Taiwan Chip Exports to China Sputter on Tensions, Falling Demand

  • Exports of IC chips to China and Hong Kong plunge 31.3% y/y
  • US-China tensions have been mounting in recent months
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Taiwan’s exports of integrated circuit chips to China and Hong Kong fell for a fourth month in February as Washington-Beijing tensions simmer and demand for electronics continues to drop off.

Exports of IC chips — which are pivotal components of electronic appliances, computers and smartphones — to China and Hong Kong dropped 31.3% from a year earlier, according to data from Taiwan’s Ministry of Finance. It was the worst decline since 2009, topping January’s 27.1% fall.