Taiwan lowers 2012 economic growth forecast to 3 per cent amid weak overseas demand

TAIPEI, Taiwan – Taiwan’s government has lowered its economic growth forecast for 2012 to 3 per cent from 3.4 per cent as demand fades for the island’s mainstay electronic exports.

Friday’s revision came only four weeks after the government lowered the forecast from 3.8 per cent.

Get weekly money news

Get expert insights, Q&A on markets, housing, inflation, and personal finance information delivered to you every Saturday.

Sign up for weekly money newsletter Get Started

By providing your email address, you have read and agree to Global News' Terms and Conditions and Privacy Policy.

Hit by weaker global demand, the government said Taiwan’s exports fell 4 per cent to $70 billion in the January-March period.

It said exports are expected to grow 2.7 per cent for the entire year to $316 billion as global economy stabilizes in the second half, revising the 4.3 per cent growth forecast earlier.

The government said Taiwan’s electronics industry faces keener competition from global brands such as Apple Inc. but brisk sales of smartphones could partially offset the slowdown.