Key View

• Financial regulators have been taking a more proactive role in supporting fintech sector initiatives in Taiwan: among others, a fintech sandbox has been launched, and targeted programmes have been introduced to grow the payments sector.
• Digital bank licences have been allocated - this will add competition to the incumbent banks, as

Key View

• We believe the ongoing shift in consumer preferences, especially in developed markets, from traditional passenger vehicles to sports utility vehicles will prompt OEMs based in Taiwan to adapt by ramping up SUV production.
• Taiwanese consumers are increasingly turning to the international market in order to fill their growing demand for

Key View

• We at Fitch Solutions are maintaining our growth forecast for Taiwan at 2.1% in 2019, down from 2.6% in 2018.
• We expect a challenging external environment amid rising US-China trade tensions to weigh on exports, which combined with weak electronics demand will continue to weigh on industrial production and investment. 

In our last

Key View:

• Taiwan's declining semiconductor exports are attributed to slowing global demand for smartphones, rather than US-China trade tensions shifting supply chains.
• Taiwan is benefiting from increased shipments of high-end servers, supported by a global surge in demand for cloud computing services.
• Government programmes to attract

Key View

• We maintain our view that the nuclear phase-down policy in Taiwan will continue for the time being despite the amendment of a provision in Taiwan's Electricity Act, which stipulated that all nuclear power generation facilities 'shall cease to operate by 2025'. 
• This is largely due to an ongoing commitment for denuclearisation by the

Key View

• The Taiwan dollar has been trading sideways in 2019 and we at Fitch Solutions expect this trend to continue over the short-term horizon due to conflicting factors. The expected stabilisation of the Chinese yuan should lend support to the TWD by correlation, while weak exports due to the ongoing US-China trade war will dampen demand for

Taiwan’s offshore bond market is set to continue experiencing growing pains. After a record year of activity in 2018 in the country’s so-called Formosa bond market, following a series of moves to open it up to a widen pool of investors through looser regulation, we expect 2019 to herald a turnaround in fortunes with a slowdown in activity once more

Key View

• We expect Taiwan’s commercial banking loan growth to slow over the coming quarters as export-oriented manufacturers are likely to be negatively impacted by the ongoing US-China trade dispute, resulting in waning demand for loans.
• That said, we believe that the fundamentals of Taiwanese banks remain strong, which should enable them to