Taiwan's industrial output hits January record high

Taipei, March 5 (CNA) Taiwan's industrial production index and manufacturing subindex both hit record highs in January, driven by continued strong demand for artificial intelligence (AI) applications, the Ministry of Economic Affairs (MOEA) said Thursday.

The industrial production index rose 28.51 percent from a year earlier to 124.51, while the manufacturing subindex, which accounts for more than 90 percent of the total, surged 30.05 percent to 126.36, marking the 23rd consecutive month of year-on-year growth for both indices, according to MOEA data.

Chen Yu-fang (陳玉芳), deputy head of the MOEA's Department of Statistics, said the manufacturing production index had originally been projected to range from 130.69 to 134.69 in January, representing annual growth of 35.6 percent to 39.7 percent.

The actual figure came in lower than expected mainly due to two factors: differences in pricing and product mix between high-end and lower-end electronic components, and a correction in server-related production after shipments were concentrated in December to meet client demand, Chen said.

Despite this, the electronic components industry still recorded a robust 25.21 percent year-on-year increase in January, with integrated circuit output rising 25.98 percent, she added.

Meanwhile, production in the computer, electronic and optical products sector surged 139.40 percent from a year earlier, driven by strong shipments of high-performance computing and related products. The sector marked its 31st consecutive month of year-on-year growth and posted its largest increase for the same month on record.

Among major traditional industries, output in the chemical materials and fertilizers sector, base metals industry, auto and auto parts industry, and machinery sector rose 5.69 percent, 4.88 percent, 14.66 percent and 22.29 percent, respectively, from a year earlier in January, the MOEA said.

Chen noted that even excluding the electronic components sector and the computer, electronic and optical products sector, overall manufacturing output still grew 3.57 percent year-on-year in January, indicating early signs of a gradual recovery in traditional industries.

The MOEA estimated the manufacturing production index for February will range from 102.26 to 106.26, representing year-on-year growth of 9.7 percent to 14.0 percent.

For the combined January-February period, the ministry projected that the manufacturing production subindex would range from 114.31 to 116.31, which represents a record high for the same period and annual growth of 20.1 percent to 22.2 percent.