TRADE
US to ease limits on Huawei
The US will soon issue licenses allowing some US firms to supply non-sensitive goods to China’s Huawei Technologies Co (華為), the New York Times said on Wednesday, as high-level officials from the two countries yesterday met to resume trade talks. The licensing decisions would give much needed clarity to US companies, which have been looking for guidance since US President Donald Trump promised in late June to provide some relief to firms that did business with Huawei.
TIRES
Michelin to shutter factory
Tire maker Michelin yesterday said it would close a French factory with 619 employees next year, as competition from cheaper Asian manufacturers knocks its profit margin. The company promised a “support plan” for affected employees, and said it would offer every one a chance to remain in the company in France. It would also seek out “a major public-private project” in a bid to relaunch the failing site. Michelin said 74 people who work at a factory in nearby Maine-et-Loiret, manufacturing rubber for the site in La Roche-sur-Yon, would also be affected. CEO Florent Menegaux blamed “difficulties in the market for high-end heavy-duty tires both in Europe and abroad,” coupled with “increased competition.”
RETAIL
Japan cutting 7-Elevens
Seven & i Holdings Co, the largest convenience store operator in Japan, yesterday said it would close 1,000 unprofitable 7-Elevens and eliminate 3,000 jobs from its other units, as the Japanese retailer continues its structural reform and cuts back on 24-hour operations. The company said it would implement new policies for its franchisees, such as reducing monthly fees. Its 7-Eleven Japan business would take a ¥10 billion (US$93 million) charge due to the new incentives for the franchisees, CEO Ryuichi Isaka said in Tokyo while announcing the company’s second-quarter results.
GREECE
EU approves bad loan plan
The European Commission yesterday approved the government’s plan to reduce bad loans by up to 30 billion euros (US$33.04 billion) at the nation’s banks. Bankers close to the process last month said that they expected a green light from the EU executive to put in place the asset protection scheme that would help its banks offload the loans. The plan, known as Hercules Asset Protection Scheme, aims to bring down the amount of bad loans that are weighing on Greek banks, without distorting the market through government subsidies.
CHINA
Ma tops rich list again: poll
The nation’s richest businesspeople got richer this year, despite a tariff war with the US and an economic slowdown, a survey showed yesterday. The average net worth of the richest 1,800 people rose 10 percent from last year to US$1.4 billion, the Hurun Report said. Jack Ma (馬雲), who retired last month as chairman of e-commerce giant Alibaba Group Holding Ltd (阿里巴巴) , was No. 1 for a second year, with a net worth of US$39 billion. Ma Huateng (馬化騰), chairman of games and social media firm Tencent Holdings (騰訊), was second at US$37 billion, up 8 percent. The number of businesspeople on the list from the tech, pharma and food industries rose, while those from manufacturing declined. “Wealth is concentrating into the hands of those who are able to adapt to the digital economy,” Rupert Hoogewerf, the company’s founder and chief researcher, said in a statement.
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
Taiwan Transport and Storage Corp (TTS, 台灣通運倉儲) yesterday unveiled its first electric tractor unit — manufactured by Volvo Trucks — in a ceremony in Taipei, and said the unit would soon be used to transport cement produced by Taiwan Cement Corp (TCC, 台灣水泥). Both TTS and TCC belong to TCC International Holdings Ltd (台泥國際集團). With the electric tractor unit, the Taipei-based cement firm would become the first in Taiwan to use electric vehicles to transport construction materials. TTS chairman Koo Kung-yi (辜公怡), Volvo Trucks vice president of sales and marketing Johan Selven, TCC president Roman Cheng (程耀輝) and Taikoo Motors Group
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