Taiwan’s export-driven economy grew 12.9 percent from April to June, beating analysts’ median forecast of 10.5 percent, according to Taipei’s statistics bureau. This followed 14.6 percent growth in the first quarter. Taiwan’s exports surged 21.6 percent year-on-year in the second quarter, driven by strong external demand for artificial intelligence and related applications, while imports grew 18.3 percent. Gareth Leather, senior Asia economist at Capital Economics, called the growth “very strong by any standard” and maintained a forecast of 14 percent growth this year. Taiwan is a major semiconductor manufacturer, home to TSMC and Foxconn. Separately, Hong Kong’s economy grew 4.3 percent in the second quarter, below the 4.9 percent expected by economists and down from 5.9 percent in the first three months. Total exports of goods rose 28.8 percent, imports grew 29.3 percent, and private consumption expenditure increased 2.9 percent, while seasonally adjusted GDP decreased 0.6 percent from the previous quarter. A government spokesperson cited headwinds from Middle East tensions, uncertain US monetary policies, and trade protectionist measures, but said vibrant global demand for AI-related products should bolster merchandise exports.