East Asia Today

Today's PPI inflation data in China were strong. Taiwan's export data for October were even stronger. In Japan, the BOJ's proxy for PCE weakened in Q3, but the underlying trend, particularly in per capita terms, remains firm.

Paul Cavey

Nov 9, 2026 • 3 min read

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Taiwan – another surge in exports

October export growth was the strongest in 20 years. That doesn't tell us what happens next. If 2025 is any guide, even the slowdown suggested by equities might not happen. What the data do say is that AI tech demand remained extremely strong in October, leaving Taiwan with an enormous trade surplus

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China – inflation all external

PPI inflation accelerated again in October, a rise that is supporting nominal GDP and would usually lift corporate profits too. But this is all externally-driven. Downstream prices in PPI and the overall CPI remain weak, and outside of food, leading indicators point to slower inflation in 2027.

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East Asia in Four Charts

The key issue in the region is the outlook for AI tech demand. However, other dynamics are important. In the big economies, property matters in China and consumption in Japan. In Korea, the tech spillover to domestic demand hasn't happened yet. It has in Taiwan, but the boom hasn't lifted the TWD.