Taiwan July exports misses forecasts, but AI demand remains solid

TAIPEI, Aug. 7 (Reuters) - Taiwan's exports rose less than expected in July, continuing to ride the wave of AI demand while contending with the undercurrents of global inflation and the economic uncertainties of a prolonged war in the Middle East.

Exports jumped 32.9% from a year earlier to $75.30 billion, the finance ministry said on Friday, falling below both the 40.7% gain forecast by analysts and the 40.3% rise in June.

Here are a few details:

• Artificial intelligence and high-performance computing businesses continue to grow, boosting supply chain shipments.
• The global economic growth outlook would be limited by uncertainties of geopolitical risks and U.S. trade policy, but Taiwanese exports will continue to grow in the second half of the year.
• For August, the ministry expects exports to rise 31% to 35% from a year earlier.
• In July, Taiwan's exports to the U.S. rose 25.2% from a year earlier to $23.34 billion, while exports to China gained 33.4%.
• Exports of electronic components jumped 50.5% to $27.733 billion, while those of information products rose 29.5%.
• Imports were up 37.4% to $58.13 billion, below economists' forecasts for an increase of 51.8%.

• Taiwanese companies like TSMC 2330.TW, TSM.N, the world's largest maker of advanced chips used to power AI applications, are major suppliers to Nvidia NVDA.O, Apple AAPL.O and other leading tech companies.