Taiwan Economy 2007

Economy - overview:
Taiwan has a dynamic capitalist economy with gradually decreasing guidance of investment and foreign trade by government authorities. In keeping with this trend, some large, government-owned banks and industrial firms are being privatized. Exports have provided the primary impetus for industrialization. The island runs a trade surplus, and foreign reserves are the world's third largest. Despite restrictions on cross-strait links, China has overtaken the US to become Taiwan's largest export market and, in 2006, its second-largest source of imports after Japan. China is also the island's number one destination for foreign direct investment. Strong trade performance in 2006 pushed Taiwan's GDP growth rate above 4%, and unemployment is below 4%. Consumer spending recovered following a slowdown early in 2006, when banks tightened lending to address a sharp increase in delinquent consumer debt.

GDP (purchasing power parity):
$681.8 billion (2006 est.)

GDP (official exchange rate):
$346.7 billion (2006 est.)

GDP - real growth rate:
4.7% (2006 est.)

GDP - per capita (PPP):
$29,600 (2006 est.)

GDP - composition by sector:
agriculture: 1.5%
industry: 26.8%
services: 71.7% (2006 est.)

Labor force:
10.52 million (2006 est.)

Labor force - by occupation:
agriculture: 5.5%
industry: 36%
services: 58.5% (2005 est.)

Unemployment rate:
3.9% (2006 est.)

Population below poverty line:
0.9% (2006 est.)

Household income or consumption by percentage share:
lowest 10%: 6.7%
highest 10%: 41.1% (2002 est.)

Inflation rate (consumer prices):
0.6% (2006 est.)

Investment (gross fixed):
21% of GDP (2006 est.)

Budget:
revenues: $73.1 billion
expenditures: $72.44 billion (2006 est.)

Public debt:
34.6% of GDP (2006 est.)

Agriculture - products:
rice, corn, vegetables, fruit, tea; pigs, poultry, beef, milk; fish

Industries:
electronics, petroleum refining, armaments, chemicals, textiles, iron and steel, machinery, cement, food processing, vehicles, consumer products, pharmaceuticals

Industrial production growth rate:
6.5% (2006 est.)

Electricity - production:
210.3 billion kWh (2005)

Electricity - consumption:
201.6 billion kWh (2005)

Electricity - exports:
0 kWh (2005)

Electricity - imports:
0 kWh (2005)

Oil - production:
7,755 bbl/day (2004 est.)

Oil - consumption:
965,000 bbl/day (2004 est.)

Oil - exports:
NA bbl/day

Oil - imports:
NA bbl/day

Oil - proved reserves:
3 million bbl (1 January 2006)

Natural gas - production:
767.3 million cu m (2005 est.)

Natural gas - consumption:
9.984 billion cu m (2005 est.)

Natural gas - exports:
0 cu m (2005)

Natural gas - imports:
9.217 billion cu m (2005)

Natural gas - proved reserves:
76.46 billion cu m (1 January 2005 est.)

Current account balance:
$24.66 billion (2006 est.)

Exports:
$223.8 billion f.o.b. (2006 est.)

Exports - commodities:
computer products and electrical equipment, metals, textiles, plastics and rubber products, chemicals (2002)

Exports - partners:
China 22.5%, Hong Kong 15.7%, US 15%, Japan 7.3% (2006 est.)

Imports:
$200.4 billion f.o.b. (2006 est.)

Imports - commodities:
machinery and electrical equipment 44.5%, minerals, precision instruments (2002)

Imports - partners:
Japan 23%, China 11.9%, US 10.9%, South Korea 7.2%, Saudi Arabia 4.9% (2006 est.)

Reserves of foreign exchange and gold:
$270.8 billion (2006 est.)

Debt - external:
$91.92 billion (2006 est.)

Stock of direct foreign investment - at home:
$44.88 billion (2006 est.)

Stock of direct foreign investment - abroad:
$85.7 billion (2006 est.)

Market value of publicly traded shares:
$NA

Currency (code):
new Taiwan dollar (TWD)

Exchange rates:
new Taiwan dollars per US dollar - 32.534 (2006), 31.71 (2005), 34.418 (2004), 34.575 (2003), 33.8 (2002)