Taiwan: Industrial production skyrockets in February
March 23, 2020
Industrial output flew 20.3% higher in February compared to the same month a year earlier, contrasting the revised 2.1% decrease recorded in January (previously reported: -1.5% year-on-year).
The stellar reading in February was helped in no small part by a sizeable base effect, likely influenced by differences in dates of the Chinese Lunar Holiday between this year and the last, as well as being aided by the leap year effect this year. The overall expansion was primarily driven by a large increase in manufacturing sector output, which represents more than 90% of total industrial production. Additionally, the mining and quarrying, electricity and gas supply, and water supply sectors recorded strong upturns in activity.
On a seasonally-adjusted month-on-month basis, industrial output fell 5.2% in February, having risen 3.6% in January. Meanwhile, annual average growth in industrial production came in at minus 0.4% in February, inching down from the 0.3% decrease recorded in the previous month.
Author: Stephen Vogado, Economist