Taiwan's Business Turnover Expected to Hit Record NT$7 Trillion in First Half of 2014

Thanks to strong internal demand resulting from the bullish stock market, Taiwan saw its business turnover break the NT$1.2 trillion (US$40 billion) mark in May, up 3.9% from the corresponding figure of last year and the fourth-highest monthly turnover ever recorded, according to statistics released by the Ministry of Economic Affairs (MOEA).

Turnover amounted to NT$5.8814 trillion (US$196.04 billion) in the first five months of the year and is expected to hit a record high of NT$7 trillion (US$233.3 billion) in the first half, with a projected annual rise of 3%, indicates K. H. Yang, deputy director general of the MOEA Statistics Department.

In May alone, wholesale, retail, and F&B turnover posted annual growth rates of 3.8%, 4.3%, and 4.8%, respectively. Among the separate items in the wholesale category, cloud-computing, PC, and semiconductor machinery experienced a 5.5% year-on-year rise, while automobiles and motorcycles soared 17.7%.

In the same month the industrial production index stood at 109.56, a new monthly high, and the annual growth of industrial production topped 5% in both April and May. The production index of the IC industry hit a record monthly high of 145.18 in May, due mainly to strong demand for IC foundry, IC packaging, and IC substrates.

The improved global business climate since the beginning of this year has encouraged domestic manufacturers to purchase production equipment such as machine tools, conveyance devices, linear guideways, and ball screws. As a result, machinery industry production increased 3.53% in May, its fourth consecutive monthly growth, and external orders received during the month rose by 4.7% YoY. (JL)