Is the IMF being too negative? In the International Monetary Fund’s World Economic Outlook for April, Taiwan’s GDP forecast for 2020 was set at a horrendous -4%, a figure that government officials are doing their best to refute. The National Development Council is arguing that the IMF did not have full knowledge of Taiwan’s economy…
EXPORTS UP, BUT NOT FOR LONG Taiwan is moving into wartime economy territory, with the government and industry working together to boost production of key items such as medical masks and alcohol-based sanitizer. After a panic run on amenities following a large jump in confirmed cases in March, several local companies pledged to increase production of toilet…
In the fall of 2007, Taiwan Business TOPICS invited 14 experts to offer their thoughts on “what Taiwan should aim to be like” in their areas of expertise by the year 2020, and how to achieve those goals. Their views were published in the November 2007 edition of TOPICS under the heading “Vision 2020.” With 2020 now upon us, TOPICS sought to re-engage with the…
As China’s industrial centers remain in a state of uncertainty due to coronavirus fears, Taiwanese and international companies that have come to rely on the PRC as a production base are now seeking alternative solutions while trying to maintain continuity of operations back home. When discussing the business and economic implications for Taiwan of the…
COVID-19 AROUSES FEAR, CAUTION Markets around the world have begun tumbling due to coronavirus fears, and a “black swan” recession looks possible in some economies. The Taiwan Stock Exchange has not been insulated from the shocks, with weighted shares plunging 220 points, or 2%, in late February. The outlook for a quick recovery does not look promising, as…
2019 Ends Well for Taiwan Economy Prior to the recent national elections, Bloomberg reporter Tim Culpan compiled and analyzed economic data that spanned the terms of all of Taiwan’s democratically elected presidents. His January 8 op-ed, titled “A Taiwanese Election That’s Not All About China,” argued that economic considerations, rather than just cross-Strait relations, would…
Next year, Taiwan’s economy will benefit from a steady flow of capital repatriation as local manufacturers move capacity home from China. Momentum from Taiwanese businesses returning from China should help Taiwan reach a GDP growth rate of 2.3% to 2.6% in 2020, compared to about 2.4% this year, economists say. In addition, growth in trade…
Record Retail Consumption in Q3 Taiwanese consumers increased their retail purchases last month, defying a sluggish economy and unfavorable trade conditions. Retail sales for October rose 4.2% year-on-year to NT$340.7 billion (US$11.2 billion), a record-breaking figure for that month, apparently encouraged by the recent boom in Taiwan and U.S. stock markets, department store anniversary sales,…
2019 Outlook Positive as Exports Increase Taiwan finished out the third quarter with year-on-year export growth exceeding 2%, bringing it ahead of the other three Asian Tigers for the first nine months of 2019. The figure indicates real export growth after adjusting for inflation. The Ministry of Finance notes that this growth rate has increased…
Oil Prices Are Up And So Are Exports Fuel prices have been rising in Taiwan in recent months, a result of fluctuations in global crude prices brought on by tensions in the Middle East. The latest hikes are tied to the drone strikes on Saudi Aramco facilities that took place in mid-September. Gasoline prices in…
