Taiwanese companies have continued to wire money to China and other overseas markets this year, while repatriating a record-high proportion of investment income from China for the first nine months of the year, according to a report issued by the Financial Supervisory Commission (FSC) yesterday.
A total of 1,132 listed companies had invested in China as of the end of last quarter, accounting for 77.32 percent of all 1,464 firms that trade their shares on either the Taiwan Stock Exchange (TWSE) or the GRETAI Securities Market (GTSM), the report’s data showed.
The TWSE is the primary stock market in Taiwan, while the GTSM is the nation’s over-the-counter market.
Compared with the end of last year, China-bound funds have increased by a total of NT$161.1 billion (US$5.15 billion) to NT$1.875 trillion as of the end of September, driven by investment in the computer and peripheral equipment manufacturing sector, as well as the electronics components industry, the report said.
Taiwanese firms listed on local bourses recorded a combined NT$121.7 billion in investment income during the July-to-September period, rising NT$35 billion, or 40.37 percent, from the same period last year, on improvements in defect-free rates and margins, the commission said in the report.
These firms had repatriated NT$198.1 billion at the end of September, making up 10.56 percent of their original investments, which marks the highest proportion in history for the first nine months, the commission said.
Securities and Futures Bureau Deputy Director-General Chang Li-chen (張麗真) said that the strong profitability may be the major factor leading Taiwanese companies to repatriate more money.
Overseas investments, not including investments in China, totaled NT$493.7 billion as of the end of September, led by investment in semiconductor and electronics businesses, the commission’s statistics showed.
Overseas investments generated NT$246.9 billion in investment profit for the third quarter, an increase of NT$7.3 billion from a year ago, the commission added.
Taiwan’s foreign exchange reserves fell below the US$600 billion mark at the end of last month, with the central bank reporting a total of US$596.89 billion — a decline of US$8.6 billion from February — ending a three-month streak of increases. The central bank attributed the drop to a combination of factors such as outflows by foreign institutional investors, currency fluctuations and its own market interventions. “The large-scale outflows disrupted the balance of supply and demand in the foreign exchange market, prompting the central bank to intervene repeatedly by selling US dollars to stabilize the local currency,” Department of Foreign
Intel Corp is joining Elon Musk’s long-shot effort to develop semiconductors for Tesla Inc, Space Exploration Technologies Corp and xAI, marking a surprising twist in the chipmaker’s comeback bid. Intel would help the Terafab project “refactor” the technology in a chip factory, the company said on Tuesday in a post on X, Musk’s social media platform. That is a stage in the development process that typically helps make chips more powerful or reliable. The chipmaker’s shares jumped 4.2 percent to US$52.91 in New York trading on Tuesday. The Terafab project is a grand plan by Musk to eventually manufacture his own chips for
Taiwan Power Co (Taipower, 台電) yesterday said it plans to resume operations at two coal-fired power generators for three months to boost security of electricity supply as liquefied natural gas (LNG) supply risks are running high due to the Middle East conflict. The two coal-fired power generators are at Mailiao Power Plant in Yunlin County’s Mailiao Township (麥寮). The plant, operated by Formosa Plastics Group (台塑集團), supplied electricity to Taipower’s power grid until the end of last year. Taipower’s decision came about one month after Minister of Economic Affairs Kung Ming-hsin (龔明鑫) on March 10 said that the nation had no imminent
Some robotaxi passengers were left stranded in the middle of fast-moving traffic in a major Chinese city after their driverless vehicles stopped running, according to police and media reports on Wednesday. A preliminary investigation indicates more than 100 robotaxis came to a halt because of a “system malfunction,” police in the city of Wuhan said in a statement, without elaborating. No injuries were reported. One passenger told Chinese media that their robotaxi stopped after turning a corner. An instruction on a screen read: “Driving system malfunction. Staff are expected to arrive in 5 minutes.” After no one showed up, the passenger pushed
RSS