US Senate Finance Committee Chairman Max Baucus has initiated a bill to authorize the Bush administration to negotiate and sign a Free Trade Agreement (FTA) with Taiwan. \nBaucus referred the bill to relevant Senate committees Tuesday after China and the 10 member states of the Association of Southeast Asian Nations announced earlier in the day that they would pursue plans to create the world's biggest free-trade area within 10 years. \nCongressional sources said the bill is of great significance as it came at a time when Taiwan was worrying about possible "marginalization" by China's efforts to form a free-trade zone with ASEAN members. \nThe bill will be binding if it is approved by the Senate and the House of Representatives. Should it be enacted, it may be known as the "United States-Taiwan Free Trade Agreement Act of 2001." \nBaucus said the signing of an FTA will not only signify US support for its longtime democratic ally of Taiwan, but will also enable American businesses to enjoy more open market access to Taiwan. \nNoting that Taiwan will be further integrated into the global economy following its imminent entry into the WTO, Baucus said a US-Taiwan free-trade agreement would eliminate the last barriers to US exports to Taiwan. \nBaucus also said that US trade policy has traditionally envisaged support for freedom and democracy. \nBaucus told his Senate colleagues that Taiwan shares common values with the US and deserves continued US political and economic support. \nThe US move to negotiate and sign an FTA with Taiwan will encourage Taiwan to continue its internal reforms and set an example for market opening and trade liberalization, Baucus said.
‘BIG LOSS’: This year might see the last generation of Huawei’s Kirin chips, as their production would stop next month because they are made using US technology Chinese tech giant Huawei Technologies Co (華為) is running out of processor chips to make smartphones due to US sanctions and would be forced to stop production of its own most advanced chips, a company executive has said, in a sign of growing damage to Huawei’s business from US pressure. Huawei, one of the biggest producers of smartphones and network equipment, is at the center of US-Chinese tension over technology and security. Washington last year cut off Huawei’s access to US components and technology, and those penalties were tightened in May, when the White House barred vendors worldwide from using US
’WHITE BOX’: The open platform would give local firms access to Cisco’s cloud-based mobile network to develop 5G telecom equipment and tap into the global market The Ministry of Economic Affairs (MOEA) yesterday introduced a new 5G “open lab” in collaboration with US-based information technology and networking giant Cisco Systems Inc to address the rapidly growing “white box” 5G networking equipment market. The open lab will be a platform where Taiwanese manufacturers can access Cisco’s cloud-based mobile network to develop their own 5G telecom equipment, such as small-cell base stations, network switches, modems and Internet of things (IoT) devices, a ministry statement said. The open platform would allow Taiwanese manufacturers to tap into the lucrative 5G telecom equipment market, which was previously monopolized by Nokia Oyj, Ericsson AB
CORPORATE SCANDAL: Cathay Life has invested NT$13.3 billion in Bank Mayapada since 2015, but the latest loss of NT$8.8 billion has completely written off its investment Cathay Life Insurance Co (國泰人壽) yesterday said it would recognize an investment loss of NT$8.8 billion (US$298.1 million) in Indonesia’s Bank Mayapada Internasional Tbk PT due to concerns about the lender’s operations amid a corporate scandal. The company said it would revise its earnings result for June, from a net profit of NT$6.52 billion to a net loss of NT$520 million, its first monthly loss over the past 17 months. After booking an investment loss of NT$5.2 billion in Bank Mayapada earlier this year, Cathay Life has so far recognized total investment losses of NT$14 billion in the lender, executive vice president
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday reported that revenue last month expanded 25 percent annually, but fell 12.8 percent month-on-month to NT$105.96 billion (US$3.59 billion). In the first seven months of this year, the chipmaker’s revenue surged 33.6 percent to NT$727.26 billion, compared with NT$544.46 billion a year earlier. TSMC has said it aims to grow its revenue by more than 20 percent this year. The company has since May 15 stopped taking new orders from Huawei Technologies Co (華為), its second-biggest customer after Apple Inc, due to the US’ restrictions on exports containing US technologies. TSMC has no plans to