Taiwan July exports misses forecasts on weak China demand, but US soars

TAIPEI, Aug 8 (Reuters): Taiwan's exports rose less than expected in July as weak demand from China offset record orders from the United States which underscored the island's essential role as a supply hub for the booming artificial intelligence (AI) industry.
Exports rose 3.1 per cent from a year earlier to $39.94 billion, the finance ministry said on Thursday, but missed the 6.13 per cent forecast in a Reuters poll and trailed a 23.5 per cent gain in June. It was the ninth consecutive monthly rise.
Performance was softer than expected because the "global economic recovery has been mild and Typhoon Gaemi caused fewer days of productivity and temporary delays in delivery," the ministry said in a statement.
The second half of the year should see a "gradual upward slope" in growth as exports enter their peak season, the ministry said, adding that demand may be further boosted as AI applications expand into end-user products.
Taiwanese firms such as TSMC, the world's largest contract chipmaker, are major suppliers to Apple, Nvidia and other tech giants. The ministry predicted exports in August could jump between 6 per cent and 9 per cent from a year earlier.
Total shipments of electronic components fell 12.0 per cent in July from a year earlier to $13.73 billion, with semiconductor exports dipping 12.8 per cent.