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Industrial production falls for 12th consecutive month in April

Industrial production falls for 12th consecutive month in April

Taiwan's industrial production fell for the 12th consecutive month in April amid lingering weak global demand, the Ministry of Economic Affairs (MOEA) said Monday.

The MOEA said the industrial production index fell 4.06 percent in April from a year earlier to 102.12, equaling the streak of 12 consecutive months of negative growth in the index seen during the global financial crisis from September 2008 to August 2009.

Yang Kuei-hsien, deputy director of the MOEA's statistics department, said Taiwan's industrial production will likely continue to register year-on-year declines in May and June because there are few signs global demand will pick up any time soon.

But he expected that the magnitude of the dips in May and June could be smaller and said Taiwan could see industrial production return to positive growth in the second half of the year.

In April, production in the manufacturing sector, which accounts for more than 90 percent of Taiwan's industrial output, fell 4.50 percent from a year earlier, the MOEA data showed.

In the manufacturing sector, production in the semiconductor segment fell 2.29 percent from a year earlier, marking the ninth consecutive month showing a year-on-year decline.

Yang noted, however, that there are signs of a pick-up in demand for chips for communication device use, meaning that production in the segment could improve in May.

The output of flat panel makers in Taiwan dropped 11.72 percent year-on-year in April, serving as further evidence of a slowdown in the global communications and information market, the MOEA data showed.

Chemical production fell 1.86 percent in April year-on-year due to the annual maintenance of some petrochemical firms, while production of base metal businesses rose 0.26 percent from a year earlier on the back of a steel price rebound, the statistics showed.

Output of Taiwan's auto/auto part industry fell 7.20 percent from a year earlier in April, reflecting an increase in imported car sales, and machinery production fell 17.74 percent due to weaker demand for some major products, including machine tools, the MOEA said.


Updated : 2021-03-07 07:32 GMT+08:00