Recovery in global trade hit by East Asia outbreaksSLOWDOWN: The three-month outlook for Taiwan’s export orders has fallen from annual growth of 70 percent to only 20 percent, Llewellyn Consulting saidThe GuardianA recovery in global trade during the summer is beginning to wane, according to some early warning signs pointing to the negative effects of widespread COVID-19 outbreaks in the manufacturing centers of east Asia. A dramatic decline in exports from Taiwan, which makes many of the computer chips used in vehicles and mobile phones, has combined with temporary port closures and lockdowns in Australia, China and Japan to cut the level of global trade. After an 18-month backlog, the fall in export orders was likely to restrict the capacity of automakers and other manufacturers over the coming months. “Another drag on world trade has been the persistent shortage of semiconductor chips, which are nowadays a crucial input into motor vehicle manufacturing. Given Taiwan’s pivotal role in the global semiconductor industry, the decline in its export orders since February is a harbinger of some further slowing in world trade growth,” it said.

Source: Taipei Times August 30, 2021 15:56 UTC