UBS Lifts Taiwan 2026 GDP Forecast to 11% as AI Boom Spreads Beyond Tech
Updated
Updated · 台北時報 · Jul 29
UBS Lifts Taiwan 2026 GDP Forecast to 11% as AI Boom Spreads Beyond Tech
1 articles · Updated · 台北時報 · Jul 29
Summary
UBS raised its Taiwan growth forecast to 11% from 9.9%, putting the economy on track for one of its strongest years in nearly four decades.
Double-digit second-quarter growth, record capital-goods imports and still-strong exports led UBS to say AI demand is still driving business investment without clear signs of slowing.
The bank said the boom is now reaching metals, machinery and retail sales, while stronger tax revenue and possible new cash handouts could widen gains beyond the technology sector.
Taiwan also benefits from the latest US tariff changes: its products face a 10% rate with key exemptions, versus 12.5% for China, Japan and South Korea, UBS said.
UBS kept its 1.9% inflation view but flagged upside risks from energy prices; with housing subdued, it expects the central bank to leave rates unchanged for now.