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…
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…
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…
Taiwan made headlines this August for a Q2 growth rate of 2.41%, propelling it well ahead of the other three Asian Tigers for the first half. This increase is at least partially attributable to the reshoring of a number of Taiwanese businesses from China, encouraged by government incentives and the ongoing trade war between China…
The AmCham Taipei CEO Mission that visited Washington, D.C., this June found growing interest among American government officials in seeking ways to strengthen bilateral relations with Taiwan. As reported in this issue of TOPICS, there now appears to be greater understanding and appreciation in Washington of Taiwan’s strategic value in the Indo-Pacific as a staunch…
Tech firms are repatriating from tariff-hit China, boosting the local economy. But can Taiwan secure a long-term position in global supply chains? For years, it was a foregone conclusion that Taiwan’s tech hardware sector would concentrate production in China. Starting in the 1990s, local contract electronics manufacturers began moving capacity across the Taiwan Strait. They…
Trade War Sends Q2 to Sluggish Start Normally June is a peak season for exports of electronics items, the bulwark of the Taiwan economy. But the value of export orders received in June fell by 4.5% from the level of the same month last year to come to US$38.5 billion, the eighth straight month to…
