Demand for servers is booming, export orders surged to US$47.16 billion in March | Ministry of Economic Affairs | The Epoch Times

[The Epoch Times, April 22, 2024](The Epoch Times reporter Hou Junlin reported in Taipei, Taiwan) The Statistics Office of the Ministry of Economic Affairs announced on the 22nd that the value of export orders in March was US$47.16 billion, an annual increase of 1.2%, mainly benefiting from high-performance computing and artificial intelligence. The demand for smart (AI) and cloud industries continues to grow, driving up server exports. However, traditional goods have not seen a significant rebound, offsetting part of the increase. Looking ahead to the momentum of order receipts in April, the Ministry of Economic Affairs predicts that export orders in April will increase by 1.2% to 5.9% year-on-year, reaching a scale of US$43 billion to US$45 billion.

Huang Yuling, director of the Statistics Department of the Ministry of Economic Affairs, said that export orders turned positive in March, and manufacturers saw improvements in inventory depletion and even replenishment. In the first quarter of this year, export orders amounted to US$133.32 billion, a year-on-year decrease of 2.1%, and the decline has converged. She said that the recent tense situation in the Middle East has caused market concerns, but domestic and foreign institutions believe that Israel and Iran have not suffered large casualties and damage and are still controllable, so they should pay close attention to the follow-up situation.

Looking at the categories of goods, Huang Yuling pointed out that thanks to the booming demand for emerging technology applications and the advantages of Taiwan’s advanced semiconductor manufacturing processes, electronic products and information and communication products increased by 12% and 4.3% respectively year-on-year in March; optical equipment in March increased due to the The demand for large-size electrical panels is rising, prices are rising, and orders for optical lenses are growing, with an annual increase of 11.8%. She said she is still optimistic about the order performance of electronic and optical products in the second quarter.

However, orders for traditional goods, including machinery, basic metals, plastic and rubber products and chemicals, fell by 13.9%, 10.4%, 9.3% and 2.2% respectively year-on-year. Huang Yuling said that the recent rebound in terminal demand has not been strong enough. In addition, industry players tend to be conservative in equipment investment, and the prices of some products are lower than the same period last year due to the production capacity of overseas peers.

Huang Yuling admitted that the turnaround in orders for traditional goods may come in the second half of the year, but overall export orders are expected to turn positive in the second quarter. The Ministry of Economic Affairs will closely monitor whether the situation in the Middle East affects changes in energy prices and whether they will once again impact the demand of traditional industries.

As for the main sources of orders, the United States has the largest order volume, with orders in March reaching US$14.43 billion, a year-on-year decrease of 2.2%, and US$42.25 billion in the first quarter, a year-on-year decrease of 1.6%. In March, orders from mainland China and Hong Kong ranked second, reaching US$11.11 billion, a year-on-year decrease of 1.6%. An increase of 7.7%; in the first quarter, it was US$29.57 billion, an annual increase of 9.9%.

When the media asked whether China’s economic demand was recovering, Huang Yuling pointed out that the annual increase in the consumer price index (CPI) in March was only 0.1%, showing that consumer confidence is still insufficient. The annual increase is mainly due to the impact of the low base period, especially the real estate investment situation has not improved. Domestic demand has not kept up significantly. Coupled with the trade and technology competition between the United States and China, the supply chain has begun to shift away from China. It remains to be seen whether the Chinese economy can be stable in the long term.

Editor in charge: Xiao Pei