Taiwan's exports grow in September, hit quarterly high in Q3

10/07/2020 10:11 PM
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Taipei, Oct. 7 (CNA) Taiwan's exports increased more than 9 percent in September from a year earlier, reaching a quarterly high in the third quarter, driven mainly by electronics sales in the peak season, the Ministry of Finance (MOF) said Wednesday.

The September exports rose 9.4 percent from a year earlier to US$30.71 billion, marking the third consecutive month of year-on-year increase and the biggest growth since July 2018 after seasonal adjustments, according to MOF data.

The growth of September exports was partly driven by the gradual resumption of economic activity around the world, a moderating decline of old-economy product exports, and rush shipments to the Chinese companies Huawei Technologies Co. and Semiconductor Manufacturing International Corp., which have been blacklisted by the United States, the data indicated.

Strong growth in exports of electronic components and information and communication products, which was propelled by solid demand for emerging 5G technologies and work-from-home devices, also helped boost Taiwan's exports in September, according to the MOF.

Outbound sales dropped 1.5 percent month-on-month in September, however, after hitting a single-month high of US$31.17 billion in August, the data showed.

In September, six of Taiwan's 11 major export sectors registered increases in outbound shipments, with electronics component makers registering a 26.1 percent year-on-year increase to US$13.07 billion, a single-month high, said Beatrice Tsai (蔡美娜), head of the MOF's Department of Statistics.

Meanwhile, exports of information and communication products rose 22.5 percent year-on-year to US$4.42 billion, according to Tsai.

Taiwan's imports, meanwhile, fell 5.4 percent in September from a year earlier to US$23.58 billion, boosting the country's trade surplus by US$3.99 billion from a year earlier to US$7.14 billion, according to the MOF data.

On a quarterly basis, Taiwan's exports rose in the July-September period to a record US$90.08 billion, up 6.0 percent from a year earlier, aided by rush shipments to Huawei, according to Tsai.

Looking ahead, Tsai said Taiwan's fourth-quarter exports are likely to fall slightly from the previous quarter amid fading effects from Huawei.

However, driven by strong demand for technology products, exports for the whole of 2020 are expected to post a slight year-on-year growth, Tsai said.

She forecast that outbound shipments of electronic components, information and communication products, and work-from-home devices will reach record highs this year.

In the first nine months of the year, Taiwan's exports grew 2.4 percent annually to US$248.09 billion, leaving the country with a trade surplus of US$40.31 billion -- an increase of US$7.50 billion from a year earlier, according to the MOF data.

(By Wu Chia-jung and Evelyn Kao)

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