taiwan economy
Source: Shutterstock

Taiwan trade in goods and services reaches a historical peak last year with a yearly export value of US$ 345.28 billion, ending with the highest export value for a single month in history last December at US$ 33 billion.

Going against the global pandemic which most countries have plunged, Taiwan sees a yearly export value growth of 4.9%. Total imports also rose by 0.9% from a year earlier to US$ 27.24 billion.

Driven by the new iPhone sales and semiconductor demands, the monthly total exports of December arrived at US$ 33 billion for the island, expanding by 12% compared to the same period last year. The trade balance of December amounts to US$ 5.76 billion. This is the fifth consecutive month of export growth, according to the Ministry of Finance.

The new technology trends, outperformance sales of iPhone and gradual economic recovery from the pandemic worldwide contributed to the growth in December, Beatrice Tsai, Director General of the Department of Statistics analyzes.

Of all categories, information, communication and audio-video products grew the most due to contactless and remote technology trends. Electronic product parts export value expanded by 20.5% and information, communication and audio-video products by 15.4% in comparison to the same period last year.

Decline in the second quarter

The pandemic crisis stifled demands and raw material prices, leading Taiwan to a decline in the second quarter of last year. But the crisis, in turn, accelerated the demands of remote technologies. Escalating tensions between the U.S. and China also led business orders to turn to Taiwan. The leading domestic semiconductor firm continues to raise business orders and drive economic growth.

Contrary to a peak in growth in electrical equipment, mineral and textiles decreased by 47.6% and 17.9% respectively, both plunging to the lowest year affected by the pandemic.

Looking towards the first quarter of 2021, Beatrice predicts a steady growth due to economic recovery from the pandemic, and new technology demands continue to grow. She predicts a continuous increase leading up to the Lunar New Year.