GERMANY
Confidence falling: survey
The GfK research institute said a new poll showed consumer confidence falling after six months of rises. The institute said yesterday its forward-looking confidence indicator dropped to 5.9 for next month from 6 points for this month as gas prices have hit record highs. GfK said it still expected private consumption to be the “fundamental base for economic growth in Germany this year.” A more detailed look at the survey finds a significant drop in income expectations, while consumers’ willingness to buy was almost unchanged. Another leading indicator, the Ifo business climate index, rose for the fifth time in a row this month, hitting its highest level in eight months, according to data released on Monday.
MINING
Rio mulls dropping diamonds
Rio Tinto Group, the world’s third-largest mining company, is considering selling its diamond assets because the mines might no longer fit its strategy, joining BHP Billiton Ltd in a similar sale process. The company has begun a review of the business, which may take “some time,” -London-based Rio said yesterday in a statement. The unit might be worth US$2.56 billion, according to a valuation this month by Bank of America Merrill Lynch. Rio operates the Argyle mine in Australia and has a 60 percent stake in Diavik in Canada and a 78 percent holding in Murowa in Zimbabwe.
MINING
Kumtor output short 40%
Toronto-based mining company Centerra says output this year at its key gold mine in Kyrgyzstan could fall short of previous targets by up to almost 40 percent. Centerra said in a statement yesterday that a 10-day work stoppage last month by striking laborers at the Kumtor mine exacerbated the buildup of ice and waste, preventing access to higher grade ore. The company said gold output could drop to a low of 390,000 ounces this year, down from an earlier upper forecast of 625,000 ounces. Kumtor accounts for almost 12 percent of the economy in the struggling former Soviet nation on China’s western border.
AVIATION
Mandala to resume flights
Indonesian budget carrier PT Mandala Airlines said yesterday it would return to the skies next week, more than a year after being grounded due to huge debts. After completing a financial restructuring in which Singapore budget carrier Tiger Airways became a key investor, Mandala said it had scheduled its inaugural flight from Jakarta to the Indonesian city of Medan for April 5. That will be followed by the first international flight, from Jakarta to Kuala Lumpur, on May 4, Mandala said in a joint statement with Tiger. Tickets sales for both flights began selling yesterday.
FINANCE
CaixaBank to buy Civica
CaixaBank has agreed to absorb smaller rival Banca Civica for about 1 billion euros (US$1.33 billion) in stock in a deal that will create Spain’s biggest bank as measured by assets. The deal was agreed by CaixaBank and Banca Civica late on Monday after the boards of both met. A Caixabank statement said the merged entity would have 342 billion euros in assets. Banca Civica itself resulted from a fusion of troubled cajas, or savings banks. This sector had been especially exposed to Spain’s real-estate bubble and hurt by its implosion in 2008. A wave of consolidation has ensued. CaixaBank, controlled by a Catalan financial group called La Caixa, said the deal would be completed in the third quarter of this year.
purpose: Tesla’s CEO sought to meet senior Chinese officials to discuss the rollout of its ‘full self-driving’ software in China and approval to transfer data they had collected Tesla Inc CEO Elon Musk arrived in Beijing yesterday on an unannounced visit, where he is expected to meet senior officials to discuss the rollout of "full self-driving" (FSD) software and permission to transfer data overseas, according to a person with knowledge of the matter. Chinese state media reported that he met Premier Li Qiang (李強) in Beijing, during which Li told Musk that Tesla's development in China could be regarded as a successful example of US-China economic and trade cooperation. Musk confirmed his meeting with the premier yesterday with a post on social media platform X. "Honored to meet with Premier Li
Dutch brewing company Heineken NV on Friday announced an investment of NT$13.5 billion (US$414.62 million) over the next five years in Taiwan. The first multinational brewing company to operate in Taiwan, Heineken made the statement at a ceremony held at its brewery in Pingtung County. It also outlined its efforts to make the brewery “net zero” by 2030. Heineken has been in the Taiwanese market for 20 years, Heineken Taiwan managing director Jeff Wu (吳建甫) said. With strong support from local consumers, the Dutch brewery decided to transition from sales to manufacturing in the country, Wu said. Heineken assumed majority ownership and management rights
ARTIFICIAL INTELLIGENCE: The chipmaker last month raised its capital spending by 28 percent for this year to NT$32 billion from a previous estimate of NT$25 billion Contract chipmaker Powerchip Semiconductor Manufacturing Corp (力積電子) yesterday launched a new 12-inch fab, tapping into advanced chip-on-wafer-on-substrate (CoWoS) packaging technology to support rising demand for artificial intelligence (AI) devices. Powerchip is to offer interposers, one of three parts in CoWoS packaging technology, with shipments scheduled for the second half of this year, Powerchip chairman Frank Huang (黃崇仁) told reporters on the sidelines of a fab inauguration ceremony in the Tongluo Science Park (銅鑼科學園區) in Miaoli County yesterday. “We are working with customers to supply CoWoS-related business, utilizing part of this new fab’s capacity,” Huang said, adding that Powerchip intended to bridge
Microsoft Corp yesterday said that it would create Thailand’s first data center region to boost cloud and artificial intelligence (AI) infrastructure, promising AI training to more than 100,000 people to develop tech. Bangkok is a key economic player in Southeast Asia, but it has lagged behind Indonesia and Singapore when it comes to the tech industry. Thailand has an “incredible opportunity to build a digital-first, AI-powered future,” Microsoft chairman and chief executive officer Satya Nadella said at an event in Bangkok. Data center regions are physical locations that store computing infrastructure, allowing secure and reliable access to cloud platforms. The global embrace of AI