Export orders resilient in April
By ECCT staff writers
Taiwan’s export orders in April 2020 increased 2.3% to US$38.53 billion from the same month in 2019, according to a report by the Ministry of Economic Affairs, although, when measured in New Taiwan dollars, given the local currency’s appreciation, the report said export orders were approximately NT$1,159.2 billion, which was down 0.3% year-on-year.
Nevertheless, the numbers point to the relative resilience of Taiwan’s manufacturing sector in the face of the drop in global demand from the coronavirus pandemic. While the export order figure is just one of several leading indicators to take into consideration when estimating the economic outlook, given the fact that Taiwan is an export-driven economy, it offers analysts a reason for optimism.
The MOEA reported that export orders were driven by robust demand for information and communications technology (ICT) products and electronics, especially demand for laptop computers, tablets, as well as servers and other electronic devices.
According to the MOEA, unlike custom’s cleared exports, export orders are a gauge of how actual exports are likely to perform in one to three months.
Orders for ICT products last month surged 18.6% to a record-high US$12.49 billion, with the largest contributors by geographic region being Europe (36.3%) and the US (35.6%), according to ministry data. However, export orders for traditional goods fell, with orders for chemical products, rubber and plastic products, base metal products, and machinery equipment recording double-digit percentage declines from a year earlier.