Taiwanese Exports Surge on AI Boom: $42 Billion Worth of GPU Shipments
Taiwanese Exports Surge on Boom in AI, Graphic Processing Units
In a remarkable turnaround, Taiwan’s exports have experienced a significant surge, driven by the booming demand for artificial intelligence (AI) and graphic processing units (GPUs). According to data released by the customs administration, Taiwanese companies have shipped over $42 billion worth of GPUs and related equipment in the past year, a sharp increase from negligible amounts in previous years.
The latest figures reveal that exports were valued at $3.5 billion last month, marking a staggering 422% increase from the same period last year. The United States emerged as the largest customer for these chips, which are manufactured by industry giants like Nvidia Corp. Other major customers included companies in the Netherlands and Hong Kong.
The Finance Ministry announced that total exports in June reached almost $40 billion, representing a 23.5% increase from the previous month. The surge was particularly driven by a 324% jump in shipments of computers and related hardware, fueled by robust demand from emerging technology sectors.
Beatrice Tsai, the chief statistician at the ministry, stated that Taiwan is entering a peak season for exports starting in July. She expressed optimism that exports this month would either remain flat or surpass the figures from June.
Taiwan’s position as the home to the world’s most advanced chipmaker, Taiwan Semiconductor Manufacturing Co., played a crucial role in driving this export boom. TSMC, a key supplier to Nvidia and Apple Inc., along with its ecosystem of component suppliers, dominate the global market for higher-end semiconductors.
Economist Gary Ng from Natixis SA noted that Taiwan is benefiting from the AI boom and the cyclical rebound in the tech industry, which is expected to sustain export growth in the coming months. The resurgence in integrated circuit exports, particularly to the US and ASEAN countries, has offset the impact of slowing economic growth in China.
The spike in GPU shipments has also contributed to record-high trade with the US, with over $9 billion worth of goods shipped from Taiwan last month, marking the third-highest month ever. The positive trend in Taiwanese exports reflects the country’s strong position in the global tech supply chain and its ability to capitalize on the growing demand for AI technology.
With the support of experts and analysts, Taiwan seems poised to continue its impressive export performance in the months ahead, bolstered by the ongoing AI boom and the rebound in the tech sector.
