TAIPEI (Taiwan News) — Taiwan’s export order growth in March topped market forecasts, driven by robust AI demand that outweighed energy price pressures, Standard Chartered said Wednesday.

Standard Chartered Greater China and North Asia Chief Economist Hu Tung-an (胡東安) said Taiwan’s export performance has exceeded market expectations, per CNA. He said AI investment by global tech firms continues to underpin trade momentum.

The Ministry of Economic Affairs reported Tuesday that March export orders reached NT$2.86 trillion (US$91.12 billion), a record high, up 65.9% year-on-year and rising for a 14th consecutive month. Orders for January to March totaled NT$7.3 trillion, also a record for the period, up 50% from a year earlier.

Hu said spillover effects from Middle East tensions and higher energy prices have had limited impact on Taiwan’s export orders, per MoneyDJ. He said major trading partners continue to expand AI infrastructure and data centers amid intensifying global competition.

Export order growth of 65.9% in US dollar terms far exceeded market expectations of 44.1% and was well above the 41.3% combined growth in January and February, Hu said. He said this shows AI-driven demand remains the dominant driver.

Hu said growth was led by electronics and information and communications technology products. Electronics rose 73.7% year-on-year, while ICT products surged 120.9%, driven by global expansion of AI-related hardware and cloud computing infrastructure.

He cautioned that while high-end semiconductor demand remains inelastic, rising costs can be passed through due to Taiwan’s chip industry. He said pressure is more likely to affect price-sensitive sectors such as consumer electronics and traditional industries.

Hu warned of possible medium-term shortages of key raw materials, though he said current supply chain data suggests the impact remains manageable.