Taiwan's Economy

            Taiwan, officially the Republic of China, is a dynamic multi-party democracy, and its economy is one of the richest in Asia. In1949, the communist party under Mao Zedong was defeated the Nationalist party ynder Chiang Kai Shek after that the government moved to the island and established dominance there. However, China still consider Taiwan as their province. Since then, Taiwan and China had tensions that can’t be avoided. Taiwan’s government was totally controlled by the Nationalist. In 1990s, when Asian economy was weaker, mostly all countries was caught under economic crisis. Japan, South Korea, Indonesia, Thailand and Malaysia, all of then got economy crisis and then their GDP growth decline. On the other hand, Taiwan, had a steady growth GDP in the range of 6 percent throughout this period. This fact proved that the country economy has been manage carefully. We do the combination of tight exchange controls, low foreign debt, conservative fiscal policies and relatively austere and transparent banking. 

            With only 13,900 square miles and with a population of approximately 23 million, Taiwan can grow rapidly. Taiwan has  approximately $680,5 billion of growth domestic product and per capita GDP is around $29,500. Today, Taiwan is the 28th wealthiest country globally, and 6th richest country in Asia. And along the way Taiwan has transformed itself from a dictatorship into a vibrant democracy. Taiwan especially focused in the Information and Communication Technology sector. 94 percent of the world’s motherboard and notebook PCs was produced by Taiwan. Some major high-tech firms have set up operation on the island, including Microsoft, Sun Microsystems and Intel. All of them realized that Taiwan has a lower cost than in another places and also the quality of the workplace allow them to produce state of the art products. Taiwan has an importance part in this sector.

        The success of the IT companies in Taiwan was reflecting of personal cultural values, such as high motivation, hard work and patience. Taiwan imports mostly mineral products and basic metals, electronic products, chemicals, machinery. Taiwan exports electronics (28% of total), basic metals (9%), plastic & rubber (8%), optical and photographic instruments (8%) and chemicals (7%). Taiwan main exports are electronics, computers, telecommunications equipment, Industrian design service and creative industries/cultures. Taiwan's economy , one of the "Four Asian Tigers", is export-oriented and specialized in production of electronics and machinery. In fact, Taiwan is one of the world's largest suppliers of computer chips, LCD panels, DRAM computer memory, networking equipment, and consumer electronics. Textile production, although already in decline, is another major industrial export sector.

Reference:http://www.tradingeconomics.com/taiwan/gdp-growth

http://en.wikipedia.org/wiki/Taiwan