Taiwan Semiconductor Manufac-turing Co (TSMC, 台積電) yesterday denied media reports that its investment plans in China have been delayed, saying the politically sensitive issue will take time to be finalized. \n"Our position has been quite clear -- we filed our application and will wait for the government to make a decision," said Tseng Jin-hao (曾晉皓), a TSMC spokesman. "This is a very sensitive issue for the government, but we hope they can come to a decision soon," he said. \nTseng's comment came in response to media reports yesterday that the government was deliberately dragging its heels over granting approval for the investment plans. The reports also suggested the government had been pressuring TSMC to delay its plans. \nIn March, the Cabinet gave it approval to computer-chipmakers investing in China. In August, the Ministry of Economic Affairs invited applications from companies and by Sept. 7, TSMC submitted its application to build a chip foundry, or fab, in the Songjiang Industrial Park (松江科技園) on the outskirts of Shanghai. \nThe government has been seeking more information from TSMC about its application, the ministry said yesterday in a statement. On Dec. 4, it asked TSMC to supply more details on the operation of its12-inch fab in Taiwan, the source of the financing for the proposed China fab and the allocation of manpower for the new plant. \n"We have had a lot of communication with the government and it is normal for them to ask for clarification on the details of our application," Tseng said. \nAnalysts are not surprised that the government is taking its time making a decision. \n"The TSMC case is very big and very sensitive," said George Wu (吳裕良), a chip-industry analyst at Primasia Securities Co. "The foundry industry is a great source of pride for Taiwan." \nThat pride sparked street protests in March, with academics, engineers and politicians urging the government to reconsider the decision to allow chipmakers to invest in China. At the time TSU Legislator Chen Chien-ming (陳建銘) said "nothing would be left in Taiwan if the ban is relaxed." \nThe government has been cautious, placing specific restrictions on foundry investments. The disks of silicon, or wafers, from which the chips are cut must be old-technology -- eight-inch diameter ones. The industry is now moving to 12-inch wafers which will yield more chips and increase profitability for chipmakers. \nThe government has stipulated that 12-inch fabs must stay in Taiwan for now. \nIt also forbid advanced 0.13-micron processing of chips being taken to China. Only computer chips etched with 0.25-micron processing can go. \nSome industry-watchers have expressed concern that by the time TSMC gets government approval, it will take up to 18 months to set up the new fab, putting the company well behind China's emerging foundry industry. \n"Shanghai's Semiconductor Manufacturing International Corp (SMIC, 中芯國際集成電路) has already been licensed to make 0.18-micron chips for Singapore's Semiconductor Manufacturing Ltd and 0.14-micron chips for International Business Machines Corp. TSMC plant will be making 0.25-micron chips," Wu said. \nBut TSMC's Shanghai plant will only be seeking orders from the domestic Chinese market, which demands older technology, Rick Hsu (徐禕成), a chip industry analyst at Nomura International in Taipei, said yesterday. \n"If TSMC wants to supply higher technology orders to its foreign customers, it will use its existing plants in Taiwan," Hsu said.
Polytronics Technology Corp (聚鼎科技) yesterday announced that it is buying Henkel AG’s thermal clad dielectric material (TCLAD) business division for US$26 million as the Taiwanese firm aims to improve its technology, product portfolio and revenue performance. Polytronics, headquartered in the Hsinchu Science Park (新竹科學園區), is a supplier of protection components and heat dissipation materials. The firm entered the metallic heat-dissipation substrate market in 2007 and developed a unique solventless production process. Its board of directors approved signing an agreement with Henkel to acquire the German chemical firm’s TCLAD division in the US. The purchase includes all assets and business interests, including equipment,
SIZE MATTERS: Medium-sized hotels that do not have the support of parent groups are more vulnerable and are forced to take action, a REPro Knight Frank researcher said About 50 hotels across Taiwan are seeking to exit the market as they succumb to the bleak business outlook amid international travel restrictions imposed to combat the COVID-19 pandemic. Yomi Hotel (優美飯店) on Minsheng E Road, Sec 1, in Taipei is seeking to transfer ownership with an asking price of NT$950 million (US$32.15 million) and a pledge for a lease contract that guarantees a 3 percent return. The budget hotel, with room rates that start from NT$1,400 per night, maintains normal operations, but has been struggling since March, when the government placed restrictions on inbound and outbound travel. Occupancy rates for hotels in
With the US dollar expected to weaken in the next 12 months due to near-zero interest rates, investors should consider purchasing US corporate bonds, Standard Chartered Bank Taiwan Ltd (渣打台灣銀行) said on Thursday. The bank said that the US Federal Reserve since last month has been buying bonds issued by US companies to curb default rates. The US dollar is forecast to be weaker against the pound, the euro and the yen, as well as the Canadian dollar, the Swedish krona and the Swiss franc, as the greenback lacks high investment returns after the Fed in March slashed the benchmark interest rate
A Bollywood actor’s face tattooed on his arm, Sandeep Bacche’s devotion shocks few in India where stars enjoy semi-divine status, but even there the hallowed silver screen might be losing its shine to streaming services and pandemic fears. “Whenever things get better and theaters begin operations, I will watch three movies a day for sure just as a way to celebrate,” said the Mumbai rickshaw driver, who is recovering from the virus himself. However, others might not join the party. With cinemas shut for months due to a COVID-19 lockdown, and little prospect they will reopen soon, frustrated Bollywood producers have turned to