Taiwan's Service Sector

As introduced by the Yearbook of the Republic of China:

Taiwan's service sector is divided into seven main categories:

1. finance, insurance and real estate;
2. trade and eating-drinking places;
3. social, personal and related community services;
4. transportation, storage and communication;
5. business services;
6. producers of government services; and
7. other producers.

During the 1960s and 1970s, the rapid growth of manufacturing almost caught up with Taiwan's service sector in terms of GDP percentage. Roughly two decades ago, however, Taiwan's service sector was revitalized. By 2002, the service sector accounted for 67.10 percent of Taiwan's GDP, a percentage very similar to that of many advanced nations.

The total GDP value for the service sector reached US$189.2 billion in 2002, up 0.45 percent from the preceding year. Finance, insurance and real estate comprised the bulk of the service sector, accounting for over 31.10 percent. Trade and eating-drinking places accounted for 28.98 percent of the service sector, up 0.18 percentage point compared with the preceding year. Wholesale, retail, international trade businesses, and food and beverage rise by 4.49, 3.31, 3.51, and 0.66 percent, respectively.

Taiwan's thriving service sector, particularly in the financial and stock market areas, has attracted many young people in recent years. In 1988, the service sector surpassed the manufacturing sector in attracting more of the total work force. By the end of 2002, over 57.26 percent of the island's 9.45 million employed persons were working in the service sector.