Apple’s iPhone 6s Reversed Taiwan’s Falling Exports in September
Although its influence is undeniable, iPhone orders won’t have the same effect as they did last year, when the iPhone 6 and 6 Plus launched. Still, the demand for the iPhone 6s and 6s Plus has helped Taiwan’s export orders, as they fell less than expected last month: 4.5%, compared to a Reuters poll forecasting a 12.7% drop (via Reuters).
Taiwan’s export orders are seen as a leading indicator of demand for Asia’s gadget exports. Orders were down for the sixth consecutive month, but the negative growth was much better than expected.
Taiwan’s economics ministry said the new Apple smartphones were behind the better than expected figures and that October orders would likely be up from September’s value. It also said that the improvement in demand was also evident as companies’ inventories were falling.
About a year ago, Taiwan export orders set a new record, driven by the strong demand for the iPhone 6 and 6 Plus. This year, September orders topped $41.35 billion, which compares to October 2014’s $44.91 billion.
Many Taiwanese companies are part of Apple’s supply chain, such as Foxconn, case maker Catcher Technology Co., and camera-lens maker Largan Precision.