TAIPEI, Feb 9 (Reuters) – Taiwan’s exports rose much more than expected in January, hitting the fastest monthly clip in 16 years amid continued demand for the island’s chips and technology that are powering AI applications.
Exports showed a 69.9% increase year-on-year to $65.77 billion, versus 51.9% in a Reuters poll and 43.4% in December, reaching a monthly record high by value, the finance ministry said on Monday. The export performance continued a streak of 27 consecutive monthly year-on-year gains.
The ministry said in a statement that AI and cloud business demand was strong, but noted the lower base given that late January last year marked the start of the week-long Lunar New Year holiday, resulting in fewer working days.
Taiwan companies such as TSMC, the world’s largest contract chipmaker, are major suppliers to Nvidia, Apple and other leading tech companies.
AI DEMAND ACCELERATES
Taiwan’s exporters have so far absorbed the 20% tariffs imposed last year by the administration of U.S. President Donald Trump without suffering substantial economic harm, largely because the island’s key semiconductors export were excluded from the tariffs.
Washington agreed last month to lower the rate to 15% as part of a more comprehensive trade and investment deal.
Accelerated demand for AI and the tariff deal with the U.S. will help maintain export momentum this year, the finance ministry added.
For February, the ministry expects exports to rise between 20% and 27% from a year earlier, even with the Lunar New Year holiday this year falling in the middle of the month.
In January, Taiwan’s exports to the United States surged 151.8% from a year earlier to $21.28 billion, while exports to China climbed 49.6%.
Exports of electronic components rose 59.8% to $22.36 billion, also a record high.
Imports rose 63.6% to $46.87 billion, surpassing economists’ forecasts of an increase of 40.85%.
(Reporting by Ben Blanchard and Emily Chan; Editing by Jacqueline Wong and David Holmes)
