INDONESIA
Sukhoi jets on order
Indonesia is to buy 11 Sukhoi Su-35 fighter jets worth US$1.14 billion from Russia in exchange for cash and Indonesian commodities, two Cabinet ministers said yesterday. Indonesia has pledged to ship up to US$570 million worth of commodities in addition to cash to pay for the jets, which are expected to be delivered in stages starting in two years. Meanwhile, Southeast Asia’s largest economy is trying to promote its palm oil products amid threats of a cut in consumption by EU countries. It is also trying to modernize its aging air force after a string of military aviation accidents. Indonesia, which had a US$411 million trade surplus with Russia last year, wants to expand bilateral cooperation in tourism, education, energy, technology and aviation among others.
AUTOMAKERS
Ford launches scrap plan
Ford Motor Co yesterday became the latest automaker to launch a car scrappage scheme in the UK, joining the likes of BMW AG and Mercedes-Benz, after months of procrastination from the government over whether to begin a national program. The US automaker is offering customers a £2,000 (US$2,565) discount off a range of Ford models when they trade in their vehicles registered until the end of 2009. BMW, Mercedes-Benz and Vauxhall Motors have all launched similar schemes in recent weeks to incentivize motorists to reduce emissions by replacing their gas-guzzling models with “greener” cars. The plans come after the UK last month once again delayed a decision over whether to introduce a nationwide or targeted vehicle scrappage scheme, with a consultation due to take place later this year, despite worries over emissions levels.
GERMANY
Economic growth stable
The growth outlook for the economy remains stable despite uncertainties linked to an emissions scandal, the ZEW institute said yesterday after publishing an index which showed investor morale deteriorated for the third consecutive month. The ZEW institute’s closely watched barometer fell to 10 points this month from 17.5 last month, well short of the 15 points predicted by analysts surveyed by data company Factset. “The significant decrease of the ZEW economic sentiment indicator reflects the high degree of nervousness over the future path of growth in Germany,” ZEW president Achim Wambach said. Both weaker-than-expected exports and the emissions scandal engulfing the German automobile sector in particular contributed to the drop, he said, adding: “Overall, the economic outlook still remains relatively stable at a fairly high level.”
PHARMACEUTICALS
J&J to pay in cancer suit
A California jury on Monday ordered Johnson & Johnson (J&J) to pay US$417 million to a woman who claimed she developed ovarian cancer after using the company’s talc-based products like Johnson’s Baby Powder for feminine hygiene. The Los Angeles Superior Court jury’s verdict in favor of California resident Eva Echeverria was the largest yet in lawsuits alleging J&J failed to adequately warn consumers about the cancer risks of its talc-based products. The verdict included US$70 million in compensatory damages and US$347 million in punitive damages. It was a major setback for J&J, which faces 4,800 similar claims nationally and has been hit with more than US$300 million in verdicts by juries in Missouri. The trial follows five prior ones in Missouri state court, where many lawsuits are pending.
Stephen Garrett, a 27-year-old graduate student, always thought he would study in China, but first the country’s restrictive COVID-19 policies made it nearly impossible and now he has other concerns. The cost is one deterrent, but Garrett is more worried about restrictions on academic freedom and the personal risk of being stranded in China. He is not alone. Only about 700 American students are studying at Chinese universities, down from a peak of nearly 25,000 a decade ago, while there are nearly 300,000 Chinese students at US schools. Some young Americans are discouraged from investing their time in China by what they see
MAJOR DROP: CEO Tim Cook, who is visiting Hanoi, pledged the firm was committed to Vietnam after its smartphone shipments declined 9.6% annually in the first quarter Apple Inc yesterday said it would increase spending on suppliers in Vietnam, a key production hub, as CEO Tim Cook arrived in the country for a two-day visit. The iPhone maker announced the news in a statement on its Web site, but gave no details of how much it would spend or where the money would go. Cook is expected to meet programmers, content creators and students during his visit, online newspaper VnExpress reported. The visit comes as US President Joe Biden’s administration seeks to ramp up Vietnam’s role in the global tech supply chain to reduce the US’ dependence on China. Images on
New apartments in Taiwan’s major cities are getting smaller, while old apartments are increasingly occupied by older people, many of whom live alone, government data showed. The phenomenon has to do with sharpening unaffordable property prices and an aging population, property brokers said. Apartments with one bedroom that are two years old or older have gained a noticeable presence in the nation’s six special municipalities as well as Hsinchu county and city in the past five years, Evertrust Rehouse Co (永慶房產集團) found, citing data from the government’s real-price transaction platform. In Taipei, apartments with one bedroom accounted for 19 percent of deals last
US CONSCULTANT: The US Department of Commerce’s Ursula Burns is a rarely seen US government consultant to be put forward to sit on the board, nominated as an independent director Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), the world’s largest contract chipmaker, yesterday nominated 10 candidates for its new board of directors, including Ursula Burns from the US Department of Commerce. It is rare that TSMC has nominated a US government consultant to sit on its board. Burns was nominated as one of seven independent directors. She is vice chair of the department’s Advisory Council on Supply Chain Competitiveness. Burns is to stand for election at TSMC’s annual shareholders’ meeting on June 4 along with the rest of the candidates. TSMC chairman Mark Liu (劉德音) was not on the list after in December last