BANKING
Yuan deposits at five-year low
Chinese yuan deposits held by banks operating in Taiwan last month fell to the lowest level in five years amid volatility in the currency at a time of rising trade tensions between Washington and Beijing, the central bank said last week. The balance of yuan deposits, including negotiable certificates of deposit, totaled 274.69 billion yuan (US$39.70 billion) at the end of last month, down 7.59 billion yuan from a month earlier, data compiled by the central bank showed.
TECHNOLOGY
Gou boosts Hon Hai stake
Hon Hai Precision Industry Co (鴻海精密) chairman Terry Gou (郭台銘) last month raised his stake in the company for the sixth consecutive month, the Taiwan Stock Exchange (TWSE) said. Gou bought 1.79 million shares, raising the shares he owns to 1.34 billion, the TWSE said. Gou has been purchasing Hon Hai shares since November last year, raising his stake in the company to 9.63 percent as of last month. According to market estimates, Gou has spent about NT$28.09 billion buying Hon Hai shares over the six-month period in a bid to bolster market confidence in the stock.
FINANCE
Firms use special reserve
Taiwan’s financial companies have spent NT$588 million from a special reserve over the past three years to help employees keep up with the latest financial technology, transfer them to other positions or find new jobs, the Financial Supervisory Commission (FSC) said on Thursday. The reserve has reached NT$5.96 billion and financial firms are welcome to continue investments in financial technology and train their employees, Banking Bureau Deputy Director Sherri Chuang (莊琇媛) said.
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), the world’s largest contract chipmaker, yesterday said its materials management head, Vanessa Lee (李文如), had tendered her resignation for personal reasons. The personnel adjustment takes effect tomorrow, TSMC said in a statement. The latest development came one month after Lee reportedly took leave from the middle of last month. Cliff Hou (侯永清), senior vice president and deputy cochief operating officer, is to concurrently take on the role of head of the materials management division, which has been under his supervision, TSMC said. Lee, who joined TSMC in 2022, was appointed senior director of materials management and
Gudeng Precision Industrial Co (家登精密), the sole extreme ultraviolet pod supplier to Taiwan Semiconductor Manufacturing Co (台積電), yesterday said it has trimmed its revenue growth target for this year as US tariffs are likely to depress customer demand and weigh on the whole supply chain. Gudeng’s remarks came after the US on Monday notified 14 countries, including Japan and South Korea, of new tariff rates that are set to take effect on Aug. 1. Taiwan is still negotiating for a rate lower than the 32 percent “reciprocal” tariffs announced by the US in April, which it later postponed to today. The
MAJOR CONTRIBUTOR: Revenue from AI servers made up more than 50 percent of Wistron’s total server revenue in the second quarter, the company said Wistron Corp (緯創) on Tuesday reported a 135.6 percent year-on-year surge in revenue for last month, driven by strong demand for artificial intelligence (AI) servers, with the momentum expected to extend into the third quarter. Revenue last month reached NT$209.18 billion (US$7.2 billion), a record high for June, bringing second-quarter revenue to NT$551.29 billion, a 129.47 percent annual increase, the company said. Revenue in the first half of the year totaled NT$897.77 billion, up 87.36 percent from a year earlier and also a record high for the period, it said. The company remains cautiously optimistic about AI server shipments in the third quarter,
Nvidia Corp CEO Jensen Huang (黃仁勳) on Thursday met with US President Donald Trump at the White House, days before a planned trip to China by the head of the world’s most valuable chipmaker, people familiar with the matter said. Details of what the two men discussed were not immediately available, and the people familiar with the meeting declined to elaborate on the agenda. Spokespeople for the White House had no immediate comment. Nvidia declined to comment. Nvidia’s CEO has been vocal about the need for US companies to access the world’s largest semiconductor market and is a frequent visitor to China.
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