportion of total digital camera output produced domestically from 42% in 2013 to over 50% in 2015 through shutting or reducing production at overseas factories, but this will not affect Canon's two factories in central Taiwan, according to industry sources.
Canon will mainly shift production of entry-level digital cameras from its factory in southern China to one in Japan, the sources indicated. This is because global demand for consumer digital cameras, especially entry-level models, has been shrinking due to increasing competition from smartphones. Wage rates are also on the rise and there are persistent labor shortages in China, the sources added.
In comparison, Canon's two factories in central Taiwan, one established in 1970 and the other in 2012, produce lenses and assemble DSLR cameras, the sources noted. In addition, Central Taiwan has an established optical component supply chain, the sources indicated.
Article translated by Adam Hwang
