Taiwan’s Export Growth Slows Down in July Due to Global Economic Uncertainty

Taiwan’s export growth has slowed down in July due to global economic uncertainty, with a 3.5% year-on-year increase, according to the Ministry of Finance. The ministry reported that the total export value for July was $34.85 billion, a 3.5% increase from the same period last year. However, this growth rate is lower than the 8.4% year-on-year increase in June. The slowdown in export growth is attributed to the global economic uncertainty, including the ongoing trade tensions between the US and China, as well as the COVID-19 pandemic. The ministry also reported that the export value of electronics, which accounts for about 30% of Taiwan’s total exports, increased by 4.5% year-on-year in July. The export value of information technology and audio-visual products also increased by 5.1% year-on-year. On the other hand, the export value of machinery and equipment decreased by 2.1% year-on-year. The ministry expects the export growth to continue to slow down in the coming months due to the global economic uncertainty. The slowdown in export growth is expected to have a negative impact on Taiwan’s economic growth. The government has implemented various measures to support the export sector, including providing financial assistance to exporters and promoting trade with other countries. Despite the slowdown in export growth, Taiwan’s economy is still expected to grow at a moderate pace this year. The government has forecasted a 2.5% economic growth rate for this year. The slowdown in export growth has also led to a decrease in the country’s trade surplus. The trade surplus for July was $4.23 billion, a decrease of 12.1% from the same period last year. The ministry expects the trade surplus to continue to decrease in the coming months. The slowdown in export growth has also had an impact on the country’s currency, with the New Taiwan dollar depreciating against the US dollar. The depreciation of the currency is expected to make Taiwanese exports more competitive in the global market. However, it also increases the cost of imports, which could lead to higher inflation. The government has implemented measures to stabilize the currency, including intervening in the foreign exchange market. The slowdown in export growth has also led to a decrease in the country’s industrial production. The industrial production index for July decreased by 1.1% year-on-year. The ministry expects the industrial production to continue to decrease in the coming months. The slowdown in export growth has also had an impact on the country’s employment market. The unemployment rate for July was 3.73%, a decrease of 0.01% from the same period last year. The ministry expects the unemployment rate to remain stable in the coming months. The government has implemented measures to support the employment market, including providing training programs for workers and promoting job creation. Overall, the slowdown in export growth is expected to have a negative impact on Taiwan’s economy, but the government has implemented various measures to support the export sector and stabilize the economy.

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