Taiwan’s gross domestic product grew 1.54 percent year on year in the first quarter of 2020, according to statistics released April 30 by the Cabinet-level Directorate-General of Budget, Accounting and Statistics.
The gain is 0.26 of a percentage point less than the forecast made in February, with the DGBAS attributing the gap to lower than expected private consumption during the COVID-19 pandemic.
Although coronavirus has partially disrupted global supply chains, dampened worldwide demand and caused commodity prices to tank, manufacturing activity in Taiwan remained relatively unaffected thanks to the country’s successful efforts managing the outbreak, the DGBAS said.
Goods exports grew 3.69 percent on the back of 20.04-percent and 7.88-percent increases in electronic components and parts and information and communication technology shipments, respectively.
Imports picked up 3.47 percent as local manufacturing firms continued to invest in equipment and stock up on raw materials, while strong demand for consumer goods also contributed to growth.
Despite setbacks in the dining, retail and tourism industries caused by consumer caution and the government’s social distancing rules, private consumption only decreased 0.97 percent thanks to robust demand for automobiles and a thriving e-commerce sector.
According to the DGBAS, capacity expansions at Taiwan’s semiconductor and ICT firms also helped boost the economy during the quarter.
Taiwan’s strong showing is in stark contrast to other economies during the same period. According to official statistics, China’s GDP dropped 6.8 percent; U.S., 4.8 percent; Eurozone, 3.85 percent; Singapore, 2.2 percent; and South Korea, 1.4 percent. (SFC-E)