Asia Pacific Economic Research

Research evidence excerpt

Asia Pacific Economic Research

J P M O R G A N Asia Pacific Economic Research

01 August 2026

Global Data Watch: Asia

EMAX: first strength; now breadth

EMAX: first strength; now breadth Emerging Markets Asia, Economic

and Policy ResearchEMAX activity approached mid-year with a particularly strong skip in its step,

characterized by a series of strong upside surprises. Last week’s scorching June Sajjid Z Chinoy

Taiwan IP was followed by a blow-out 2Q GDP print which came in at 9.9% q/q, (91-22) 6157-3386

saar more than twice our (above-consensus) forecast. While AI-driven external sajjid.z.chinoy@jpmorgan.com

JPMorgan Chase Bank, N.A., Mumbai Branch

demand remains the key catalyst, booming exports are now spilling over into

Anusha Mital

domestic demand. In particular, gross capital formation emerged as a key growth

(91-22) 6157-4113

driver in 2Q GDP as domestic capacities are built to respond to relentless external anusha.mital@jpmchase.com

demand. Meanwhile, private consumption also delivered its strongest annual gain J.P. Morgan India Private Limited

in nearly three years, helped by fiscal support to households that commenced in late

2025, thereby lifting domestic demand’s contribution to a five-quarter high.

Research Notes

Similar dynamics were at play in Korea. June IP sizzled 6.4% m/m, sa – much East Asia: Terms of trade amid tech and oil volatility

above our and consensus expectations. Importantly, the bounce was driven by non-

tech production, underpinned by strong fixed investment, with facility investment

posting a solid June gain and surveys still pointing to firm capex plans. All this Data Watches

suggests that, like Taiwan, AI-exports are increasingly spilling over into domestic Japan

investment. Unlike Taiwan, domestic consumption remains more uneven.