Trade surplus expected to top $70 billion
Taiwan’s trade surplus is expected to hit a new high above $70 billion this year, largely on the back of still-strong global demand for semiconductors, the finance ministry said Tuesday.
Taiwan’s biggest trade surplus to date was recorded last year at $64.9 billion on the back of growth in the electronic components industry, including semiconductor suppliers, the ministry said in a statement. a report.
The upward trend seen in the industry is expected to continue this year and push the trade surplus to a new high, the ministry said.
The importance of this product category was seen last year in Taiwan’s overall trade with China, including Hong Kong.
China has been Taiwan’s largest export market and main source of imports since 2013. Taiwan’s trade surplus with the Chinese market has surged in recent years, reaching a high of $104.7 billion. last year, the ministry said.
Since many Taiwanese electronics companies have operations in China, the surplus of electronic components was $79.4 billion last year, about 76 percent of the total.
Taiwan’s major semiconductor companies supported the strong performance by trying to localize the supply chain, which strengthened Taiwan’s position in the global market, the ministry said.
Taiwan’s second-largest trade surplus last year was with the United States, totaling a record $26.5 billion, as trade tensions between Washington and Beijing prompted U.S. buyers to shift orders to Taiwanese exporters, did he declare.
The United States was the main source of Taiwan’s trade surplus in information and communications technology, as well as audio and video devices, the ministry said.
Surpluses with China and the United States reflect Taiwan’s comprehensive semiconductor sector and the strength of technological development, the report said, adding that China and the United States are likely to remain the two main sources of the surplus. Taiwan trade this year.
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