Thu, Sep 14, 2017 - Page 10 News List

World Business Quick Take

Agencies

UNITED STATES

Foxconn subsidy voted on

The Wisconsin State Senate on Tuesday approved nearly US$3 billion in cash payments to Foxconn Technology Group, while also giving the Taiwanese company a slightly less expedited path to the state’s Supreme Court for certain legal challenges related to its planned massive electronics manufacturing plant. Foxconn plans to invest up to US$10 billion to build a flat-screen production factory that would initially employ 3,000,which the company has said could grow to 13,000. The proposed subsidy — which heads to the state Assembly for a final vote today — would be the largest ever from a US state to a foreign company and 10 times bigger than anything Wisconsin has extended to a private business. The Republican-controlled Senate discounted Democrats’ concerns that there were not enough protections for taxpayers under the unprecedented incentive package. It would take 25 years for taxpayers to see a return on the investment, the nonpartisan Legislative Fiscal Bureau said.

AIRLINES

Malaysia inks Boeing order

Malaysia Airlines Bhd agreed to buy Boeing Co’s 787-9 Dreamliners and 737 Max jets as the nation’s flag carrier looks to boost services on its busiest routes. The airline signed a memorandum of understanding for eight of the carbon-composite Dreamliners and eight 737 Max 8s, Boeing said in an e-mailed statement on Tuesday. The agreement marks a victory for Boeing in a competition that had been viewed as favoring rival Airbus SE. Malaysia Airlines might double an order of 25 of the single-aisle 737 Max 10 over the next five years, Malaysian Prime Minister Najib Razak Najib said on Tuesday at a meeting with US President Donald Trump at the White House before the announcement.

PROPERTY

WeWork sues UrWork in US

WeWork Cos is escalating a legal fight against UrWork (優客工廠) with a US lawsuit, accusing the rapidly expanding Chinese rival of infringing on its trademarks. The US start-up, which has been valued at about US$20 billion, on Tuesday filed a lawsuit against UrWork in New York, saying it copied parts of its name and logo. That follows a separate legal action taken against the Chinese company in London, with WeWork accusing it of “passing off,” which can take place when one business misrepresents their services as being the product of another. Shared offices are gaining in popularity as bootstrapped start-ups seek to lower costs and collaborate with peers.

PHILIPPINES

Infrastructure plan passed

An interagency panel chaired by President Rodrigo Duterte has approved four major infrastructure projects worth 386.3 billion pesos (US$7.58 billion), including bridges, roads and the country’s first metro system. The Philippines, one of the world’s fastest growing economies, is overhauling its aging infrastructure to boost its competitiveness, create jobs and attract foreign firms hesitant about power costs, logistics headaches and supply chain challenges. The approval and completion of these projects “will pave the way for us to achieve our mid-term and long-term goals” as a nation, Socioeconomic Planning Secretary Ernesto Pernia said. The latest bundle brings the total number of approved projects to 35 worth 1.2 trillion pesos since Duterte took office in July last year. The biggest plan approved on Tuesday was the 355.6 billion pesos Metro Manila Subway Project, the first of its kind in the Philippines, and seen as an urgently needed solution to the sprawling capital’s notorious gridlock.

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