Machinery exports hit record-high again for November: TAMI

Taiwan Association of Machinery Industry (TAMI) announced today that the export value of machinery in November stood at USD$2.991 billion, an annual growth of 23.8% and marking a new monthly high. The association pointed out that despite the influence of the appreciation of the New Taiwan dollar, rising raw materials, and rising shipping costs this year, the growth momentum is still strong. It is expected that the export value this year will reach USD$33 billion, and the output value of Taiwan's machinery could exceed NTD$1.3 trillion this year.

Machinery exports continued to grow in November, with a monthly export value of USD$2.991 billion, an increase of 23.8% from USD$2.415 billion in the same period last year. The association pointed out that this was from September last year. Since the 15th consecutive month of annual growth, Taiwan's machinery industry exports have continued to flourish.

The cumulative export value of Taiwan's machinery industry in the first November of this year was USD$30.152 billion, an increase of 28.3% over the same period last year. If valued in Taiwan dollars, it was approximately 845.431 billion yuan, an increase of 21.2% over the same period the previous year.

TAMI has reported that in August, the export value and growth rate of the US-China trade war had hit a new high. In September, the export decreased slightly but rebounded in October, while in November, the export value of machinery reached a new high. Three unfavorable factors, such as appreciation, rising raw materials, and soaring shipping costs, still impact industry performance. The export value of Taiwan's machinery industry is expected to reach 33 billion U.S. dollars this year, and the output value of Taiwan's machinery industry may exceed NT$1.3 trillion this year.

On the long-discussed topic of exchange rates, the association pointed out that the exchange rate of the New Taiwan Dollar has recently reached a new high and has become the strongest currency in Asia. Compared with rival countries such as Japan, South Korea, and China, the NTD has disadvantages in export competition and has greatly eroded profits. TAMI reiterated the government should actively stabilize the exchange rate and maintain export competitiveness with rival countries.

Regarding the COVID-19 pandemic, the association said that with Taiwan's secondary alert in effect, Taiwan's borders are still essentially closed and have impacted international business activities. TAMI pointed out that while the new Omicron variant threat requires more observation, the association urged the government to plan proactively ahead of potential outbreaks to mitigate the impact on industries and the economy.