Cathay Life Insurance Co (國泰人壽) yesterday said it broke ground on its third logistics facility in Taichung’s Wuri District (烏日), which is part of the life insurer’s NT$30 billion (US$901.7 million) bid to tap the logistics business.
In 2014, Lin Yuan Group (霖園集團) purchased a 51 percent stake in Ally Logistic Property (永聯物流) via an investment subsidiary, aiming to introduce advanced logistic solutions to Taiwan. Cathay Financial Holding Co (國泰金控) is the group’s flagship company.
Ally Logistic Property plans to invest NT$30 billion to build a warehouse and storage facilities on land secured through public sector contracts by Cathay Life throughout the nation.
“Most corrugated metal-roofed warehouses in Taichung do not conform to fire safety and efficiency standards. Through the project, we hope to fill the demand for advanced logistics services that can be tailored for the needs of every client,” Ally Logistic Property chairman Charlie Chang (張建泰) said.
In addition, the conglomerate’s foray into logistics is to provide it with data and a testing ground for Cathay United Bank’s (國泰世華銀行) new logistics financing service, which is to allow companies to use warehoused inventory as collateral for loans.
The NT$3.1 billion logistics center adjacent to the Taiwan High Speed Rail Taichung Station in Wuri spans 36,355m2 and offers convenient access to major cities along the west coast within an hour’s travel time, the conglomerate said.
Cathay Life has secured the rights to use the land for 30 years, it said.
The facility is expected to provide logistical support to several of Taichung’s industries, including precision machinery, bicycles, medical technology, biotechnology and aerospace engineering, the conglomerate said, adding that it is expected to be completed in the third quarter of next year.
The company’s first logistics center in New Taipei City’s Ruifang District (瑞芳) began operations in 2014 and facilitates the sale of luxury goods and home appliances by cross-border e-commerce vendors. Its second facility in Taoyuan’s Dayuan District (大園) provides logistical support for sales of consumer goods and industrial materials.
SUPPLY CHAIN RESHUFFLE: The chipmaker was ‘cautious’ in not making commitments too early in building production in the US, citing ‘geopolitical factors,’ Nikkei Asia said Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) is considering building an advanced IC packaging plant in the US following a massive investment to set up a wafer fab in Arizona, Nikkei Asia reported. TSMC was considering the plant in response to “Washington’s desire to bring more of the tech supply chain onto home turf,” the report said. TSMC increasingly faces the need to expand in the US, which accounts for about 62 percent of its total sales, Nikkei Asia said, citing three sources who declined to be named. The potential US plant would be equipped with the latest 3D stacking technologies to arrange chips
As much as the US pines for the good old days of global semiconductor supremacy, Japan feels its loss of glory even more. Once a dominant name in electronic components, the nation has been overtaken by Taiwan, South Korea, and, more recently, China. Yet Tokyo might have a viable plan to revitalize its domestic sector. “Unlike the purely domestic, independent way it was done in the past, I think we need to cooperate with overseas counterparts,” Akira Amari, a former economy minister and senior member of the ruling Liberal Democratic Party, told Bloomberg News’ Isabel Reynolds and Emi Nobuhiro this week. That is
Apple Inc has hired Ulrich Kranz, a former senior executive at BMW AG’s electric vehicle (EV) division, to help lead its own vehicle efforts, people familiar with the situation said. The tech giant hired Kranz in recent weeks, about a month after he stepped down as CEO of Canoo Inc, a developer of self-driving EVs. Before cofounding Canoo, Kranz was senior vice president of the group that developed the i3 and i8 cars at BMW, where he worked for 30 years. Kranz is one of Apple’s most significant automotive hires, a clear sign that the iPhone maker is determined to build a
MARKET BOOST: Elon Musk said Tesla would resume bitcoin transactions once there is ‘reasonable’ clean energy usage by miners and denied selling a big part of his holdings Bitcoin yesterday hit a two-week peak just shy of US$40,000, after another weekend reacting to tweets from Tesla Inc chief executive Elon Musk, who fended off criticism over his market influence and said Tesla sold bitcoin, but might resume transactions using it. Bitcoin has gyrated to Musk’s views for months since Tesla announced a US$1.5 billion bitcoin purchase in February and said it would take the cryptocurrency in payment. He later said the electric vehicle maker would not accept bitcoin due to concerns over how mining the currency requires high energy use and contributes to climate change. “When there’s confirmation of reasonable