Taiwan: Industrial output contracts at sharpest rate since April 2009 in January
Industrial production collapsed 20.5% year on year in January (December: -8.0% yoy). The figure marked the worst reading since April 2009. The reading largely reflected a dive in manufacturing production, although other subsectors also fell. A reduction in global demand for Taiwan’s electronics exports was an important driver behind the January figure. However, the downturn was exaggerated by the timing of the Lunar New Year holiday, which fell in January this year compared to February last year.
On a seasonally adjusted monthly basis, industrial output fell at a more pronounced rate of 3.8% in January (December: -0.8% mom), the worst result since March 2022. Meanwhile, the trend pointed down, with the annual average variation of industrial production coming in at minus 1.5%, contrasting December’s plus 0.9% reading.