Taiwan's total exports of electronic components gained 28.4% in May on the year to $17.2 billion, with semiconductor exports up 30.1%. Imports rose 25% to $39.13 billion, lower than economists' forecasts of 30.2%.

Taiwan has hit AI companies based in China with an export ban that stops Taiwanese companies from supplying them with technology crucial to their operations. AI chips are currently being positioned as the backbone of the next wave of global computing and defense technologies.

Chinese companies Huawei and SMIC may have a difficult time accessing resources needed to build AI chips, due to Taiwanese export controls.