High-tech firms sap TAIEX
The TAIEX pulled back yesterday as local high-tech firms in the Apple supply chain encountered losses amid concerns over a supply shortage of the iPhone 5, dealers said.
Hon Hai Precision Industry Co (鴻海), which assembles iPhones and iPads for Apple, fell 3.53 percent to close at NT$90.20, while metal casing supplier Foxconn Technology Co (鴻準) lost 3.45 percent to end at NT$112.00.
Largan Precision Co (大立光), a smartphone camera lens maker, shed 6.29 percent to NT$596.00 and flexible printed circuit board supplier Flexium Interconnect Inc (台郡) ended down 7 percent at NT$114.50.
Dealers said lingering worries about economic fundamentals also added downward pressure to the broader market, dragging down the index below the 7,700-point mark by the end of the session.
The weighted index closed down 64.50 points, or 0.83 percent, at 7,669.63, on turnover of NT$84.22 billion (US$2.87 billion).
USTR delegation coming
The Office of the United States Trade Representative (USTR) will send a delegation to Taiwan next month in preparation for a resumption of major trade talks between Taiwan and the US, Representative to the US Jason Yuan (袁健生) said yesterday.
Yuan said that following a just-concluded visit to Taiwan by Atul Keshap, US senior official for APEC, the USTR would also send a delegation for technical consultations on a resumption of talks under the Trade and Investment Framework Agreement (TIFA).
“The exact arrival time will be announced by the United States,” he said.
Yuan said among the issues up for discussion will include a bilateral investment agreement, technical trade barriers, trade facilitation, e-commerce, intellectual property rights protection and bilateral cooperation.
Chimei Innolux plans bond sale
The nation’s No. 1 LCD panel maker, Chimei Innolux Corp (奇美電子), is scheduled to hold a special shareholder’s meeting on Nov. 14 to seek an approval for the sale of NT$12 billion corporate bonds, according to a company filing to the Taiwan Stock Exchange.
The company’s proposed name change would also be on the meeting agenda, the panel maker said after a board meeting yesterday. Innolux Display Corp (群創光電), the company’s previous name prior to its merging with Chimei Optoelectronics Corp in 2010, is one of options, a company official said.
On Tuesday, Chimei said it has raised NT$5.4 billion by selling 600 million common shares to existing shareholders, including Chimei Corp (奇美實業), Hon Hai Group (鴻海集團) and Hon Hai Group’s chairman Terry Gou (郭台銘).
EU urged to boost trade ties
The EU needs to strengthen economic ties with its key trade partners, including Taiwan, if it wants to emerge from its financial crisis, Philippe de Buck, director-general of Business Europe, said at the International Business Forum in Taipei on Tuesday.
He said that although open markets are a key driver for investment and job creation, EU companies still face many barriers in accessing foreign markets.
According to Business Europe, Taiwan is the EU’s fifth-largest export market in East Asia and the 14th overall. It is also the EU’s fourth-largest source of imports in East Asia.
NT dollar dips
The New Taiwan dollar lost ground against the US dollar yesterday, declining NT$0.046 to close at NT$29.497 after the central bank extended efforts to boost the greenback, dealers said.