CURRENCIES
Forex reserves set record
Foreign exchange reserves hit a record high at the end of last month, partly because of the central bank buying the US currency to slow the New Taiwan dollar’s appreciation. Forex reserves rose US$2.54 billion from a month earlier to US$466.97 billion, the central bank said on Friday. In addition to its purchases of the greenback, a higher euro, which is in the bank’s investment portfolio, and an increase in investment returns boosted forex reserves last month, the central bank said.
ELECTRONICS
New phones boost HTC
HTC Corp reported consolidated sales of NT$1.46 billion (US$46.95 million) for last month, up 93.89 percent from a month earlier, but still down 34.46 percent from a year earlier. The high month-on-month increase in sales largely reflected the unveiling of its latest two mid-range smartphones — the U19e and Desire 19+ — with starting prices of NT$14,900 and NT$9,900 respectively. Sales in the first six months decreased 63.05 percent year-on-year to NT$5.75 billion amid stiff competition in the global market.
ELECTRONICS
Hon Hai posts June record
Hon Hai Precision Industry Co on Friday reported its highest-ever sales for June, with analysts attributing it to solid demand for communication and computing devices. Consolidated sales were NT$396.54 billion last month, up 1.71 percent from a year earlier and 3.2 percent from a month earlier, the company said. Hon Hai’s second-quarter sales rose 10.07 percent from the first quarter to NT$1.16 trillion, the highest for the April-June period, and its combined sales in the first six months increased 5.14 percent to NT$2.22 trillion from a year earlier, company data showed.
Three experts in the high technology industry have said that US President Donald Trump’s pledge to impose higher tariffs on Taiwanese semiconductors is part of an effort to force Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) to the negotiating table. In a speech to Republicans on Jan. 27, Trump said he intends to impose tariffs on Taiwan to bring chip production to the US. “The incentive is going to be they’re not going to want to pay a 25, 50 or even a 100 percent tax,” he said. Darson Chiu (邱達生), an economics professor at Taichung-based Tunghai University and director-general of
‘LEGACY CHIPS’: Chinese companies have dramatically increased mature chip production capacity, but the West’s drive for secure supply chains offers a lifeline for Taiwan When Powerchip Technology Corp (力晶科技) entered a deal with the eastern Chinese city of Hefei in 2015 to set up a new chip foundry, it hoped the move would help provide better access to the promising Chinese market. However, nine years later, that Chinese foundry, Nexchip Semiconductor Corp (合晶集成), has become one of its biggest rivals in the legacy chip space, leveraging steep discounts after Beijing’s localization call forced Powerchip to give up the once-lucrative business making integrated circuits for Chinese flat panels. Nexchip is among Chinese foundries quickly winning market share in the crucial US$56.3 billion industry of so-called legacy
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday held its first board of directors meeting in the US, at which it did not unveil any new US investments despite mounting tariff threats from US President Donald Trump. Trump has threatened to impose 100 percent tariffs on Taiwan-made chips, prompting market speculation that TSMC might consider boosting its chip capacity in the US or ramping up production of advanced chips such as those using a 2-nanometer technology process at its Arizona fabs ahead of schedule. Speculation also swirled that the chipmaker might consider building its own advanced packaging capacity in the US as part
A move by US President Donald Trump to slap a 25 percent tariff on all steel imports is expected to place Taiwan-made steel, which already has a 25 percent tariff, on an equal footing, the Taiwan Steel & Iron Industries Association said yesterday. Speaking with CNA, association chairman Hwang Chien-chih (黃建智) said such an equal footing is expected to boost Taiwan’s competitive edge against other countries in the US market, describing the tariffs as "positive" for Taiwanese steel exporters. On Monday, Trump signed two executive orders imposing the new metal tariffs on imported steel and aluminum with no exceptions and exemptions, effective