Land Bank signs MOU
The Land Bank of Taiwan (土地銀行) has signed a memorandum of understanding (MOU) with Shanghai-based Bank of Communications (交通銀行) to forge ties with the Chinese bank and lay a foundation for its expansion across the Taiwan Strait.
Under the MOU, which was signed on Tuesday, the two banks are expected to explore a wide range of business cooperation, including in the areas of corporate financing, trade financing and interbank lending.
The Taiwanese bank, which has opened a branch in Shanghai, is now preparing itself for the launch of yuan-denominated services at its branch in China.
In March 2010, the Land Bank launched yuan services at its Hong Kong branch, and it has offered similar services through its offshore banking unit since November last year.
Green Energy revenue plunges
Green Energy Technology Inc (綠能科技), the nation’s biggest solar wafer maker, said on Tuesday that revenue sank 42 percent to NT$381 million (US$13 million) last month from NT$662 million in August.
The company attributed the monthly decline in sales to its decision to take no orders at low prices.
As a result, the company’s factory utilization rate fell to 50 percent last month from the previous month, according to a company statement.
In the third quarter, Green Energy’s revenue plunged 31 percent to NT$2.02 billion from the NT$2.92 billion it reported in the second quarter, which the company said was mainly because of falling prices.
Export growth forecast may dip
Yuanta-Polaris Research Institute (元大寶華研究院) said on Tuesday that the nation’s export momentum may carry over to this month from last month but the growth will be smaller, despite the fact that companies are entering their peak purchasing season.
The Taipei-based think tank said the economies in China and the US have been improving gradually since the US launched a third round of quantitative easing and Europe implemented the Outright Monetary Transactions program, which will help Taiwan’s exports this month.
The institute’s remarks came after the Ministry of Finance said on Monday that the exports hit a 14-month high of US$27.17 billion last month, which represented a 10 percent monthly growth and an annual increase of 10.4 percent.
The ministry’s figures showed total exports during the first nine months were still down 3.9 percent year-on-year at US$223.56 billion.
The institute forecast a slight quarterly increase in fourth quarter exports.
Procurement meetings go well
A series of procurement meetings held both in Taiwan and online on Tuesday, including meetings targeting foreign government agencies and Muslim markets, resulted in substantial levels of new business, according to the Taiwan External Trade Development Council (TAITRA, 外貿協會).
The nearly 1,000 procurement meetings held between overseas buyers and Taiwanese vendors generated US$350 million in business, TAITRA said in a statement.
At least 500 buyers, including Bukhamseen Holding Group of Kuwait, Marathon Electric India Private of India and Pensonic Industries of Malaysia, are expected to come to Taiwan as part of the campaign, TAITRA said.
China offers shipping help
Beijing will offer tax, financing and insurance support to the People’s Republic of China’s private shipping companies to help them compete in overseas markets as carriers contend with losses and a plunge in freight rates.
Government assistance will also include increased investments and providing help to access foreign exchange, the Transport Ministry said in a statement on its Web site.
No further details were provided.
Private operators are also encouraged to form alliances and cooperate with state-owned companies, the ministry said.
The authorities in Beijing want Chinese shipping companies to “forge international brands,” “become big and strong” and “have international competitiveness,” the ministry said in the statement.