Tax training program starts \n \nThe Ministry of Finance opened a training program for local and foreign tax personnel yesterday at its Taxation Training Institute in Taipei. \nAddressing the opening ceremony of the ministry's 20th International Taxation Academy, Deputy Minister of Finance Lin Tseng-chi (林增吉) said that one of the major tasks of their efforts to promote taxation reform is to seek international cooperation. \nLin said besides continuing to sponsor activities aimed at boosting exchanges on tax affairs with foreign countries, the ministry will also seek to sign international tax accords. He said that Taiwan has already contacted 27 countries on this issue. Attendees at the ministry-sponsored program include individuals from the Czech Republic and Russia, according to the institute. \nAlso at the training program are David Noren, a US tax official, Dennis Calfee of the Law Institute of the University of Florida and Thomas Evans, co-partner of the law firm Kirkland and Ellis. \nFormosa Plastics rating cut \n \nFormosa Plastics Corp (台塑), the country's largest maker of polyvinyl chloride, was reduced to "neutral" from "outperform" by Credit Suisse First Boston, which cited a possible earnings slowdown. \nFormosa Plastics' polyethylene and polypropylene margins may face pressure in the second quarter, CSFB said in a report. Polyethylene and polypropylene are used to make plastic products. \nCSFB has a target price of NT$55 on the stock. It rose 0.4 percent to NT$46.70 yesterday. \nFormosa Chemicals and Fiber Co (台塑化纖), a sister company to Formosa Plastics and one of the country's largest petrochemical makers, was raised by CSFB to "outperform" from "neutral," as its products benefit from high oil prices. \nCSFB has a target price of NT$65 on the stock. It increased 1 percent to NT$49.50 today. \nHSBC offers Almighty Mortgage \n \nHSBC Taiwan introduced a new mortgage product yesterday with two financial incentives, the company announced at a press conference. \nThe new mortgage product, "Almighty Mortgage," combines all the advantages of offset mortgages and revolving loans, but adds to that insurance coverage for the borrower, Jack Shen (沈家齊), HSBC Taiwan's marketing vice president, said at the conference. \nCiting a recent survey conducted by HSBC, Shen said many customers wanted to see banks offer insurance protection for the borrower in case an accident prevents the client from paying back the mortgage. \nThe bank would provide new customers with free compulsory earthquake insurance for one year and a 50-percent discount on the purchase of HSBC investment products, Shen said. \nCompal to buy back shares \n \nCompal Electronics Inc (仁寶), whose stock has slid 27 percent this year, said it may spend as much as NT$4 billion (US$117 million) to buy back 100 million shares. \nThe Taipei-based company, the world's second-largest maker of notebook computers, plans to buy the shares for as much as NT$40 each, it said in a filing to the Taiwan Stock Exchange. The buyback will start today and last through Oct. 9. \nQuanta Computer Inc (廣達), the world's largest notebook-computer maker, said last week it plans to buy back as many as 20 million shares for as much as NT$65 each. \nNT dollar advances \n \nThe New Taiwan dollar yesterday traded higher against its US counterpart, advancing NT$0.050 to close at NT$34.106 on the Taipei foreign exchange market. Turnover was US$395 million.
‘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