The industrial production index last month expanded 13.65 percent annually to 106.1, reaching a three-month high, while also increasing 11.95 percent annually in the first quarter, as demand for artificial intelligence (AI) and high-performance computing (HPC) applications remained robust, the Ministry of Economic Affairs said yesterday.
The manufacturing production
index, the major pillar of the industrial production index, last month climbed 14.71 percent year-on-year to 106.89, marking a 13th consecutive month of expansion, and grew 12.79 percent annually in the first quarter, the ministry said.
Photo: RITCHIE B. TONGO, EPA-EFE
The manufacturing production index next month is expected to rise between 14.4 percent and 19 percent annually, Department of Statistics Deputy Director-General Huang Wei-jie (黃偉傑) told a news conference in Taipei.
“Although we’re still unsure how the US tariffs on Taiwanese goods will be in the future, the growth in the AI sector has yet to slow down. Our forecast for the industry is still highly positive,” Huang said.
Production of electronic components grew 20.39 percent in the first quarter from a year earlier, as the AI and HPC businesses remained strong, the ministry said.
Semiconductor production in the first quarter expanded 24.19 percent from a year earlier, thanks to steady demand for 12-inch wafers, chip designing, testing and packaging services, and flat panels, the ministry added.
The sharp increase in semiconductor production was partially related to front-loading demand by US clients ahead of US President Donald Trump’s tariffs on Taiwanese semiconductors, Huang said.
Production of computers, electronic goods and optical components in the first quarter surged 27.08 percent on the back of strong demand for AI applications, cloud services, servers, semiconductor equipment and phone lenses, the ministry said.
Machinery equipment production rose 10.59 percent in the first quarter, due to plans to expand production capacity by leading chip companies, which boosted the need for related equipment, it said.
In contrast, production of automotive products decreased 11.18 percent in the first quarter due to a decline in orders.
“When domestic vehicle inventory declines, the demand for related auto components also tends to decrease,” Huang said. “Competition from foreign automakers also played a significant role in the output decline.”
Production of base metals, including steel, sank 7.11 percent in the first quarter from the same period last year due to disruptions in the global steel recovery, with some manufacturers suspending operations to repair and maintain production equipment, the ministry said.
Output in chemical materials and fertilizers dropped 2.63 percent during the period, as some production lines were also temporarily shut down for maintenance or cut due to to weak demand, it said.
The Eurovision Song Contest has seen a surge in punter interest at the bookmakers, becoming a major betting event, experts said ahead of last night’s giant glamfest in Basel. “Eurovision has quietly become one of the biggest betting events of the year,” said Tomi Huttunen, senior manager of the Online Computer Finland (OCS) betting and casino platform. Betting sites have long been used to gauge which way voters might be leaning ahead of the world’s biggest televised live music event. However, bookmakers highlight a huge increase in engagement in recent years — and this year in particular. “We’ve already passed 2023’s total activity and
Nvidia Corp CEO Jensen Huang (黃仁勳) today announced that his company has selected "Beitou Shilin" in Taipei for its new Taiwan office, called Nvidia Constellation, putting an end to months of speculation. Industry sources have said that the tech giant has been eyeing the Beitou Shilin Science Park as the site of its new overseas headquarters, and speculated that the new headquarters would be built on two plots of land designated as "T17" and "T18," which span 3.89 hectares in the park. "I think it's time for us to reveal one of the largest products we've ever built," Huang said near the
China yesterday announced anti-dumping duties as high as 74.9 percent on imports of polyoxymethylene (POM) copolymers, a type of engineering plastic, from Taiwan, the US, the EU and Japan. The Chinese Ministry of Commerce’s findings conclude a probe launched in May last year, shortly after the US sharply increased tariffs on Chinese electric vehicles, computer chips and other imports. POM copolymers can partially replace metals such as copper and zinc, and have various applications, including in auto parts, electronics and medical equipment, the Chinese ministry has said. In January, it said initial investigations had determined that dumping was taking place, and implemented preliminary
CUSTOMERS’ BURDEN: TSMC already has operations in the US and is a foundry, so any tariff increase would mostly affect US customers, not the company, the minister said Taiwanese manufacturers are “not afraid” of US tariffs, but are concerned about being affected more heavily than regional economic competitors Japan and South Korea, Minister of Economic Affairs J.W. Kuo (郭智輝) said. “Taiwan has many advantages that other countries do not have, the most notable of which is its semiconductor ecosystem,” Kuo said. The US “must rely on Taiwan” to boost its microchip manufacturing capacities, Kuo said in an interview ahead of his one-year anniversary in office tomorrow. Taiwan has submitted a position paper under Section 232 of the US Trade Expansion Act to explain the “complementary relationship” between Taiwan and the US