Taiwan June export orders beat forecasts on AI demand, US leads

For July, the ministry said it expected export orders to rise by between 54.5% and 57.8% from a year earlier.

Uncertainties including geopolitical risks and global trade policies would continue to weigh on global economic growth. But the momentum for orders could be maintained by other factors such as expanding capex from cloud service providers.

Taiwan's orders in June for telecoms products were up 81.9% from a year earlier, while those for electronic products jumped 79.9%.

Overall orders from China rose 37.2%, compared with a 37.5% jump in May.

Orders from the U.S. soared 83.6% after a rise of 63.9% in the previous month. Orders from Europe were up 53.9% and those from Japan rose 37.9%.

TAIPEI, July 21 (Reuters) - Taiwan's export orders rose more than expected in June, regaining momentum as the growth outlook for the island's chips and technology was tested by concerns of an AI bubble, global inflation and renewed hostilities between the U.S. and Iran.

Export orders in June rose 59.4% from a year earlier to $95.26 billion, the Ministry of Economic Affairs said on Tuesday. That topped analysts' expectations for a gain of 49.5% and marked a 17th straight monthly gain. In May, export orders missed analysts' forecasts.

Orders for goods from Taiwan, home of the world's largest contract chipmaker TSMC and other tech companies, are considered a bellwether of global technology demand.

The strong gain in June was thanks to solid demand for artificial intelligence, high-performance computing and cloud services applications.