, Taiwan

Taiwan cashes in on trade war: report

Capital fleeing can re-energise its bland investment market.

The Taiwanese economy is predicted to expand by 2.6% YoY in Q3 2019 from 2.4% YoY in Q2 as the country benefits from capital outflow brought about by the ongoing US-China trade war, according to Natixis.

Fleeing capital from the trade war can re-invigorate Taiwan’s once-lacklustre investment market, Natixis noted.

Exports have recently improve despite downturns caused by the trade war, with the contraction in Mainland China tapering to -3% YoY in Q3 2019. US diversification also supplied rapid growth of 18% YoY in the same period.

Approved foreign direct investment (FDI) inched up 8% YoY YTD due to European firms in manufacturing and new energy. Outward foreign direct investment (OFDI) into ASEAN swelled 35% YoY YTD with the share rising to 20% in September 2019, an evidence that firms are echoing the New Southbound Policy, an initiative by the Taiwanese government to enhance its ties with Southeast Asia.

Operations of Taiwanese companies are coming back home with an approved amount hitting $27.8t (NTD622b) which amounts to 3.5% of the country’s GDP.

Photo courtesy of Pexels.com.

 

Join Singapore Business Review community
A NOTE FROM SINGAPORE BUSINESS REVIEW

The people you want to reach are already in this room.

Every quarter, SBR lands on the desks of the founders, CFOs, and directors running Asia's most consequential companies. Every day, they open our newsletter and read our website. It's a room that took twenty years to build — and it's the one most of our partners are trying to get into.

The good news is that the door is open. We work with companies on thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. The shape of the right partnership depends on what you're trying to do, which is why we'd rather start with a conversation than send a rate card.


If you have something this room should know about, tell us. We'll tell you honestly whether we can help, and how.

No rate cards until we understand the brief. It's a better use of everyone's time.

Exclusives

Singapore, Hong Kong take rival paths to capture global gold trade
One builds MAS-backed vaulting for central banks, the other opens a pipeline to Shanghai.
Monday.com picks Singapore for Southeast Asia expansion
Its in-house designers created Singapore-inspired artwork in the company's colors.
Tsuklio targets dual-income families in Singapore expansion
The Japanese meal subscription platform logged 3,000 pre-registrations before launch.