Taiwan's exports rise for 9th straight month in July

Taipei, Aug. 8 (CNA) Taiwan's exports rose more than 3 percent from a year earlier in July, marking the ninth consecutive month of year-on-year growth on the back of strong global demand for artificial intelligence (AI) applications, the Ministry of Finance (MOF) said on Thursday.

Data compiled by the MOF showed Taiwan's exports totaled US$39.94 billion in July, up 3.1 percent from a year earlier.

Backed by solid demand for AI applications, shipments of information, communication and audio-visual products grew 42.4 percent year-on-year in July to hit US$12.96 billion, the MOF said.

In the first seven months of 2024, the country's exports totaled US$264.95 billion, up 10 percent from the same period last year, the MOF data showed.

Also in July, Taiwan's imports hit US$35.10 billion, up 16.2 percent from a year earlier. The country had a trade surplus of US$4.83 billion.

Beatrice Tsai (蔡美娜), director-general of the MOF's Department of Statistics, said the ninth consecutive month of year-on-year growth came amid a steady global economic recovery, booming demand for AI applications and the release of new mobile devices.

With the advent of AI, exports of information, communication and audio-visual products in the first seven months of this year totaled US$75.48 billion, roughly only US$8 billion less than the US$83.35 billion recorded for the whole of 2023, Tsai said.

However, consumer market growth remained uneven, while Taiwan's traditional goods also faced a squeeze due to excess production capacity worldwide, Tsai explained.

According to the MOF, exports posted by the electronic component, base metal, machinery, and plastics and rubber industries dropped 12 percent, 5.9 percent, 5.6 percent and 4.5 percent, respectively, from a year earlier to US$13.73 billion, US$2.29 billion, US$2 billion and US$1.56 billion in July.

Regarding the 12 percent year-on-year slump in electronic component exports, the director-general said it was mainly due to the restructuring of the global supply chain in recent years and the reshoring of Taiwanese businesses from overseas.

But when combining electronic components with information, communication and audio-visual products, the total value of exports in July reached US$26.69 billion, a year-on-year increase of 8 percent, she said.

Tsai said Taiwan's machinery exports dropped due to buyers remaining cautious.