TAIPEI (TVBS News) — The honorary chairman of the Taipei Computer Association (台北市電腦公會) highlighted the need for a balanced economy during the AI NEXT FORUM on Tuesday (May 6). He advocated for a moderate appreciation of the Taiwan dollar, which benefits importers and citizens while cautioning against an overemphasis on export surpluses.
Honorary Chairman Tung Tzu-hsien (童子賢) reflected on Taiwan's past exchange rates of NT$26 to NT$27 per U.S. dollar, noting that despite Taiwan's solid economic fundamentals, the country relies heavily on exports with insufficient domestic demand creation. He emphasized that while Taiwan's exporters are robust, stimulating domestic demand is crucial for industrial growth. He indicated that short-term capital influxes should not be a significant concern.
He further explained that Taiwan's economy thrives on vibrant exports, making currency appreciation pressure natural. Tung hoped that economic shifts would not occur too rapidly, which might complicate adjustments. He used Taiwan's economic data to illustrate his point, noting that from 2021 to 2024, Taiwan's GDP rose from approximately US$7,551 billion in 2023 to US$7,932 billion in 2024. The total trade volume fluctuated, reaching US$8,695 billion in 2024.
Tung compared Taiwan's foreign trade ratio of 103.88% in 2023 to the U.S.'s 18.61%, highlighting the latter's reliance on domestic demand.