Taiwan's Export Growth in November

TAIPEI (Reuters) – Taiwan's exports saw a notable increase in November, benefitting from a boom in the artificial intelligence (AI) sector and a recovery in demand from China.

Key Highlights:

• Exports Growth: Exports rose by 9.7% year-on-year to $41.09 billion, surpassing the expected 8% growth as per a Reuters poll and exceeding October's 8.4% increase.
• Steady Outlook: The finance ministry reports a promising outlook for continued export growth, largely driven by the AI industry's influence on semiconductor companies.
• Q4 Performance: Historically, the fourth quarter sees strong export performance due to increased end-of-year shopping in U.S. and European markets. Predictions for December indicate potential growth between 4.5% and 7.5%.
• Tariff Concerns: Analyst Kevin Wang highlights concerns over potential increased tariffs from U.S. President-elect Donald Trump could drive strong December exports as manufacturers rush to export before policy changes.
• Major Suppliers: Taiwanese firms like TSMC, the largest contract chipmaker globally, supply tech giants including Apple and Nvidia.

Export Trends:

• U.S. Market: Exports to the United States increased by 10.6% year-on-year to $8.65 billion, albeit lower than October's increase of 20.5%.
• China Market: Exports to China rose sharply by 9.5%, rebounding from a 2.1% decline in the previous month.
• Electronics Exports: Total exports of electronic components surged by 14.6% to $16.73 billion, with semiconductor exports growing by 15.5%.

Import Figures:

• Imports: November imports rose by 19.8% to $33.16 billion, exceeding predictions of an 18.15% increase.