For the first time in 18 years, South Korea's per capita GDP of USD32,237 in 2022 fell short of Taiwan's USD32,811. Analysts attribute this to insufficient long-term policy support for the semiconductor industry and manufacturing expansion. Taiwan's economic success is driven by the global semiconductor giant, Taiwan Semiconductor Manufacturing Company (TSMC), which has benefited from growing global digitisation demand. In contrast, South Korea's Samsung Electronics may struggle to maintain its memory chip boom without immediate policy measures to support the industry, which represents a fifth of the country's exports. Taiwan recorded a trade surplus of USD51.4bn in 2022, while South Korea registered a USD47.8bn deficit, impacted by COVID-19 restrictions in China and rising energy prices. Taiwan's manufacturing industry has experienced rapid growth, while South Korea's share has declined.