■FINANCE
Thain resigns from BOA
John Thain, the former chief executive of the loss-ridden Merrill Lynch, which was taken over by Bank of America, resigned on Thursday from the bank, in which he has been head of global banking, securities and wealth management, an official said. Thain tendered his resignation to Bank of America chief executive Kenneth Lewis. “I can confirm that Ken Lewis flew to New York today to talk to John Thain and it was mutually agreed that his situation was not working out and he would resign,” bank spokesman Robert Stickler said in an e-mail. Thain was given the new post in Bank of America after it acquired Merrill Lynch on Jan. 1 amid financial turmoil that wreaked havoc on American financial institutions.
■TECHNOLOGY
Qimonda files for insolvency
Struggling chipmaker Qimonda has filed for insolvency at a court in Munich, a court spokeswoman said yesterday. The Infineon subsidiary received a US$422 million cash injection last month in a bid to keep it afloat. In addition to its main factory at Dresden in the east of Germany, Qimonda has a plant near Porto in Portugal. Qimonda has suffered from a dramatic fall in prices for computer chips. In November, the company warned it might face insolvency if support was not forthcoming.
■AUTOMOTIVE
Toyota mulls 1,000 job cuts
Japanese carmaker Toyota Motor Corp is considering shedding more than 1,000 regular workers in North America and in Britain, a report said yesterday. Toyota is examining how it could make the cuts at its seven plants in North America and one plant in Britain, and is aiming to finalize the plan by the end of the month, the Japanese business daily Nikkei reported, citing an unnamed senior Toyota official. The possible job cuts would be the first time Toyota has axed regular workers since 1950, when it laid off about 1,600 employees in Japan, the report said.
■STEEL
Nippon to cut crude output
Asia’s largest steelmaker Nippon Steel will cut crude steel output by 15 percent during the current financial year to March from a year earlier, a report said yesterday. The output reduction of 5 million tonnes would be achieved by temporarily suspending blast furnaces at plants in Japan, the Japanese daily Yomiuri Shimbun reported, citing unnamed sources. With the cut, the Japanese firm, the world’s largest steelmaker after behemoth Arcelor Mittal, is aiming to adjust its operation to match output reductions in a wide range of industries including the auto industry, the report said.
■TIRES
Bridgestone sheds 800 jobs
Japanese tiremaker Bridgestone Corp said yesterday that it was shedding about 800 jobs in the US to cope with weaker demand. Bridgestone said it would stop making tires for passenger cars and light trucks at its Tennessee factory with the loss of 543 jobs. It will also reduce production of tires for bigger trucks at the same plant, resulting in a further 259 layoffs. Bridgestone said it hoped to re-hire workers when the economy picks up, perhaps as early as the fourth quarter of this year. The company will continue to produce tires for larger trucks and buses at the plant with more than 700 workers.
Taiwan is projected to lose a working-age population of about 6.67 million people in two waves of retirement in the coming years, as the nation confronts accelerating demographic decline and a shortage of younger workers to take their place, the Ministry of the Interior said. Taiwan experienced its largest baby boom between 1958 and 1966, when the population grew by 3.78 million, followed by a second surge of 2.89 million between 1976 and 1982, ministry data showed. In 2023, the first of those baby boom generations — those born in the late 1950s and early 1960s — began to enter retirement, triggering
ECONOMIC BOOST: Should the more than 23 million people eligible for the NT$10,000 handouts spend them the same way as in 2023, GDP could rise 0.5 percent, an official said Universal cash handouts of NT$10,000 (US$330) are to be disbursed late next month at the earliest — including to permanent residents and foreign residents married to Taiwanese — pending legislative approval, the Ministry of Finance said yesterday. The Executive Yuan yesterday approved the Special Act for Strengthening Economic, Social and National Security Resilience in Response to International Circumstances (因應國際情勢強化經濟社會及民生國安韌性特別條例). The NT$550 billion special budget includes NT$236 billion for the cash handouts, plus an additional NT$20 billion set aside as reserve funds, expected to be used to support industries. Handouts might begin one month after the bill is promulgated and would be completed within
NO CHANGE: The TRA makes clear that the US does not consider the status of Taiwan to have been determined by WWII-era documents, a former AIT deputy director said The American Institute in Taiwan’s (AIT) comments that World War-II era documents do not determine Taiwan’s political status accurately conveyed the US’ stance, the US Department of State said. An AIT spokesperson on Saturday said that a Chinese official mischaracterized World War II-era documents as stating that Taiwan was ceded to the China. The remarks from the US’ de facto embassy in Taiwan drew criticism from the Ma Ying-jeou Foundation, whose director said the comments put Taiwan in danger. The Chinese-language United Daily News yesterday reported that a US State Department spokesperson confirmed the AIT’s position. They added that the US would continue to
One of two tropical depressions that formed off Taiwan yesterday morning could turn into a moderate typhoon by the weekend, the Central Weather Administration (CWA) said yesterday. Tropical Depression No. 21 formed at 8am about 1,850km off the southeast coast, CWA forecaster Lee Meng-hsuan (李孟軒) said. The weather system is expected to move northwest as it builds momentum, possibly intensifying this weekend into a typhoon, which would be called Mitag, Lee said. The radius of the storm is expected to reach almost 200km, she said. It is forecast to approach the southeast of Taiwan on Monday next week and pass through the Bashi Channel
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