The Impact of COVID-19 on Taiwan’s Economy and Future Prospects

Written by Min-Hua Chiang. Despite economic shrinkage, the impact of COVID-19 on Taiwan’s economy is restrained compared to other countries. Singapore (-2.2%), European Union (-2.7%), USA (-4.8%), China (-6.8%) and Hong Kong (-8.9%) have reported a more significant drop in the first quarter of 2020. Taiwan’s success in controlling the spread of COVID-19 has minimized the impact of COVID-19 on its economy. As of May 11 2020, Taiwan reported 440 cases and seven deaths, lower than most other countries in the world.

Why China’s solo tourist ban is not a big deal for Taiwan

Written by Min-Hua Chiang. Businesses and entertainers have been forced to adhere to the “One-China Policy”, and from 1st August 2019 Chinese nationals from 47 cities in China were prohibited to visit Taiwan on an individual basis. China’s new tourism restraint is another attempt to intimidate Taiwan.

Taiwanese officials estimated a reduction of NT$18,000 million (US$574 million) in tourism revenue and a fall of 0.1% GDP following China’s new tourism policy. Looking at the statistics in detail, the impact on Taiwan’s economy is limited.