The government will continue to intervene in the stock market using the state-owned National Stabilization Fund (國安基金) to support share prices for one more month in view of the global financial crisis, Vice Finance Minister William Tseng (曾銘宗) said yesterday.
Tseng was speaking at a press conference that followed a meeting of the fund’s management committee led by Vice Premier Paul Chiu (邱正雄).
Authorization given by the management committee on Sept. 19 to mobilize the fund was due to end tomorrow, but the mobilization has now been extended to Nov. 17.
Tseng assured investors that the government has sufficient resources to prop up the stock market, saying that a mere NT$ 7.1 billion (US$219.1 million) of the fund, which amounts to NT$500 billion, was used to purchase shares as of the end of last month.
Chiu said that the fund had outperformed the TAIEX benchmark index and many institutional investors last month as it had lost only NT$150 million.
The performance of the fund this month would not be announced until next month, Tseng said. Tseng also acts as the executor of the fund.
In January 2000, the legislature passed the Regulation on the Establishment and Management of the National Stabilization Fund (國家金融安定基金設置及管理條例). The regulation states that the fund is able to use state-owned shares in public or private enterprises to borrow up to NT$200 billion from the banking industry and up to NT$300 billion from four government funds — the labor insurance fund (勞保基金), the labor pension fund (勞退基金), the civil servant pension fund (退撫基金) and the postal savings fund (郵政儲金).
If the stabilization fund loses money, the government must make provisions in its next budget to make up for the loss, the regulation stipulates.
Nvidia Corp CEO Jensen Huang (黃仁勳) today announced that his company has selected "Beitou Shilin" in Taipei for its new Taiwan office, called Nvidia Constellation, putting an end to months of speculation. Industry sources have said that the tech giant has been eyeing the Beitou Shilin Science Park as the site of its new overseas headquarters, and speculated that the new headquarters would be built on two plots of land designated as "T17" and "T18," which span 3.89 hectares in the park. "I think it's time for us to reveal one of the largest products we've ever built," Huang said near the
China yesterday announced anti-dumping duties as high as 74.9 percent on imports of polyoxymethylene (POM) copolymers, a type of engineering plastic, from Taiwan, the US, the EU and Japan. The Chinese Ministry of Commerce’s findings conclude a probe launched in May last year, shortly after the US sharply increased tariffs on Chinese electric vehicles, computer chips and other imports. POM copolymers can partially replace metals such as copper and zinc, and have various applications, including in auto parts, electronics and medical equipment, the Chinese ministry has said. In January, it said initial investigations had determined that dumping was taking place, and implemented preliminary
Intel Corp yesterday reinforced its determination to strengthen its partnerships with Taiwan’s ecosystem partners including original-electronic-manufacturing (OEM) companies such as Hon Hai Precision Industry Co (鴻海精密) and chipmaker United Microelectronics Corp (UMC, 聯電). “Tonight marks a new beginning. We renew our new partnership with Taiwan ecosystem,” Intel new chief executive officer Tan Lip-bu (陳立武) said at a dinner with representatives from the company’s local partners, celebrating the 40th anniversary of the US chip giant’s presence in Taiwan. Tan took the reins at Intel six weeks ago aiming to reform the chipmaker and revive its past glory. This is the first time Tan
CUSTOMERS’ BURDEN: TSMC already has operations in the US and is a foundry, so any tariff increase would mostly affect US customers, not the company, the minister said Taiwanese manufacturers are “not afraid” of US tariffs, but are concerned about being affected more heavily than regional economic competitors Japan and South Korea, Minister of Economic Affairs J.W. Kuo (郭智輝) said. “Taiwan has many advantages that other countries do not have, the most notable of which is its semiconductor ecosystem,” Kuo said. The US “must rely on Taiwan” to boost its microchip manufacturing capacities, Kuo said in an interview ahead of his one-year anniversary in office tomorrow. Taiwan has submitted a position paper under Section 232 of the US Trade Expansion Act to explain the “complementary relationship” between Taiwan and the US
RSS