Taiwan revises up 2024 GDP growth forecast to 3.43% as exports recover

By Thomson Reuters Feb 29, 2024 | 3:03 AM

TAIPEI (Reuters) – Taiwan’s trade-based economy is expected to grow at a faster clip in 2024 than previously forecast, as export demand for the island’s high-tech products begins to recover, the statistics office said on Thursday.

Taiwan is a key link in the global technology supply chain for companies such as Apple Inc and Nvidia, and is home to the world’s largest contract chipmaker, Taiwan Semiconductor Manufacturing Co Ltd (TSMC).

The island’s economy has struggled through a long period of flagging global demand for its high-tech goods, though domestic consumption has remained relatively strong.

Taiwan’s gross domestic product for 2024 is now expected to be 3.43% higher than last year, the Directorate General of Budget, Accounting and Statistics said, revising upward the 3.35% forecast it issued in November.

That would be much higher than the 1.31% growth rate recorded for 2023.

The economy expanded by 4.93% in the fourth quarter from a year earlier, the statistics department said, slightly revising down a preliminary 5.12% reading.

The statistics agency now sees 2024 exports climbing 6.14% versus last year, compared with 6.33% predicted earlier.

(Reporting by Jeanny Kao and Faith Hung; Editing by Himani Sarkar)