Taiwan Business Quick Take

Staff writer, with CNA

Wed, Oct 18, 2017 - Page 11


Ministry wary about FTC fine

The Ministry of Economic Affairs yesterday expressed concern that the Fair Trade Commission’s (FTC) NT$23.4 billion (US$774.7 million) fine against Qualcomm Inc will undermine the overall atmosphere of foreign direct investment in the nation in the long term. Qualcomm has been an important partner to the nation’s information and communications technology and semiconductor sectors, the ministry said in a statement, adding that the firm’s orders placed with Taiwanese chip foundry and packaging and testing companies totaled NT$155.7 billion last year. The commission’s ruling failed to consider Qualcomm’s contribution and potential collaboration with local firms, the ministry said. The statement marked a shift in the ministry’s stance, as after the commission on Wednesday last week fined Qualcomm for unfairly manipulating prices and hurting competition, Minister of Economic Affairs Shen Jong-chin (沈榮津) said the ministry respected the decision.


Shares rise on merger news

Shares of the nation’s three major solar cell makers soared yesterday morning, a day after they announced the largest-ever merger in Taiwan’s solar energy sector, dealers said. How far the upturn will go will depend on whether the firms can navigate fierce price competition from their Chinese concurrents and still squeeze out profits, the dealers added. As of 11:59am, shares of Neo Solar Power Corp (新日光能源), the lead company in the deal, had gained 10 percent — the maximum daily increase allowed by the Taiwan Stock Exchange — to NT$17.25, with 75.39 million shares changing hands. Gintech Energy Corp (昱晶能源) and Solartech Energy Corp (昇陽光電) had also gained 10 percent to NT$19.35 and NT$14.85 respectively.


Hui Lau Shan launches trial

Hong Kong dessert brand Hui Lau Shan (許留山) yesterday announced that it would enter the Taiwanese market via a joint venture between its owner, Hong Kong-based Royal Dynasty International Holding Co (煌天國際), and Taiwan’s Mr Onion Corp (天蔥國際). The two firms said they plan to open a total of five Hui Lau Shan stores in Taiwan. The first store, on Taipei’s Nanjing E Road, began trial operations on Friday last week, the companies said, adding that they plan to open two more stores in Taipei and Taoyuan next month. They provided an optimistic projection of each store generating NT$3 million in revenue per month, citing a warm response by local consumers at the first store over the weekend.


Malaysia introduces tariffs

Malaysia has imposed anti-dumping tariffs on steel companies from four nations, including Taiwan, after accusing them of selling their cold-rolled stainless steel products at unfairly low prices, the Ministry of Economic Affairs said in a statement on Monday. The Malaysian Ministry of International Trade and Industry issued a preliminary ruling on Wednesday last week that accused steel firms from Taiwan, China, South Korea and Thailand of unfair trade practices, the statement said. Taiwanese companies are subject to provisional anti-dumping duties ranging from 13.77 percent to 52.17 percent from Thursday last week to Feb. 8 next year, the statement said.