Interest in Taiwan grows
A total of 66 companies yesterday expressed willingness to invest a total of NT$166 billion (US$5.3 billion) in Taiwan over the next three years at the Taiwan Business Alliance Conference in Taipei, the Ministry of Economic Affairs said. The potential investment, 6.4 percent more than the amount pledged last year, could create 15,458 jobs, the ministry said. It signed letters of intent with 20 of the companies for investments totaling NT$105 billion over the next three years. Investment Commission director-general Vivian Lien (連玉蘋) said the US had the most companies pledging investment, at 22, followed by Europe and Japan with 20 and 18 respectively. The government’s focus on five industries — “green” energy, an Asian Silicon Valley, biomedicine, smart machinery and defense and aeronautics — has attracted interest, Lien said, adding that 60 percent of the pledged investment was directed at those areas.
Vice minister to lead CSC
China Steel Corp (CSC, 中鋼), the nation’s biggest steelmaker, yesterday said that Vice Minister of Economic Affairs Shen Jong-chin (沈榮津) would assume the top position at the 45-year-old firm after former chairman Andrew Sung (宋志育) retired on Friday last week, according to a company filing with the Taiwan Stock Exchange. Shen is to take control during an interim period before a final candidate is tapped by the ministry. Shen is to retain his job at the ministry.
Taipei rises in travel ranking
Taipei ranked 15th out of 20 of the world’s most popular cities for tourists, while rising to the seventh most popular option in Asia, according to MasterCard Inc’s Global Destination Cities Index, Taipei’s best showing in the ranking. Foreign tourists on average spend US$1,306 during visits to Taipei, surpassing the US$1,154 spent in Tokyo and US$1,206 in Seoul, MasterCard said. In addition, the number of foreign visitors to Taiwan this year has grown by 500,000 year-on-year to 7.35 million, MasterCard said.
Tigerair to reassess routes
Tigerair Taiwan (台灣虎航), a budget airline that is a joint venture between Tiger Airways Singapore Pte Ltd and China Airlines (CAL, 中華航空), yesterday said that it would next year begin re-evaluating flights to Japan and Malaysia after sales failed to meet expectations. The budget carrier yesterday was the subject of scrutiny after netizens discovered that it had hiked its prices significantly, with some routes becoming more expensive than full-service airlines. Netizens said that the company is trying to deter travelers from buying tickets as it prepares to scale down operations.
TAIEX edges up 0.73 percent
The TAIEX yesterday closed up 0.73 percent, at 9,234.20, reflecting nearly 1 percent gains in the Dow Jones Industrial Average and the NASDAQ on Friday last week. Turnover totaled an anemic NT$54.76 billion during the session. Trading in old economy stocks was mixed. Formosa Plastics Corp (台塑企業) rose 0.51 percent to NT$78.20, despite a protest against Formosa Plastics Group’s (台塑集團) steel unit in Vietnam on Sunday by local fishermen over pollution they say has destroyed their livelihoods. Plastics stocks rose 0.25 percent, while food and papermaking each surged by more than 1 percent. Flat-panel makers AU Optronics Corp (友達光電) and Innolux Corp (群創) rose 5.65 percent and 2.83 percent to close at NT$12.15 and NT$10.90 respectively.
NOTABLE SHIFT: By 2030, 50% of all laptops would be assembled in Southeast Asia, while Taiwan would still mostly focus on research and development, a report said Global laptop and desktop computer supply chains are expected to shift significantly away from China in the next 10 years, a Market Intelligence & Consulting Institute (MIC, 產業情報研究所) report said. By 2030, only 40 percent of global laptop production would remain in China, said the report, which was released on Thursday. “The reshuffling of the global supply chain will be one of the most important trends in the next 10 years,” the institute said in the report. “In the long run, key component makers will follow laptop assemblers in moving out of China.” The Taipei-based institute predicted most key component makers
Merck Group Taiwan yesterday said that it plans to invest substantially on expanding its fab in Kaohsiung’s Lujhu District (路竹) to better serve its local customers, including Taiwan Semiconductor Manufacturing Co (TSMC, 台積電). The company said it plans to expand its production space by 50 percent in the next five years and its workforce by about 40 percent, Merck Group Taiwan managing director Dick Hsieh (謝志宏) told a media briefing in Taipei. Hsieh declined to disclose investment details, but said that the latest investment would exceed the total amount Merck has invested in Taiwan over the past few years. Those investments would be
Yageo Corp (國巨), the world’s third-largest supplier of multilayer ceramic capacitors, has formed a strategic alliance with Hon Hai Precision Industry Co (鴻海精密) to develop key electronic components for electric vehicles and digital healthcare, it said yesterday. The alliance is to help Yageo boost its revenue from high-end components for vehicles and industrial, medical and aerospace devices, as well as those used in 5G and Internet-of-Things devices, the company said. The companies signed the strategic alliance agreement at Yageo’s headquarters in New Taipei City’s Sindian District (新店). Their cooperation is to start this quarter, the companies said in a joint statement. “Through the cooperation
INVEST IN TAIWAN: A metal components casting firm and the world’s largest maker of aluminum bicycle rims also obtained approvals to join the program Solar Applied Materials Technology Co (SOLAR, 光洋應用材料), a part of Taiwan Semiconductor Manufacturing Co’s (TSMC, 台積電) “green supply chain,” has pledged to invest NT$1 billion (US$34.1 million) to build a new plant at the Tainan Technology Industrial Park (台南科技工業區), the Ministry of Economic Affairs said yesterday. SOLAR has been collaborating with TSMC to extract precious metals from waste and reuse them as “sputtering target” material in high-end semiconductor manufacturing, a TSMC press release issued in May said. Established in 1978, SOLAR also offers key materials and integrated services to customers in the optoelectronics, information and communications technology, petrochemicals and consumer electronics industries,