Taiwan's exports surge to record high on AI hardware demand

Taiwan's finance ministry announced that the island's exports reached a record $87.2 billion in September, lifted by exceptional global demand for artificial intelligence hardware. Taiwan is central to global chip production, manufacturing more than 90 percent of the world's most advanced semiconductors used to develop and operate AI systems.

The 60.9 percent increase in exports compared to September of the previous year marked the 35th consecutive month of growth. Imports also surged 51.7 percent to $63.6 billion, while the trade surplus climbed to $23.6 billion—both record highs. These figures underscore Taiwan's outsized role in supplying critical components for the global digital economy.

The export boom has fuelled robust economic expansion throughout the year. Taiwan's gross domestic product expanded 12.9 percent in the second quarter, and its stock market has risen approximately 70 percent since January. Pantheon Macroeconomics Asia economist Meekita Gupta attributed the stronger-than-expected performance to a "resurgence in AI servers," explaining that her previous forecast of 34 percent growth had underestimated demand, in part because a significant decline in server shipments in September 2025 created an unusually low baseline for year-on-year comparison.

Taiwan's dominance in AI hardware relies on companies like TSMC, which manufactures Nvidia's advanced designs into silicon components, and Foxconn, which assembles processors into data centre servers. Although shifting global trade policies and geopolitical risks present challenges, Taiwan's finance ministry indicated that export growth should accelerate through the remainder of the year as international cloud providers increase spending on AI infrastructure.