Export demand is increasing in Asia, as well as in the West...
With all the emphasis on the importance of recovering global fortunes to the Asian economic recovery with its concommitant increase in import demands, Asia as an import market itself is sometimes forgotten..
Indeed, those markets that have been in recovery mode for longer - such as South Korea and Taiwan - are providing much support for other Asian economices - accounting for a larger proportion of export income than you may realise...
The Economic Times from the Times of India in an article entitled Asia looks within itself for export growth quotes Steve Brice, head of economic research at Standard Chartered Bank with some interesting data on inter-regional trade...
Brice said a large portion of intra-regional trade was still stimulated by the US "But we are also saying that there is reduced sensitivity to the US factor. So if the US economy is doing well, the intra-regional trade will do even better."
Singapore and Taiwan have seen exports to their regional counterparts improve at a much faster pace than with the US, Europe or Japan -- Asia's three major markets.
Singapore's exports to the US were down 16.5 per cent on the year in January, but they posted decent gains with China, Hong Kong and Taiwan.
Taiwan's seasonally adjusted export orders were up 2.4 per cent on-month in January. The rise came from Japan 20.5 per cent, Europe 1.4 per cent, and Hong Kong including China 6.1 per cent. Orders from the US dropped 1.2 per cent.
During last year's export downturn, Korean exports to Asia fell less, at 13.5 per cent, versus a 16.4 per cent drop with the United States.
Published March 05, 2002 06:13 PM in Asia
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