Taiwan posts longest run of double-digit GDP growth since 1987 - The Straits Times

Taiwan’s exports surged to a record of over US$87 billion (S$111.15 billion) in September.

Taiwan reported its fourth straight quarter of double-digit economic growth, the longest such stretch in nearly 39 years, as the AI boom increasingly spills over into stronger domestic demand.

Gross domestic product expanded 14.36% in the third quarter from a year earlier, according to a statement from the statistics bureau in Taipei on Oct 30. That compares with the median estimate of 12% in a Bloomberg survey of economists.

Home to key suppliers of tech giants like Nvidia and Apple, Taiwan has been one of the biggest beneficiaries of the spread of artificial intelligence.

The island’s exports surged almost 61% to a record of over US$87 billion (S$111.15 billion) in September, beating the forecasts of all economists surveyed by Bloomberg. 

Taiwan Semiconductor Manufacturing, the world’s largest contract maker of advanced chips, also delivered a better-than-expected revenue outlook for the fourth quarter after reporting a 69% jump in profit for July to September, even as concerns persist over whether the AI investment boom can be sustained.

The rapid expansion has also bolstered Taiwan’s public finances.

The Cabinet proposed a record NT$3.93 trillion (S$154.02 billion) spending plan for 2027, giving the government more room to fund priorities including defence. Under the proposal, overall military spending would exceed 3% of GDP. BLOOMBERG