Foreign trade set to slow
Slower growth is expected in this year's foreign trade owing to the moderate global recovery, a government report said yesterday. According to the Bureau of Foreign Trade's forecast, the economy will grow 4.3 percent this year, compared to the forecast of 3.3 percent global economic growth, the Central News Agency (CNA) said. This year's exports are expected to grow 8.15 percent to reach US$242 billion, and import are expected to grow 7.11 percent to hit US$217 billion. The trade surplus is expected to reach US$25 billion, up 18 percent year-on-year, CNA quoted the report as saying. In the fourth quarter of last year, imports and exports grew 3.1 percent and 1.5 percent respectively.
Inflation haunts China
China faces inflationary pressures this year as the country's trade surplus expands, a central banker said yesterday. "If the trade surplus continues to expand over the next few months, the central bank will strengthen its macro control measures and will be more pre-emptive in taking tightening measures," Wu Xiaoling (吳曉靈), vice governor of the People's Bank of China told reporters during a financial conference in Beijing. The measures may include further reserve ratio rises, more aggressive open market operations and more currency swaps. China faces rising inflationary pressure this year caused by a long expansion in monetary supply and bank lending last year, Wu said.
FTA deadline extended
The US and South Korea need more time to negotiate an ambitious free trade agreement, and have extended the deadline to today, the two governments said. "Negotiations continue between the US and the Republic of Korea on a number of outstanding issues," Sean Spicer, Assistant US trade representative for public affairs, said in a statement released yesterday. The talks must finish by noon today in the eastern US, Spicer said. That would be early tomorrow morning in South Korea.
Creative slips into the red
Creative Technology Ltd, whose music players compete with Apple Inc's iPod, said it expects to post an operating loss of about US$20 million for the fiscal third quarter ending yesterday. "The operating loss is due to lower-than-expected sales for Creative products in Asia and the United States and restructuring charges worldwide relating to cost-reduction efforts in the quarter," Creative said yesterday in a statement to the Singapore Stock Exchange. The company expects sales in the third quarter to be about US$180 million. That is 20 percent lower than the US$225.7 million in sales posted a year earlier and down 58 percent from US$424.4 million in the second quarter.
Brazil's airports reopen
All of Brazil's 49 airports were set to reopen early yesterday following a deal reached by the government and striking air traffic controllers to end a walkout that has wreaked havoc on the nation's air transportation system, a labor representative said. Under the accord, the government agreed to suspend planned transfers of striking workers from the airport of Brasilia, the capital, to other parts of the country, and begin talks about increasing worker salaries and "demilitarizing" the industry.
NO VIRUS BLUES: A SEMI Taiwan official said that the virus does not slow down the global semiconductor industry’s investment in manufacturing equipment The production value of the nation’s semiconductor industry is expected to grow 16.7 percent this year from last year, outpacing the global industry’s 3.3 percent growth, industry association SEMI said yesterday. That would help Taiwan safeguard its second spot in the global semiconductor market with a production value of more than NT$3 trillion (US$102.73 billion), SEMI Taiwan president Terry Tsao (曹世綸) told a media briefing in Taipei for the Semicon Taiwan trade show beginning today. The global semiconductor industry’s production value is expected to increase to US$426 billion this year, SEMI said. In terms of semiconductor equipment investment, equipment billings from Taiwanese firms
Intel Corp has received licenses from US authorities to continue supplying certain products to Huawei Technologies Co (華為), a company spokesman said yesterday. Washington has been pushing governments around to world to squeeze out Huawei, saying that the telecom giant would hand data to Beijing for espionage. From Monday last week, new curbs have barred US companies from supplying or servicing Huawei. This week, the state-backed China Securities Journal reported that Intel had received permission to supply Huawei. China’s Semiconductor Manufacturing International Corp (SMIC, 中芯國際), which uses US-origin equipment to make chips for Huawei and other companies, last week confirmed that it had sought
INVEST IN TAIWAN: A metal components casting firm and the world’s largest maker of aluminum bicycle rims also obtained approvals to join the program Solar Applied Materials Technology Co (SOLAR, 光洋應用材料), a part of Taiwan Semiconductor Manufacturing Co’s (TSMC, 台積電) “green supply chain,” has pledged to invest NT$1 billion (US$34.1 million) to build a new plant at the Tainan Technology Industrial Park (台南科技工業區), the Ministry of Economic Affairs said yesterday. SOLAR has been collaborating with TSMC to extract precious metals from waste and reuse them as “sputtering target” material in high-end semiconductor manufacturing, a TSMC press release issued in May said. Established in 1978, SOLAR also offers key materials and integrated services to customers in the optoelectronics, information and communications technology, petrochemicals and consumer electronics industries,
Swancor Renewable Energy Co (上緯新能源) yesterday announced plans for a 4.4 gigawatt (GW) offshore wind project off Miaoli County as part of its commitment toward Taiwan’s energy transformation, the company said in a statement. The “Formosa 4” project includes three deep-water wind farms 18km to 20km off the coast, Swancor Renewable CEO Lucas Lin (林雍堯) said, adding that planning for the project began last year. A proposal for Formosa 4 was this week submitted to the Environmental Protection Agency (EPA), the company said. Swancor Renewable jointly developed the Formosa 1 project, a 128 megawatt (MW) wind farm about 4km off Miaoli and the