Taiwan: Industrial production rebounds in March
April 23, 2018
Industrial output rebounded in March, expanding 3.1% in annual terms, which contrasted the revised 2.2% contraction recorded in February (previously recorded: -1.9% year-on-year).
The breakdown of components reveals the upturn in March was driven by a rebound in manufacturing output, which accounts for more than nine-tenths of total industrial output. Manufacturing production suffered a strong contraction in February largely due to the Lunar New Year. Manufacturing output grew 3.2% over the previous year in March (February: -3.3% year-on-year). Meanwhile, mining and quarrying output contracted for the second consecutive month, the construction sector contracted sharply following February’s surge and electricity and gas supply growth moderated.
With the large swings in the annual data, seasonally-adjusted figures offer a complementary view of the performance in the industrial sector. On a seasonally-adjusted basis, industrial output grew 0.2% over the previous month in March, marking a deceleration from February’s revised 1.0% growth (previously reported: +1.2% month-on-month). Annual average growth in industrial production was steady at 2.6% in March.
Taiwan Industrial Production Forecast
Analysts participating in the FocusEconomics Consensus Forecast expect industrial production to expand 3.3% in 2018, which is up 0.1 percentage points from last month’s forecast. For 2019, participants expect industrial output to again grow 3.0%.