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Preview Edition - IFA International

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Green Page BSH BOOSTS SALES FOR SUPER- EFFICIENT HOME APPLIANCES BY 15% YEAR ON YEAR In 2013, BSH Bosch und Siemens Hausgeräte GmbH boosted its sales for super-efficient home appliances in Europe by 15% compared with the previous year, selling a total of 4.6 million appliances. That corresponds to 35% of the total sales. BSH has thus already achieved its goal two years sooner than planned. For the sixth successive year, BSH has brought its most energy-efficient appliances together in the Super Efficiency Portfolio. BSH recently published the current overview in its 22nd Sustainability Report. In addition to low consumption values, environmental and climate protection also include environmentally-friendly development, resourceefficient production and eco-friendly recycling of appliances. As a manufacturer of longlasting and resourceefficient products, BSH focuses on the entire life cycle and has set itself the goal of decoupling resource consumption from economic growth. The company's sustainable corporate strategy is based on four central areas: business partners, consumers & products, HR policy and resource excellence. Furthermore, at the start of 2014, BSH received the "Top Employer in Germany" Award from the independent Top Employers Institute for the eighth time in a row. Since BSH was able to present itself as a "Top Employer" in Belgium, the Netherlands, Poland, Spain and Turkey, too, it also once again received the international "Top Employer Europe" Award. Environmental Clean Sweep for Vacuum Manufacturers EU-Energy-Label for vacuum cleaners an important step but not only criterion for green purchasing From September 1 2014, all vacuum cleaners brought to market in the EU must display the EU Energy Label, with maximum power of 1600 watts. We asked Heinz H. Fischer, CEO of Royal Appliance International GmbH what this will mean for retailers. From September 1 the new EU Ecodesign Regulations for vacuum cleaners include a maximum rate of power consumption of 1600 Watts. The label displays the average annual energy consumption of the appliance next to the energy efficiency class. Dust absorption levels and filtration value are also featured on the energy label. The standard applies to all manufacturers of floor care equipment. Therefore, the label is more of an orientation aid for trade and consumers. The differentiation will continue to take place after the deadline beyond the energy label. How is your company adapting to this? We take the introduction of the EU energy label seriously. For many years we have particularly energy-efficient models in our product range. Now we have re-positioned our full range in both Vax and Dirt Devil according to the requirements of the energy label. Both the Dirt Devil and Vax brands have a range of high performance, highly efficient vacuum cleaners that meet the new requirements. At the IFA, both brands will be present with a completely new product range. But the EU Energy Label is not all… No, the EU energy label does not tell the whole story. In times of growing environmental awareness, the label provides information to help consumers select a new device. Through the transparent display, certain criteria such as the power consumption are more easily comparable. Other cost-and environmentally related items, such as the consumption of vacuum cleaner bags, are not taken into account by the Eco-Label. Factors such as fitness for use, operation, handling as well as the costperformance ratio are not considered by the EU energy label, but play an important role in the purchase decision and thus are a key focus of product development at Royal Appliance International. The energy label provides consumers with a guide. It is not a comprehensive evaluation of a product. The consumer will not behave fundamentally differently in the future than today. He will inform himself, compare equipment, seek advice, follow recommendations to try and make a choice that meets his use and budget requirements. NOTE From 2017, maximum power will be reduced to 900 watts. This will engender a great deal of innovation within the industry in order to find more efficient solutions for vacuuming, and devices with much lower power consumption will drive a new wave of purchases. The energy label provides consumers with a guide. It is not a comprehensive evaluation of a product. Heinz H. Fischer CEO of Royal Appliance International GmbH 38

SPOTLIGHT ON TAIWAN Region The Taiwan Turnaround A major hike in exports for Asia’s “components hub” Taiwan’s Information Technology industry has grown enormously over the past few decades and the country is now a dominant force in the global market. It’s one of the world's biggest suppliers of electronic products and components, even though manufacturers from China, South Korea and Southeast Asia are close on its heels. The island's export orders—mostly electronics—are often used to gauge the health of the global economy. To whit, there are smiles on a number of faces in that part of the world, as the country’s Ministry of Economic Affairs (MOEA) reported a huge hike in export orders for the month of June 2014, the latest available statistics at time of writing. Indeed, MOEA reported an overall 10.6% rise in exports, primarily buoyed by huge increases in electronics shipments, which make up the lion’s share of exports for the Asian nation. If counted in US Dollars, the export orders amounted to US.8 bn in June 2014. Looking back at 2013, Taiwan recorded US5.5 bn in exports for the year of 2013, which was the second highest figure in history. Hall 25 / Stand 107 Hall 25 / Stand 181 Electronics components as well as IT and communication products are all on the rise. According to the latest statistics from Taiwan’s Ministry of Trade, for the first half of 2014, shipments of electronic products were up 14.2% and information and communication products were up 7%. Looking back at 2013, Taiwan recorded US5.5 bn in exports for the year of 2013, which was the second highest figure in history. Exports went up by US.3 bn from 2012, which translated into 1.4% in annual growth. Moreover, it was the third consecutive year of exports surpassing the US0 bn mark. Exports to the emerging markets grew 3.1%. In particular, growth of exports to the six members of ASEAN hit a record high of 3.9%. Meanwhile, exports to Mainland China (including Hong Kong) grew by 2.2%. At the heart of Taiwan’s re-emergence is a strong initiative by MOEA which has selected innovative fashion textile, high-tech logistic services, internationalised telecommunication services, smart living, and smart machine tools manufacturing from under its jurisdiction to be the demonstration spotlight industries for the Four Transformations of Three Industries Project. In the future, the execution will be based on the promotion strategy, methodology, and future innovation of each industry to expand into other ministries to fully exert its effect as an engine of overall industrial development. For the concept of Four Transformations of the Three Industries to take root in the ministries and industries in order to aid its promotion within the entire industry, besides promoting the above five spotlight industries to serve as a demonstration, the MOEA organized a series of seminars where all the ministries can learn from concept explanation and testimonies from companies. CHINA COUNTS ON IMPORTS FROM TAIWAN Taiwan continued to rank as the largest electronics product supplier to China in 2013, accounting for over 27% of the country’s total electronics imports.The Ministry of Economic Affairs announced that electronics shipments from Taiwan to China grew by an annual 37.6% to US.8 bn. While China is building an increasing number of supply fabs on home ground, such as TCL’s massive China Star LCD factory near Shenzhen, soon to double in size, China’s dependence on Taiwan is not waning. Last year’s figure made up 27.3% of China’s total electronics imports, up from 23% in 2012. POSITIVE OUTLOOK BY TAITRA In 2013, Taiwan’s External Trade Development Council, TAITRA, took a three-pronged approach to marketing Taiwan’s exports. The first part involved the implementation of the “Marketing Taiwan”, “Marketing MIT (Made-In- Taiwan)”, and “Marketing individual brands and products” strategies. The second part focused on the marketing efforts in the emerging, Mainland China, and developed markets. The third part aimed to invigorate both the export of products and services while providing full assistance to companies in their export endeavours. 230 overseas trade promotion events were organised and TAITRA also managed to invite 83,108 buyers to Taiwan in 2013, which was over 6,000 more than in 2012. In terms of the developed markets, it was an imperative for Taiwan to deepen economic and trade relationships with its trading partners such as Europe, the United States, and Japan. Despite the challenges of financial strains on the government and the looming debt crisis, the economies of the developed markets recovered gradually. The recoveries were spurred by developments such as Japanese Prime Minister Shinzo Abe’s three arrows, the major growth of Europe’s retail sales, Ireland becoming the first country to exit the eurozone bailout programme, and the U.S. reindustrialisation stimulated by energy self-efficiency. In 2013, TAITRA signed a total of 38 memoranda of understanding (MoU) with various governments and organisations, including the State of Arizona, Missouri, the County of Los Angeles, the Japan External Trade Organization (JETRO) and the Korea International Trade Association (KITA). The signings helped to bring about concrete economic and trade cooperation. In terms of facilitating the internationalisation of Taiwan’s service industries, the focus was on promoting Taiwan’s medical services, cultural and creative industries, franchising, IT services, management consulting, and foods. To help the service industries – including the beauty, hairdressing, and printing industries – cope with the possible impact brought IFA International • Monday 1 st September 2014 39

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