The Directorate-General of Budget, Accounting and Statistics (DGBAS) released these preliminary figures on April 30. They beat February forecasts by 2.23 percentage points.
Exports led the surge. Real exports of goods and services rose 35.25% year-on-year. Demand for AI and related infrastructure drove this gain. Imports climbed 27.07% as firms stocked raw materials and capital equipment. Private consumption grew 4.89%. Gross capital formation, or investment, expanded 5.20%. Investments focused on machinery, intellectual property products, and transport equipment.
A government cash handout program from late last year aided spending. Stock market gains also spurred consumer outlays through a wealth effect.
AI Exports Fuel Record Expansion
AI demand powers the boom. Surging orders for artificial intelligence, high-performance computing, and cloud infrastructure boosted exports. Next-generation high-end products lifted electronic and information technology shipments. This strength rippled through manufacturing and investment.
Taiwan’s semiconductor sector played a key role. It anchors global AI supply chains. Robust emerging tech applications sustained business investment. As a result, domestic activity accelerated. However, traditional sectors face headwinds from global shifts.
Resilience Amid Global Tensions
Middle East tensions, including conflicts, showed limited impact as of March data. Oil prices experienced volatility. DGBAS specialist Chiang Hsin-yi noted monitoring efforts. Yet March data showed no clear effects. Traditional manufacturing may feel some pressure. Overall, AI momentum offset risks.
Strong exports and investment signal economic resilience. Consumer spending added stability. Moreover, the 13.69% pace exceeds expectations. It highlights Taiwan’s pivot to high-tech exports.
Investors eye sustained AI infrastructure demand. Semiconductors and related firms stand out. Policymakers track oil prices and supply chains. Watch Q2 exports for signs of momentum carryover.
