Mainland China, US shoppers lift Taiwan’s export orders for first time in 15 months in November, but outlook remains dim
- Taiwan’s export orders last month edged up by 1 per cent from a year ago to US$50.63 billion in November
- Orders from mainland China climbed by 8.8 per cent, compared with a 1.2 per cent rise in the previous month
Taiwan’s export orders rose for the first time in 15 months in November as shoppers in the United States and mainland China ramped up their purchases in the run up to the end of year holiday season, but the government forecast growth would contract again in December.
Orders for goods from the island, home to tech giants such as chip manufacturer Taiwan Semiconductor Manufacturing Company, are a gauge of global technology demand.
The Ministry of Economic Affairs said it expects export orders in December to contract between by 4.2 per cent and 8 per cent from a year earlier.
Export orders should get a boost from the traditional end of year holiday shopping season in Western markets, the ministry said, while also noting that the wars in Ukraine and Israel, inflation, and increased interest rates “may inhibit the momentum of global trade growth.”
Weak demand for Taiwan’s technology products amid global economic uncertainty has prompted the government to forecast that the export-dependent economy will grow at its slowest pace in 14 years in 2023.
Taiwan’s orders in November for telecommunications products gained 10 per cent and electronic products jumped 3.5 per cent from a year earlier, the ministry said.
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Orders from mainland China climbed by 8.8 per cent, compared with a 1.2 per cent rise in the previous month.
Orders from the United States fell by 2.4 per cent versus a 1.4 per cent dip in October.
Meanwhile, orders from Europe dropped by 21.1 per cent, better than October’s 45.8 per cent plunge.
From Japan, orders slid by 29 per cent last month, widening from a 17.6 per cent contraction in October.
