Revised statistics released by Taiwan's census bureau on Sunday show economic growth projections for 2025 revised upwards to 7.37 percent, with a stable growth rate of 3.54 percent predicted for 2026. The upward change is driven by the growth of exports in AI chips, semiconductors, servers, and graphics processors, spurred on by tariff pressures from U.S. President Trump's recent policies.
While this marks Taiwan's highest growth in 15 years, experts have noted that beneath these impressive figures lies a widening wealth gap.
The short-term surge in tech-related orders stands in stark contrast to other domestic industries, the business analyst Ah Hsun noted in a Facebook post on Sunday, with the island's economy experiencing a dichotomy.
Hsun notes that the disparity amongst industries is growing, pointing out that the AI and semiconductor sectors that drive Taiwan's economy employ less than 5% of the total population, or around 400,000 people.
In contrast, 70 to 80% of the workforce employed in traditional manufacturing and the service sector face structural changes, stagnant wage growth, and compressed profit margins.
Technological barriers, insufficient transformation funds, and high-cost structures have caused prolonged struggles for small and medium enterprises, Hsun noted, further asserting that weakened demand and reciprocal tariffs have led to a divergence in the country's export structure and industry competitiveness.
These trends result in a noticeable disconnect for many people who see high GDP growth but don't feel any tangible economic benefits, Hsun claimed. （Related： TSMC Files Lawsuit Against Former Vice President Accused of Stealing Trade Secrets ｜ Latest ）
