Foreign trade figures of Taiwan, China

Foreign Trade in Figures

Foreign trade has been the engine of Taiwan's rapid growth during the past 40 years. Taiwan is very open to international trade, which represented over 70% of GDP in 2022 (Trading Economics, 2023). According to data from the Ministry of Finance, the main exports in 2023 comprised parts of electronic products (41.3%, mostly semiconductors), information, communication, and audio-video products (19.3%), machinery (5.6%), and optical, precision instruments; clocks and watches; musical instruments (3.1%). In 2023, the electronic components industry, the backbone of Taiwan's exports, generated USD 178.71 billion in exports, marking a 10.7% decrease from the previous year. Outbound sales posted by semiconductor suppliers fell by 9.5% from a year earlier, amounting to USD 166.62 billion. Machinery and electrical equipment accounted for the bulk of imports (44.7%), followed by mineral products (17.6%), chemicals (8.1%), and base metals and articles of base metal (6.5%).

In 2023, China and Hong Kong retained their position as the largest buyers of Taiwan's goods, purchasing USD 152.25 billion worth, reflecting an 18.1% decrease from the previous year. According to the Ministry of Finance (MOF), exports to China and Hong Kong constituted 35.2% of Taiwan's total outbound sales in 2023, down from 38.8% in 2022, while the U.S. accounted for 17.6% and Europe for 9.8%. Since Taiwan's economy is highly export-oriented, it depends on a regime open to international trade and remains vulnerable to fluctuations in the global economy. Political tensions between separatists and reunificationists in Taiwan made reaching policy consensus difficult. The United States' commercial battle against China has increased risk in Asian economies. The lack of international recognition from other countries also complicates Taiwan's international position.
 
Data compiled by the Ministry of Finance (MOF) revealed that the country's exports totalled USD 432.48 billion in 2023, marking the third-highest figure after USD 479.4 billion in 2022 and USD 446.4 billion in 2021, with the 2023 figure experiencing a 9.8% decrease from the previous year. Imports for 2023 declined by 17.8% from a year earlier to USD 351.92 billion, resulting in a trade surplus of USD 80.56 billion, which surged by 56.9% from a year earlier, according to the data. An estimate from the Directorate General of Budget, Accounting and Statistics indicates that Taiwan's exports are expected to grow 8.6% in the first quarter of 2024.