Taiwan is scheduled to release April trade data on 7 May. The exports are expected to have increased by 0.35% y/y, reversing two straight months of negative growth.
The local tech sector benefited from steady global demand for the latest mobile technology, although weak global oil prices likely continued to affect petrochemical exports negatively.
However, lower oil may also have reduced the import bill significantly, as energy imports account for about one-tenth of Taiwan's total imports.
"The trade surplus to have widened further to USD 4.75bn in April, which would make it the seventh straight month above USD 4.0bn. We expect the strong trade surplus to make a positive contribution to Q2 GDP growth", says Societe Generale.
