Taiwan's economic growth rate is at least three years because the export sector plummeted in the midst of his flagging global demand and increasing competition from the countries around.
Gross domestic product (GDP) rose 0.64% in the three months to June compared to the previous year, according to the data released by the Statistics Department of Taiwan last Friday. Lower when compared with the rate of 3.37% in the last quarter, and also lower than the entire Bloomberg survey estimates the median i.e. 2.55%.
The value of Taiwan's exports down 5 of the last 6 months due to shrinking demand from countries like China and the main goal of the US. The country's manufacturing industry would also compete with the main island of pualu-industry which enhances supply chain, while local consumption is interrupted by the fall of stock prices and property.
"With all the attention is on the electronic sector, second quarter GDP is compromised by low demand on electronic product supply chain," said Wai Ho Leong, regional economist of Barclays Plc. "this was aggravated by a decline in stock prices," he added.
The value of the bonds of five annual Government down to the lowest point in the last two years last Friday. The benchmark Taiex index was down about 7% this year, while the Taiwan dollar rose 2.5% in the first quarter of this year. This was the best achievement among all the currencies of Asian countries, which was further hindered competition in the manufacturing industry with the yen and the weaker won
Export orders, which is an indication of the value of shipments of two to three months ahead, going down in three months to June, it became a sign of the continued decline will occur. Taipei housing prices down 2% in the first quarter, after rising consecutively for 9 years, based on an index of Sinyi Realty Inc.
The Government earlier this week announced the action that will be performed i.e. encourage infrastructure investment and the company's credit to support the economy of his country. Taiwan should increase competition and reduce his dependency to the business with low margins, said the National Development Council of Taiwan. https://www.mql5.com/en/signals/120434
