Retail sales in Taiwan fell by 2.9% year-on-year in June, marking the third consecutive month of contraction and following a revised 1.4% drop in May. The downturn was driven by persistent economic uncertainty, subdued consumer sentiment, delayed deliveries of imported vehicles, and a shorter holiday compared to the same period last year. Sales slumped for motor vehicles and motorcycles (-17.3% vs -18.0% in May), textiles and clothing (-6.3% vs 0.8%), pharmaceutical, medical goods and cosmetics (-0.9% vs 4.2%), and household appliances and goods (-2.0% vs -0.8%). Sales momentum weakened in general merchandise (1.9% vs 6.5%), food, beverages and tobacco (7.7% vs 11.5%), and electronics and home appliances (2.6% vs 4.1%). In contrast, growth accelerated in other retail categories (6.8% vs 3.5%) and construction materials (4.5% vs 3.3%), while sales in non-store retail rebounded (4.9% vs -1.7%). On a monthly basis, retail activity declined 1.5% in June, reversing the 2.9% gain in May.