Taiwan’s exports to India hit a record high for the second year in a row in 2022. (Staff photo/Jimmy Lin)
 

Taiwan exports to India amounted to US$5.32 billion in 2022, up 17.6 percent year on year to the best-ever result after hitting a record high of US$4.52 billion in 2021, according to the Ministry of Economic Affairs March 15.

The MOEA attributed the strong showing to local firms’ constant efforts to expand their presence in the New Southbound Policy target country and improved global economic conditions despite the negative impact of the ongoing Russia-Ukraine war.

The latest MOEA statistics show that exports to India rose another 43.5 percent during the first two months of 2023. In comparison, Taiwan’s total exports went up 7.4 percent in 2022 and dropped 19.2 percent over the same period.

Chemicals remained the leading export in 2022, accounting for 22.9 percent of all outgoing shipments. This was followed by plastic and rubber products as well as electronic components and parts, both at 17.5 percent, and machinery at 10.2 percent.

In a noticeable change from previous years, electronic components and parts have taken over chemicals to become Taiwan’s major export item to India in early 2023, accounting for 34.2 percent of total shipments, the MOEA said.

According to the International Monetary Fund, India replaced the U.K. to become the world’s fifth-largest economy in 2022 and is expected to surpass Japan and Germany to become the third biggest in 2027. The country is also set to become the most populous this year.

Given its ever-expanding domestic market and IMF-projected economic growth rate of over 6 percent between 2023 and 2027, India remains a potential laden market for Taiwan’s exporters, the MOEA said. (SFC-E)