With export volumes soaring, the nation again posted a trade surplus last month after seeing its first trade deficit in 13 months for February, the Ministry of Finance reported yesterday.
Overseas sales climbed by 7.1 percent from a year earlier to US$17.68 billion. Imports were down slightly by 0.5 percent to US$16.17 billion as the import volumes of machinery, steel, transportation equipment and organic chemicals all declined significantly.
This led to a trade surplus of US$1.51 billion last month, said Lee Li-shu (李麗雪), acting director of the ministry's statistics department, during a press briefing yesterday.
Exports of electronics products rose 29.8 percent to US$4.9 billion from a year ago. Overseas sales of information technology and telecommunications equipment continued to decline by 9.9 percent to US$866.3 million, after decreasing by 1.7 percent in February.
Sales to China and Hong Kong increased 12.3 percent from a year earlier to US$7.1 billion last month after gaining 45 percent in February while exports to the US rose 0.6 percent to US$2.6 billion after climbing 9.6 percent the previous month, according to the ministry's figures.
For the first quarter of the year, Taiwan recorded an accumulative trade surplus of US$3.23 billion, expanding by 56.9 percent year-on-year from US$2.06 billion.
Although imports during the January-to-March period increased by 9.3 percent, imports of consumer goods only rose by 1.4 percent and those of capital equipment decreased by 12.2 percent.
Lee said growth of domestic investment and consumption in the first quarter slowed because major construction projects like the high-speed railway system were near completion and the credit risks for consumer bad loans had advanced.
The fact that imports of automobiles with 3,000cc engines or larger slid by 23.8 percent during the first quarter also contributed to sagging import volumes, she added.
Looking ahead, Lee said that Taiwan's overseas trade is expected to continue its solid growth as the global economy was recovering, albeit at a slower pace.
According to forecasts made by the Economist Information Unit last month, the world's economy will expand by 4.2 percent this year, down from the 4.5 percent rate last year.
The US economy would rise by 2.7 percent, the EU's by 1.9 percent and Japan's by 2.6 percent, the statement said.
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