Taiwan's Export Orders Soar to Record Highs, Fueled by AI Demand

A surge in global interest in artificial intelligence applications propels Taiwan's economy to new heights.

Taipei, May 20 - Taiwan experienced a remarkable surge in export orders during April, reaching record levels driven by robust international demand for artificial intelligence (AI) applications, according to the Ministry of Economic Affairs (MOEA).

Export orders demonstrated an impressive 19.8 percent year-on-year increase, reaching US$56.40 billion. This performance surpassed the MOEA's initial forecast of US$50 billion to US$52 billion, marking the third consecutive month of positive annual growth.

For the initial four months of 2025, the cumulative export orders totaled US$205.87 billion, reflecting a 14.1 percent increase compared to the same period last year, as indicated by MOEA data.

MOEA Department of Statistics Director Huang Yu-ling (黃于玲) attributed the significant growth to sustained global investment in AI, high-performance computing, and cloud services.

Huang also mentioned that the 90-day suspension of reciprocal tariffs by the Donald Trump administration of the United States on April 9 prompted some buyers to expedite their order placements.

The electronics sector was the primary catalyst for this expansion, registering US$23.09 billion in April orders – a 35 percent increase – fueled by the strong demand for advanced semiconductors and printed circuit boards (PCBs).

The information and communications sector also experienced substantial growth, reporting US$15.65 billion in orders, up 20 percent, due to AI and cloud-related products.

Optoelectronics orders rose 4.2 percent to US$1.73 billion.

In contrast, some traditional industries faced challenges, Huang said.

The metal industry saw an 11.1 percent decrease to US$1.99 billion due to falling steel prices, while the plastics and rubber industry declined 8.8 percent to US$1.47 billion, influenced by oversupply and price competition.

The machinery sector demonstrated resilience, with orders increasing 5.8 percent to US$1.68 billion, driven by demand for automation equipment and machine tools.

By region, the U.S. led the way as Taiwan's top customer in April, placing US$19.29 billion in orders – a 30.3 percent increase – primarily for electronics. China and Hong Kong followed with US$11.30 billion in orders, up 5.7 percent.

Looking forward, Huang expressed optimism that strong AI-related demand would continue to benefit Taiwan's tech exporters. However, she also cautioned that geopolitical tensions and U.S. trade policy could introduce risks to global economic expansion.

The MOEA projects that May export orders will range between US$55 billion and US$57 billion, representing a 12.5 to 16.6 percent year-on-year increase.