Chinese slowdown hurts Taiwan and Thailand exports, hits GDP forecast

CHINA's economic slowdown has dampened Asian exports with weak shipment volumes for Taiwan and Thailand, which has downgraded its GDP forecast for 2012 following weaker than expected export growth.

Taiwan hit a fifth consecutive month of export declines on weak orders from Europe and the US in July, representing a 4.4 per cent year-on-year drop after June's 2.6 per cent dip. Its forecasted GDP growth was down to 1.7 per cent down from two per cent.

It is hoped that the launch of iPhone5 will increase demand for its high tech exports from its major tech companies in Taiwan such as global chipmaker Taiwan Semiconductor Manufacturing Co Ltd (TSMC) and hardware electronics company Asus and Acer.

Thailand's expected export rebound of 15 per cent for the fiscal year following floods was weakened to a lower 7.3 per cent growth forecast, according to Thailand's National Economic Social Development Board.