Taiwan export orders hit record high in March on AI demand

Taiwan recorded its fastest growth in export orders in over 16 years this March, driven by an unprecedented surge in demand for artificial intelligence and advanced technology components. According to the Ministry of Economic Affairs, export orders reached an all-time high of $91.12 billion, representing a 65.9% increase compared to the previous year. This performance significantly exceeded analyst expectations of a 41.0% gain and marked the 14th consecutive month of growth for the island's trade-dependent economy.

The demand for high-performance computing and AI applications has provided a robust foundation for the island's tech-heavy industrial base. Orders for telecommunications products experienced a staggering 120.9% year-on-year jump, while electronic products saw a 73.7% increase. As a global bellwether for technology demand, these figures suggest a strong recovery in the semiconductor and hardware sectors.

Global trade partners showed significant appetite for Taiwanese goods during the period. Orders from the United States surged by 76.4%, building on a 45.1% increase in the prior month. Demand from China also rebounded sharply, rising 45.7% after a slight dip in February. Meanwhile, orders from Europe grew by 45.2%, and those from Japan increased by 32.9%.

While the momentum remains strong, the Ministry of Economic Affairs cautioned that global economic growth could be tempered by various external factors.

Uncertainties such as geopolitical risks and global protectionism would weigh on global economic growth.

Looking ahead, the ministry projects that export orders for April will continue to rise, with an estimated year-on-year growth between 47.3% and 50.7%. Large industrial entities and global manufacturers, such as 3M CO, continue to monitor these regional trade shifts as indicators of broader supply chain health and industrial demand.