Exports last month rose for a second straight month, increasing 4 percent from a year earlier to US$29.5 billion, as electronics shipments rose ahead of the Lunar New Year holiday, while declines in non-tech products tapered off, the Ministry of Finance said yesterday.
Following November last year’s 3.3 percent year-on-year increase, the latest data suggest a recovery for technology products as the US and China move to solve their trade dispute, the ministry said.
“The pickup is evident for electronics, the mainstay of Taiwanese exports, which saw an 11.9 percent increase from a year earlier,” thanks to active inventory demand from China, the US and Japan, Department of Statistics Director-General Beatrice Tsai (蔡美娜) told a media briefing in Taipei.
Semiconductor shipments grew 14.2 percent to US$9.4 billion on the back of 5G deployments by Chinese technology brands, Tsai said.
China’s Xiaomi Corp (小米), Oppo Mobile Telecommunications Corp (歐珀) and Vivo Communication Technology Co (維沃) are to roll out 5G smartphones powered by chips designed by MediaTek Inc (聯發科) and made by Taiwan Semiconductor Manufacturing Co (台積電).
Robust demand for information and communication devices also pushed shipments for the product category to a record high of US$4.07 billion, as the benefits of order transfers and trade rerouting were sustained and would extend into this year, Tsai said.
Meanwhile, a protracted retreat in non-tech product exports has subsided, although it is premature to speculate on a turnaround, she said.
Exports of base metals, plastic and mineral products posted a single-digit decline as local steelmakers spotted signs of improvement for selling prices, while others looked at an extended soft patch, Tsai said.
Imports also sent a positive message, with a 13.9 percent increase from a year earlier to US$26.99 billion, the ministry’s report showed.
Extensive imports of capital equipment, especially by semiconductor firms, underpinned the solid bounce, it said.
“Strong imports are encouraging, as they usually arise from needs for capacity expansion and technology upgrades,” Tsai said.
Last month’s figures gave Taiwan a trade surplus of US$2.5 billion, a 46.4 percent decline from a year earlier.
For the fourth quarter, exports returned to the positive zone with a 1.9 percent increase year-on-year to US$87.06 billion, while imports grew 4.9 percent to US$76.34 billion, the ministry said.
It credited the uptick to strong shipments of tech gadgets boosted by peak season effects.
For the whole of last year, outbound shipments dropped 1.4 percent to US$329.34 billion, while imports squeezed a 0.4 percent gain to US$285.86 billion, it said.
All data ended slightly better than expectations by the Directorate-General of Budget, Accounting and Statistics.
However, fewer working days this month — due to the extended Lunar New Year holiday — could drive exports back to negative territory, with a decline of between 4.5 percent and 6.5 percent, although there is no need to worry about isolated holiday disruptions, Tsai said.
Additional reporting by CNA
Zhang Yazhou was sitting in the passenger seat of her Tesla Model 3 when she said she heard her father’s panicked voice: The brakes do not work. Approaching a red light, her father swerved around two cars before plowing into a sport utility vehicle and a sedan, and crashing into a large concrete barrier. Stunned, Zhang gazed at the deflating airbag in front of her. She could never have imagined what was to come: Tesla Inc sued her for defamation for complaining publicly about the vehicles brakes — and won. A Chinese court ordered Zhang to pay more than US$23,000 in
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday held its first board of directors meeting in the US, at which it did not unveil any new US investments despite mounting tariff threats from US President Donald Trump. Trump has threatened to impose 100 percent tariffs on Taiwan-made chips, prompting market speculation that TSMC might consider boosting its chip capacity in the US or ramping up production of advanced chips such as those using a 2-nanometer technology process at its Arizona fabs ahead of schedule. Speculation also swirled that the chipmaker might consider building its own advanced packaging capacity in the US as part
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday said that its investment plan in Arizona is going according to schedule, following a local media report claiming that the company is planning to break ground on its third wafer fab in the US in June. In a statement, TSMC said it does not comment on market speculation, but that its investments in Arizona are proceeding well. TSMC is investing more than US$65 billion in Arizona to build three advanced wafer fabs. The first one has started production using the 4-nanometer (nm) process, while the second one would start mass production using the
US President Donald Trump has threatened to impose up to 100 percent tariffs on Taiwan’s semiconductor exports to the US to encourage chip manufacturers to move their production facilities to the US, but experts are questioning his strategy, warning it could harm industries on both sides. “I’m very confused and surprised that the Trump administration would try and do this,” Bob O’Donnell, chief analyst and founder of TECHnalysis Research in California, said in an interview with the Central News Agency on Wednesday. “It seems to reflect the fact that they don’t understand how the semiconductor industry really works,” O’Donnell said. Economic sanctions would