Taiwan, 30 June (H.S.): Taiwan's exports reached a record USD 51.74 billion in May, with the US becoming its top destination, accounting for 30% of total exports, surpassing China and Hong Kong's combined 27.2%. This shift reflects a significant change from Taiwan's previous export structure, which relied heavily on China, raising economic and geopolitical risks.

Chiou Jiunn-rong, an economics professor, noted that the robust US economy could stimulate long-term industrial growth and wage increases for Taiwan. He pointed out the distinct advantages of exporting to high-income countries like the US, such as access to lucrative markets and strong demand for advanced products. In contrast, deeper trade ties with China had raised concerns about wage suppression and job losses.

While the surge is promising, Chiou cautioned against over-reliance on any single market due to unpredictable US trade policies. Gordon Sun from the Taiwan Institute of Economic Research emphasized that AI server exports significantly contributed to the structural shift but warned that sustainability could be a concern if the trend relies on one product category. Diversification in exports remains crucial for Taiwan's economic stability.

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Hindusthan Samachar / Indrani Sarkar