■MINING
Bluescope urges court action
Australia’s Bluescope Steel has urged the Federal Court to throw out claims it misled a Hong Kong firm over the purchase of a mine, calling the case an abuse of legal process, a report said yesterday. Bluescope denies deceiving Cheung Kong Infrastructure Holdings (長江基建集團), controlled by tycoon Li Ka-shing (李嘉誠), over the sale of an iron sands mine in New Zealand. Bluescope and its adviser Merrill Lynch are accused of trying to sell the mine while knowing its top customer — a rival bidder — would stop buying the product if it was sold to a third party, the Sydney Morning Herald said. Cheung Kong is seeking damages from Bluescope and the investment bank that could include the mine’s A$190 million (US$160 million) purchase price, said the report, citing court documents. Bluescope admits Chinese state firm Chengde Iron and Steel (成都鋼鐵) had threatened to stop buying the iron sands, but says it took the statement as a negotiating tactic.
■CHINA
Current account revised
Beijing said yesterday it was revising upward the size of its current account surplus for the first quarter of this year, after discovering that a year-on-year fall was smaller than previously announced. The current account surplus — the broadest measure of trade with the world — reached US$53.6 billion in the first three months, the State Administration of Foreign Exchange said on its Web site. That was US$12.7 billion more than the figure published in May, meaning the fall from the same period last year narrowed to 32 percent from 48 percent announced previously. No explanation was offered for the change. Last year, China’s current account surplus dropped for the first time in eight years — by 35 percent year-on-year to US$284.1 billion — as the global crisis hit exports. Net inflow of direct investment into China totaled US$15.5 billion in the first quarter of this year, compared with US$17.5 billion announced in May.
■RETAIL
Fast Retailing Co plummets
Fast Retailing Co, Japan’s largest clothing chain, declined to the lowest in about three weeks in Tokyo trading after domestic sales at its Uniqlo stores fell and Nomura Securities Co cut its rating. The stock fell 1.8 percent to close at ¥13,190 (US$158), the lowest since June 10 and the third-worst performer on the Nikkei 225 Stock Average, which gained 0.7 percent yesterday. Fast Retailing on July 2 posted a decrease in sales last month, its fourth drop in monthly revenue this year, as promotions centered on jogging and other sports failed to attract more customers. “The company’s efficiency in marketing is falling, which may worsen its profit structure,” Masafumi Shoda, an analyst at Nomura, said in a report then, assigning a “neutral” rating from “buy.” “Fast Retailing is losing its sales momentum,” as promotions linked to sports failed.
■BANKING
Lloyds to sell stake to Coller
Lloyds Banking Group has agreed to sell a controlling stake in its Bank of Scotland Integrated Finance business. Lloyds said yesterday that Coller Capital, a private equity company, was paying £332 million (US$504 million) for a 70 percent stake in the unit. Lloyds will remain as a minority partner with a 30 percent stake. Lloyds, which was bailed out by the British government during the financial crisis, said it had disposed of £750 million in assets.
RETHINK? The defense ministry and Navy Command Headquarters could take over the indigenous submarine project and change its production timeline, a source said Admiral Huang Shu-kuang’s (黃曙光) resignation as head of the Indigenous Submarine Program and as a member of the National Security Council could affect the production of submarines, a source said yesterday. Huang in a statement last night said he had decided to resign due to national security concerns while expressing the hope that it would put a stop to political wrangling that only undermines the advancement of the nation’s defense capabilities. Taiwan People’s Party Legislator Vivian Huang (黃珊珊) yesterday said that the admiral, her older brother, felt it was time for him to step down and that he had completed what he
Taiwan has experienced its most significant improvement in the QS World University Rankings by Subject, data provided on Sunday by international higher education analyst Quacquarelli Symonds (QS) showed. Compared with last year’s edition of the rankings, which measure academic excellence and influence, Taiwanese universities made great improvements in the H Index metric, which evaluates research productivity and its impact, with a notable 30 percent increase overall, QS said. Taiwanese universities also made notable progress in the Citations per Paper metric, which measures the impact of research, achieving a 13 percent increase. Taiwanese universities gained 10 percent in Academic Reputation, but declined 18 percent
CHINA REACTS: The patrol and reconnaissance plane ‘transited the Taiwan Strait in international airspace,’ the 7th Fleet said, while Taipei said it saw nothing unusual The US 7th Fleet yesterday said that a US Navy P-8A Poseidon flew through the Taiwan Strait, a day after US and Chinese defense heads held their first talks since November 2022 in an effort to reduce regional tensions. The patrol and reconnaissance plane “transited the Taiwan Strait in international airspace,” the 7th Fleet said in a news release. “By operating within the Taiwan Strait in accordance with international law, the United States upholds the navigational rights and freedoms of all nations.” In a separate statement, the Ministry of National Defense said that it monitored nearby waters and airspace as the aircraft
UNDER DISCUSSION: The combatant command would integrate fast attack boat and anti-ship missile groups to defend waters closest to the coastline, a source said The military could establish a new combatant command as early as 2026, which would be tasked with defending Taiwan’s territorial waters 24 nautical miles (44.4km) from the nation’s coastline, a source familiar with the matter said yesterday. The new command, which would fall under the Naval Command Headquarters, would be led by a vice admiral and integrate existing fast attack boat and anti-ship missile groups, along with the Naval Maritime Surveillance and Reconnaissance Command, said the source, who asked to remain anonymous. It could be launched by 2026, but details are being discussed and no final timetable has been announced, the source