Citi Optimistic About Taiwan’s Economic Outlook for 2026

(中央社財經訊息服務20251212 11:24:42)Citi Taiwan’s Commercial Bank and Deloitte Taiwan recently co-hosted the ‘2026 Global Economic Outlook Forum’. Experts from Citi were invited to analyze the global economic landscape in 2026 and Taiwan’s economic prospects alongside Taiwanese enterprises. The forum also highlighted investment opportunities and development potential for Taiwanese businesses in Central and Eastern Europe (CEE). Citi maintains a positive view of Taiwan’s future economic outlook, expecting overall conditions to remain on a growth trajectory driven by vigorous tech export performance and industrial upgrading.

According to statistics from the Ministry of Finance1, Taiwan's exports in September delivered an impressive performance, reaching US$54.25 billion, up 33.8% year-on-year. This growth, benefiting from strong demand for advanced technologies such as artificial intelligence (AI) and high-performance computing, marked the 23rd consecutive month of positive growth. Electronic components along with information & communications technology (ICT) and audiovisual products served as primary growth drivers, registering annual growth rates of 25.6% and 86.9%, respectively. The ministry forecasts that exports will continue their upward trend into the fourth quarter of 2025, with full-year export performance hitting a historic high. This robust momentum in exports and the technology sector in 2025 will lay a solid foundation for Taiwan’s economic development in 2026.

Looking ahead to Taiwan’s economic development in 2026, Adrienne Lui, Citi’s Economist, stated that Taiwan's competitiveness in the AI and semiconductor supply chains gives it considerable advantages in responding to changes and adjusting its global positioning. She emphasized that regardless of how the situation evolves, considering factors such as proximity to the U.S. market, production costs, and regional trade frameworks, markets such as ASEAN, Mexico, and the European Union will remain critical for Taiwanese enterprises as they adapt to the new trade system and adjust their global positioning.

As global supply chains undergo restructuring and geopolitical conditions continue to evolve, companies are reassessing their cross-regional deployment strategies. In addition to strengthening their presence in Asian markets, determining how to further expand production and sales bases connected to Europe has become a key strategic issue. Supported by energy transition initiatives, industrial reshoring, and supply chain diversification, Europe and the CEE region are steadily emerging as hotspots amid a new wave of global investment.

Citi’s Global Network Banking Head for the Czech Republic, Elisa Chen, noted: “Across Europe, governments are actively advancing nuclear and renewable energy development. Countries such as the Czech Republic, Hungary, and Romania have already commenced construction of next-generation nuclear power facilities. Although Germany’s economic growth has temporarily softened, it is expected to maintain approximately 1% to 2% growth between 2026 and 2027. Beyond its established manufacturing base, the CEE region also benefits from zero tariffs in the EU market and relatively limited exposure to U.S. trade tariffs, making it an attractive option for companies seeking to diversify risk and maintain operational flexibility amid global supply chain reconfiguration.”

Michelle Yu, Head of Citi Taiwan Commercial Banking, stated: “In the face of rapidly evolving political and economic dynamics, strengthening global supply chain resilience has become a top priority for enterprises. To address the needs of different industry supply chains, Citi not only provides the most up-to-date local market intelligence and in-depth analysis but also leverages our multinational teams of experts to help clients develop business strategies and navigate the challenges of cross-border investment and operations.”

Munir Nanji, Citi’s Central Europe Head, emphasized: “Citi has a unique global network, covering 16 markets across CEE and a highly skilled, professional workforce. As more companies continue to establish operations in CEE, Citi supports Taiwanese corporate clients by offering comprehensive financial services through close collaboration between our Europe and Asia teams, helping them execute their cross-border investment and expansion strategies.”

Amid rising geopolitical risks and ongoing shifts in economic policy, Citi continues to leverage its extensive global network to provide companies with cross-border financial solutions, including risk management and hedging strategies. With deep experience navigating diverse market conditions and a diversified business footprint, Citi helps companies maintain sustainable operations in a volatile economic environment. Through its presence in more than 90 markets and financial services spanning over 180 markets, Citi delivers comprehensive support to clients with cross-border needs, enabling them to adapt their global strategies with agility and capitalize on opportunities amid an ever-changing international landscape.

Citi has operated in Taiwan for more than 60 years, consistently serving corporate and institutional clients and earning broad recognition from international financial publications, including: Best International Bank for Sustainable Finance from The Asset for 22 consecutive years; Best International Bank from FinanceAsia for the 28th time; Best International Corporate and Institutional Adviser from The Asset for 10 years; Best International M&A Adviser and Best Subcustodian in Taiwan from The Asset for eight successive years; Best International Investment Bank from Euromoney for four consecutive years; and Best Commercial Bank from The Asset for two years running.