Cityscape at night in Taiwan

Taiwan Trade Balance October 2021

Taiwan: Merchandise exports jump at a softer pace in October

Merchandise exports jumped 24.6% year-on-year in October (September: +29.2% year-on-year). October’s result marked the softest growth since February. Despite the softer October growth reading, Taiwan’s export sector remains in good shape, spurred by strong demand for the country’s semiconductors. Meanwhile, merchandise imports shot up 37.2% over the same month last year in October (September: +40.4% yoy), marking the worst result since April 2021.

As a result, the merchandise trade balance deteriorated from the previous month, recording a USD 6.1 billion surplus in October (September 2021: USD 6.4 billion surplus; October 2020: USD 7.4 billion surplus). Lastly, the trend deteriorated, with the 12-month trailing merchandise trade balance recording a USD 64.7 billion surplus in October, compared to the USD 66.0 billion surplus in September. Export orders—which typically lead actual exports by two to three months—jumped 25.7% in September, the latest month for which data is available, suggesting upbeat trade momentum going forward.

On the outlook for the chip sector, Iris Pang, Greater China chief economist at ING, commented:

“The yearly growth rates of semiconductor chips in terms of manufacturing and exports could weaken in 2022. We have already seen monthly growth slowing due to production capacity hitting bottlenecks. This issue will not be resolved next year as new production lines only just started to be built in mid-2021. The result is that we expect to see more moderate production and export data in 2022 due to this capacity constraint.”

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest