UNITED STATES
Eastman wins dumping case
The Department of Commerce on Tuesday said South Korean companies were importing a resin used in making plastics at less than fair value. The finding vindicated a complaint lodged by Eastman Chemical Co, a major producer of specialty plastics. An anti-dumping investigation by the department determined that South Korean imports of Dioctyl terephthalate had been sold in the nation at prices 2.7 percent to 4 percent below fair value. The nation’s imports of the product from South Korea came to US$32.5 million last year. The department is due to make a final determination by Aug. 3.
CYPRUS
Official touts interest rate
The minister of finance said the country has managed to secure the lowest-ever interest rate on a public bond issue, hailing it as a strong signal of trust from international markets in the economy. Minister of Finance Harris Georgiades said Tuesday’s seven-year bond issue raised 850 million euros (US$946.35 million), carrying a 2.75 percent interest rate. He said the money would be used to pay off older loans with higher interest rates. These include a 288 million euro loan from the IMF that carried a 3.52 percent interest rate. Georgiades said the significant savings in interest rate payments would be channeled to bolster the economy.
MOROCCO
Exchange rates to be flexible
The nation is to begin the process of moving toward a flexible exchange rate system gradually in the second half, the governor of the country’s central bank said on Tuesday. The North African country has had a fixed exchange rate regime for the dirham since the 1970s. “There will be no devaluation. We are not in a situation of currency crisis,” central bank Governor Abdellatif Jouahri said. “The IMF did not impose anything on us. It is a voluntary decision.” Moroccan media have reported that the full liberalization of the dirham would take up to 15 years.
COMMUNICATIONS
Ericsson assesses media
Ericsson AB has hired banks to review its media businesses as the company refocuses on its main wireless network-equipment operations by selling assets, according to people with knowledge of the matter. Ericsson is working with Morgan Stanley to explore a sale of its media solutions business, the people said. Separately, the Stockholm-based company hired Goldman Sachs Group Inc to find a buyer for its broadcast and media services unit, the people said. The businesses have attracted interest from private equity firms as well as technology and media companies, the people said.
MEATPACKERS
JBS announces divestment
Brazilian meatpacking giant JBS SA has announced a US$1.8 billion divestment plan to reduce its debt and financial leverage. The world’s largest meatpacker said on Tuesday in a statement that it plans to sell its US-based unit, Five Rivers Cattle Feeding; shareholding stakes in Brazilian dairy company Vigor Alimentos; and Moy Park, its poultry business in Northern Ireland. The meatpacker earlier this month sold its units in Argentina, Paraguay and Uruguay for US$300 million to companies controlled by a rival meat processing company in Brazil. JBS executives are at the center of a political crisis engulfing Brazilian President Michel Temer.
China’s economic planning agency yesterday outlined details of measures aimed at boosting the economy, but refrained from major spending initiatives. The piecemeal nature of the plans announced yesterday appeared to disappoint investors who were hoping for bolder moves, and the Shanghai Composite Index gave up a 10 percent initial gain as markets reopened after a weeklong holiday to end 4.59 percent higher, while Hong Kong’s Hang Seng Index dived 9.41 percent. Chinese National Development and Reform Commission Chairman Zheng Shanjie (鄭珊潔) said the government would frontload 100 billion yuan (US$14.2 billion) in spending from the government’s budget for next year in addition
Advanced Micro Devices Inc (AMD) suffered its biggest stock decline in more than a month after the company unveiled new artificial intelligence (AI) chips, but did not provide hoped-for information on customers or financial performance. The stock slid 4 percent to US$164.18 on Thursday, the biggest single-day drop since Sept. 3. Shares of the company remain up 11 percent this year. AMD has emerged as the biggest contender to Nvidia Corp in the lucrative market of AI processors. The company’s latest chips would exceed some capabilities of its rival, AMD chief executive officer Lisa Su (蘇姿丰) said at an event hosted by
Sales RecORD: Hon Hai’s consolidated sales rose by about 20 percent last quarter, while Largan, another Apple supplier, saw quarterly sales increase by 17 percent IPhone assembler Hon Hai Precision Industry Co (鴻海精密) on Saturday reported its highest-ever quarterly sales for the third quarter on the back of solid global demand for artificial intelligence (AI) servers. Hon Hai, also known as Foxconn Technology Group (富士康科技集團) globally, said it posted NT$1.85 trillion (US$57.93 billion) in consolidated sales in the July-to-September quarter, up 19.46 percent from the previous quarter and up 20.15 percent from a year earlier. The figure beat the previous third-quarter high of NT$1.74 trillion recorded in 2022, company data showed. Due to rising demand for AI, Hon Hai said its cloud and networking division enjoyed strong sales
TECH JUGGERNAUT: TSMC shares have more than doubled since ChatGPT’s launch in late 2022, as demand for cutting-edge artificial intelligence chips remains high Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday posted a better-than-expected 39 percent rise in quarterly revenue, assuaging concerns that artificial intelligence (AI) hardware spending is beginning to taper off. The main chipmaker for Nvidia Corp and Apple Inc reported third-quarter sales of NT$759.69 billion (US$23.6 billion), compared with the average analyst projection of NT$748 billion. For last month alone, TSMC reported revenue jumped 39.6 percent year-on-year to NT$251.87 billion. Taiwan’s largest company is to disclose its full third-quarter earnings on Thursday next week and update its outlook. Hsinchu-based TSMC produces the cutting-edge chips needed to train AI. The company now makes more
RSS