The nation’s export orders last month grew 9.9 percent year-on-year to a record high US$50.03 billion, backed by rising demand for smartphones and 5G-related gadgets, as well as chips used in the devices, the Ministry of Economic Affairs (MOEA) said yesterday.
It was the seventh consecutive month of annual growth, and the ministry forecast that export orders would climb to between US$51.5 billion and US$53 billion this month, an increase of 8.9 percent to 12.1 percent year-on-year.
“Export orders were better than expected across all categories,” Department of Statistics Director Huang Yu-ling (黃于玲) said.
Photo: Ann Wang, Reuters
Growth in the electronic products sector was “especially notable,” Huang said, adding that the traditional sectors worst hit by the COVID-19 pandemic were “recovering.”
Orders for electronic products grew 29.7 percent year-on-year and 14.5 percent month-on-month to US$16.1 billion due to sustained strong demand for work-from-home equipment, 5G applications and high-performance computing equipment, she said.
However, Huawei Technologies Co (華為) stockpiling chips before US sanctions took effect on Sept. 15 was also a factor, she added.
Orders for optical equipment were up 19.6 percent year-on-year to US$2.4 billion on work-from-home, distance-learning and entertainment-at-home demand, she said.
Orders for the information and communications technology sector fell 9.6 percent year-on-year to US$13.9 billion due to the delayed launch of “a smartphone product by an international company,” Huang said.
Orders for base metal products arrested six straight months of year-on-year contraction, growing 14.8 percent year-on-year to US$2.2 billion.
Plastic product orders also returned to growth, increasing 13.9 percent year-on-year to US$2 billion, while those for chemical products fell 2.6 percent to US$1.4 billion, but the decline was mild compared with the double-digit percentage decreases in the previous six months.
Orders for mechanical products grew 23.7 percent year-on-year to US$1.9 billion, “as more countries allocate production back home,” the ministry said in a statement.
The percentage of products made in Taiwan last month increased to 46 percent from 42.7 percent in September last year, ministry data showed.
The increase reflects a trend to decentralize production, Huang said.
“China used to be the world’s factory, but we are seeing a trend to move production to other countries as a risk mitigation measure,” she said. “We expect to see this trend continue.”
Although export orders last month grew by 9.9 percent when calculated in US dollars, the growth was only 3.6 percent when calculated in New Taiwan dollars, due to the local currency’s appreciation.
Small and medium-sized enterprises would likely to be most hurt when the strength of the local currency begins to affect the competitiveness, Huang said.
“Large manufacturers are more likely to be price-setters in their industry and are insulated against fluctuating exchange rates through risk mitigation measures,” she said.
Overall, export orders in the third quarter grew 11.9 percent year-on-year to US$141.1 billion, while in the first three quarters of the year they rose 4.2 percent year-on-year to US$363.7 billion, ministry data showed.
POLITICAL AGENDA: Beijing’s cross-strait Mid-Autumn Festival events are part of a ‘cultural united front’ aimed at promoting unification with Taiwan, academics said Local authorities in China have been inviting Taiwanese to participate in cross-strait Mid-Autumn Festival celebrations centered around ideals of “family and nation,” a move Taiwanese academics said politicizes the holiday to promote the idea of “one family” across the Taiwan Strait. Sources said that China’s Fujian Provincial Government is organizing about 20 cross-strait-themed events in cities including Quanzhou, Nanping, Sanming and Zhangzhou. In Zhangzhou, a festival scheduled for Wednesday is to showcase Minnan-language songs and budaixi (布袋戲) glove puppetry to highlight cultural similarities between Taiwan and the region. Elsewhere, Jiangsu Province is hosting more than 10 similar celebrations in Taizhou, Changzhou, Suzhou,
COGNITIVE WARFARE: Chinese fishing boats transmitting fake identification signals are meant to test Taiwan’s responses to different kinds of perceived incursions, a report said Chinese vessels are transmitting fake signals in Taiwan’s waters as a form of cognitive warfare, testing Taipei’s responses to various types of incursions, a report by the Institute for the Study of War said on Friday. Several Chinese fishing vessels transmitted fake automatic identification system (AIS) signals in Taiwan’s waters last month, with one mimicking a Russian warship and another impersonating a Chinese law enforcement vessel, the report said. Citing data from Starboard Maritime Intelligence, the report said that throughout August and last month, the Chinese fishing boat Minshiyu 06718 (閩獅漁06718) sailed through the Taiwan Strait while intermittently transmitting its own AIS
The Republic of China (ROC) is celebrating its 114th Double Ten National Day today, featuring military parades and a variety of performances and speeches in front of the Presidential Office in Taipei. The Taiwan Taiko Association opened the celebrations with a 100-drummer performance, including young percussionists. As per tradition, an air force Mirage 2000 fighter jet flew over the Presidential Office as a part of the performance. The Honor Guards of the ROC and its marching band also heralded in a military parade. Students from Taichung's Shin Min High School then followed with a colorful performance using floral imagery to represent Taiwan's alternate name
CHINESE INFILTRATION: Medical logistics is a lifeline during wartime and the reported CCP links of a major logistics company present a national security threat, an expert said The government would bolster its security check system to prevent China from infiltrating the nation’s medical cold chain, a national security official said yesterday. The official, who wished to stay anonymous, made the remarks after the Chinese-language magazine Mirror Media (鏡周刊) reported that Pharma Logistics (嘉里醫藥物流) is in charge of the medical logistics of about half of the nation’s major hospitals, including National Taiwan University Hospital and Taipei Veterans General Hospital. The company’s parent, Kerry TJ Logistics Co (嘉里大榮物流), is associated with the National Committee of the Chinese People’s Political Consultative Conference (CPPCC) and the Chinese People’s Liberation Army (PLA), the
RSS