The New Taiwan Dollar (TWD) has recently displayed notable trends influenced by both internal economic conditions and external trade factors. As of October 10, 2025, the TWD to USD exchange rate stands at 0.032650, which is 1.4% below its three-month average of 0.033123. This fluctuation places the currency within a stable range of 5.2%, trading between 0.032514 and 0.034189.
The Taiwan central bank's decision to maintain interest rates at 2% during its June meeting underscores the confidence in a tech-driven economy with projected growth of 3.05% for the year. Despite these positive indicators, risks remain, as highlighted in the bank's July minutes which expressed concerns regarding the potential impacts of U.S. tariffs on Taiwan's economic outlook.
Recent trading activity has shown the TWD to EUR at 30-day lows around 0.027907, 1.6% beneath its three-month average of 0.028358, suggesting downward momentum. Similarly, the TWD to GBP has also dipped to near 0.024285, 1.3% below its three-month average, indicating unease among traders. Meanwhile, the TWD to JPY is hovering near seven-day lows at 4.9020, which is consistent with its three-month average.
The recent record rally of the TWD in early May 2025, where it surged by 8% in two days due to global currency shifts and U.S. trade policy uncertainties, has raised concerns about export competitiveness and financial stability. Following this, the central bank emphasized the importance of financial stability by urging banks to comply with foreign exchange rules and downplaying external pressures to strengthen the currency.
Overall, while the TWD has shown resilience amidst these economic factors, the ongoing trade tensions and tariff implications warrant close monitoring as they could significantly affect the currency's stability and performance in the coming months.
