TAIPEI (Taiwan News) — Taiwan’s exports recorded a decline in May for the ninth month in a row, though the situation was expected to turn around from September, the Ministry of Finance (MOF) said Wednesday (June 7).

Exports in May totaled US$36.13 billion (NT$1.10 trillion), or 14.1% less than in May 2022. However, compared to April 2023, the May exports showed a modest increase of 0.5%.

High inventories, a slower-than-expected recovery in China, weak demand amid inflation and interest rate hikes, and lower prices for Taiwan exports were among the main reasons the MOF mentioned for the falling value of exports, per CNA.

Imports showed the steepest fall since Oct. 2015, declining 21.7% to US$31.25 billion. The uncertain economic outlook and falling prices for raw materials, including oil, were behind the drop in imports, according to the MOF.

Nevertheless, Taiwan’s ICT and audiovisual products went against the general trend, recording an increase in exports of 11.9% compared to May 2022, and reaching a value of US$5.8 billion. The rise amounted to the sector’s best performance in 10 months.

Looking at exports in June, the finance ministry predicted a 10th consecutive year-on-year decline. The decline would measure between 14% and 16%, with a total value between US$35.2 billion and US$36.3 billion. Nevertheless, the current negative period was likely to end in September at the earliest.