News
3Q21 GDP higher than expected
By ECCT staff writers
The Directorate General of Budget, Accounting and Statistics (DGBAS) expects Taiwan’s 2021 Gross Domestic Product (GDP) to rise by 6.01% year-on-year. This follows higher than expected GDP growth in the third quarter of 2021 of 3.8% on the back of sharply rising trade and investment.
According to an advanced estimate by the DGBAS, real gross capital formation expanded by 27.97% in the third quarter as Taiwan's capital equipment imports rose by 41.24% year-on-year (yoy), of which 58.9% alone consisted of semiconductor equipment.
Meanwhile, real exports of goods and services grew by 14.05% yoy, mainly driven by the strong foreign demand for electronic parts and ICT products, as well as the significantly growth of traditional products. Imports also increased by 19.37% yoy.
However, the gains in investment and trade were partially offset by a decline in private consumption. According to the DGBAS, real private final consumption fell by 5.49% (yoy) in 3Q21 mainly reflecting the expenditure slump caused by pandemic restrictions, and the high base effect caused by government stimulus packages in the same quarter of 2020.
