A program that would allow Taiwan to invest yuan in China is unlikely to be disentangled from a trade deal and the issue would be left out of talks set for later this month, the Financial Supervisory Commission said yesterday.
Separating the two “looks unlikely, so we’re not going to talk about it,” commission Chairman William Tseng (曾銘宗) said by telephone.
China allowed Taiwanese investors to repatriate yuan to the nation’s onshore markets as part of a broader services trade agreement signed in June last year.
Tseng also said the Renminbi Qualified Foreign Institutional Investor (RQFII) program would not be on the agenda of a Dec. 24 to Dec. 27 cross-strait meeting of financial regulators in Beijing.
The commission had planned to renegotiate the RQFII quota with Chinese regulators after the cross-strait service trade agreement was stalled by student protests that shut down the legislature for 24 days in March. The demonstrators said the Chinese Nationalist Party (KMT) circumvented a line-by-line review of the pact’s provisions.
Taiwan’s potential RQFII quota — which Chinese officials said might be 100 billion yuan (US$16.3 billion), the largest outside Hong Kong — would give its investors more options to use their 301 billion yuan of Chinese-currency savings.
China has offered a total of 770 billion yuan in RQFII quotas globally, including 50 billion yuan allocated to Australia last month.
Legislative Speaker Wang Jin-pyng (王金平) pledged in April to halt the debate on the services deal until new oversight rules are passed, prompting the demonstrators to end their occupation. The new law is still under review.
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) is expected to post a 25 percent year-on-year increase in sales in the first quarter of this year to US$12.91 billion, up from US$10.31 billion a year earlier, as its production is at full capacity, market advisory firm TrendForce Corp said in a note last week. The increase would help TSMC cement its leadership in the industry by taking a 56 percent market share in the global pure wafer foundry business, TrendForce said. Its forecast was in line with TSMC’s estimate in January, which pointed to a range of US$12.7 billion to US$13 billion for the
RECRUITMENT: The latest hiring drive — for fabs in Hsinchu, Taichung and Tainan — aims to catch up with growth in the company and new technology development Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday unveiled a plan to hire 9,000 people this year in the latest round of recruitment as the chipmaker races to boost capacity to alleviate a chip crunch and safeguard its technology advantage. TSMC’s talent recruitment this year might be the most ambitious in its history, while last year’s drive of 8,000 added recruits doubled the 4,000 new hires that it averaged over the preceding few years. The latest drive — for fabs in Hsinchu, Taichung and Tainan — aims to catch up with growth in the company and new technology development, the Hsinchu-based chipmaker said. The
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GlobalWafers Co (環球晶圓), the world’s No. 3 supplier of silicon wafers, yesterday said that it has acquired a 70.27 percent stake in German competitor Siltronic AG, in a public bid that ended four days ago. With the acquisition of a controlling stake in Siltronic, the Taiwanese company is to become the world’s second-largest silicon wafer supplier. Last month, GlobalWafers secured more than 50 percent of Siltronic shares with an offer of 4.35 billion euros (US$5.2 billion) in a public tender that was due to end on Feb. 10, but the acceptance period was extended until Monday. In a statement released yesterday, the Hsinchu-based