TAIPEI (Reuters) – Taiwan’s exports rose less than expected in October, as benefits from the booming artificial intelligence (AI) industry were countered by the sluggish economy of top trading partner China.
Exports rose 8.4% on the year to $41.3 billion, the finance ministry said on Friday, missing a forecast for expansion of 9% in a Reuters poll, but above September’s gain of 4.5%, and still marking the 12th straight monthly rise.
The ministry said it saw a strong fourth quarter as larger economies cut interest rates, AI application demand was good and the peak end-of-year shopping season was approaching in U.S. and European markets.
It predicted November exports could rise between 5.0% and 9.0% on the year.
Taiwan firms such as TSMC, the world’s largest contract chipmaker, are major suppliers to Apple (NASDAQ:AAPL), Nvidia (NASDAQ:NVDA) and other tech giants.
In October, exports to the United States jumped 20.5% to $8.65 billion, though off September’s rise of 27.3%.
Exports to Taiwan’s largest trading partner, China, edged down 2.1%, worsening from the previous month’s gain of 1.7%.
Total (EPA:TTEF) exports of electronic components jumped 6.1% in Octobr on the year to $16.60 billion, with semiconductor exports up 6.1%.
Imports rose 6.5% to $34.43 billion in October, trailing economists’ forecasts for a gain of 9.0%.