Taiwan’s Machinery Exports Show Resilience Amid Global Challenges

The Taiwan Association of Machinery Industry (TAMI) announced on December 10 that the country’s machinery export value reached US$2.451 billion in November, marking a 2.6% increase from the previous month but a 1.4% decline compared to the same period last year. Cumulatively, the export value for the first 11 months of the year totaled US$26.659 billion, reflecting a slight annual decrease of 0.6%.

According to the Ministry of Economic Affairs (MOEA), export orders for Taiwan’s machinery sector have been on an upward trajectory for four consecutive months since July, signaling gradual recovery and potential for steady growth in the near future.

David Chuang, Chairman of TAMI and General Manager of Dahlih Machinery Industry Co., Ltd., highlighted the evolving landscape of global trade, particularly in light of U.S. policy shifts. “High tariffs and the emphasis on U.S.-based manufacturing under Trump’s administration pose significant challenges to Taiwan’s exports,” Chuang remarked. He urged the industry to implement diversification strategies swiftly to mitigate risks and enhance resilience.

Patrick P. Chen, Chairman of the Taiwan Machine Tool & Accessory Builders’ Association (TMBA), shared a nuanced outlook. While U.S. protectionist policies may erode Taiwan’s competitiveness in the American market, Chen noted that the trend of reshoring manufacturing to the U.S. could open collaborative opportunities for Taiwan’s machine tool industry.

TAMI’s data revealed the top-performing machinery export categories for the first 11 months of 2024. Electronic equipment led with a value of US$4.543 billion, accounting for 17% of total exports and achieving a 3.4% annual growth. Inspection and measurement equipment followed at US$4.342 billion, representing 16.3% of exports with a 4% year-on-year increase. Machine tools, however, saw a sharper decline, recording US$2.003 billion in exports, down 16.2% annually and accounting for 7.5% of total exports.

The United States remained Taiwan’s largest export market for machinery during this period, with a total value of US$6.582 billion, making up 24.7% of the export share. China and Japan followed, with export values of US$6.211 billion (23.3%) and US$1.964 billion (7.4%), respectively.