BANKING
ZA Bank launches HK pilot
ZA Bank Ltd has begun a pilot for Hong Kong’s first virtual bank, kicking off a shake-up that might collar as much as 30 percent of banking revenue in the territory. The wholly owned unit of ZhongAn Technologies International Group Ltd (眾安科技) is initially targeting about 2,000 retail users to gather feedback before an official start, it said in an e-mailed statement yesterday. ZA said that it would provide users with a “full suite of services 24/7,” allowing customers to open an account in five minutes by using a Hong Kong identity card. About US$15 billion, or 30 percent of the territory’s total banking revenue, is up for grabs, Goldman Sachs Group Inc analysts have estimated.
AUTOMAKERS
Isuzu to buy UD Trucks
Isuzu Motors Ltd is to buy Japanese manufacturer UD Trucks Corp from AB Volvo as part of a strategic alliance, the latest sign of consolidation in the global automotive industry. UD Trucks, which used to be part of Nissan Motor Co before it was sold to Volvo more than a decade ago, is based in Saitama, Japan. Isuzu, which last year sold 530,000 vehicles, is acquiring the business for ¥250 billion (US$2.28 billion), the companies said in a statement yesterday.
INTERNET
Facebook defends tracking
Facebook Inc can determine where users are, even if they have selected not to share precise location data with the company, the firm revealed in a letter sent to US senators. The social network, which was responding to a request for information by two senators, contended that knowing a user’s whereabouts has benefits ranging from showing ads for nearby shops to fighting hackers and battling misinformation. Clues for figuring out a user’s location include being tagged in a photograph at a specific place or a check-in at a location, such as at a restaurant during a dinner with friends, Facebook said.
INTERNET
Google to pay Aussie taxes
Google has agreed to pay Australian tax authorities A$482 million (US$330.5 million) to settle a dispute over its multibillion-dollar business in the country, officials announced yesterday. The payment covered taxes owed from 2008 to last year and brought to A$1.25 billion the amount recovered from global e-commerce titans, including Microsoft Corp, Apple Inc and Facebook, the Australian Tax Office said. “This settlement is another great outcome for the Australian tax system,” Deputy Commissioner Mark Konza said. The office’s operation would be extended until 2023 to ensure multinational digital players continue to pay taxes on sales revenue from Australian customers, Konza said.
SHIPPING
Groups mull research fund
Shipping associations have proposed creating a US$5 billion research fund to develop technology to help the sector meet UN targets on cutting emissions. The global shipping fleet, which accounts for 2.2 percent of the world’s carbon dioxide emissions, is under pressure to reduce those emissions and other pollution. The associations yesterday called for a mandatory contribution of US$2 per tonne on fuel used by ships to raise money for the fund. Simon Bennett, deputy secretary-general of the International Chamber of Shipping, one of the industry bodies backing the fund, said that the contribution would raise about US$5 billion over 10 years, based on fuel consumption by the world’s fleet of about 250 million tonnes per year.
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
Hon Hai Precision Industry Co (鴻海精密) is reportedly making another pass at Nissan Motor Co, as the Japanese automaker's tie-up with Honda Motor Co falls apart. Nissan shares rose as much as 6 percent after Taiwan’s Central News Agency reported that Hon Hai chairman Young Liu (劉揚偉) instructed former Nissan executive Jun Seki to connect with French carmaker Renault SA, which holds about 36 percent of Nissan’s stock. Hon Hai, the Taiwanese iPhone-maker also known as Foxconn Technology Group (富士康科技集團), was exploring an investment or buyout of Nissan last year, but backed off in December after the Japanese carmaker penned a deal
WASHINGTON POLICY: Tariffs of 10 percent or more and other new costs are tipped to hit shipments of small parcels, cutting export growth by 1.3 percentage points The decision by US President Donald Trump to ban Chinese companies from using a US tariff loophole would hit tens of billions of dollars of trade and reduce China’s economic growth this year, according to new estimates by economists at Nomura Holdings Inc. According to Nomura’s estimates, last year companies such as Shein (希音) and PDD Holdings Inc’s (拼多多控股) Temu shipped US$46 billion of small parcels to the US to take advantage of the rule that allows items with a declared value under US$800 to enter the US tariff-free. Tariffs of 10 percent or more and other new costs would slash such
SENSOR BUSINESS: The Taiwanese company said that a public tender offer would begin on May 7 through its wholly owned subsidiary Yageo Electronics Japan Yageo Corp (國巨), one of the world’s top three suppliers of passive components, yesterday said it is to launch a tender offer to fully acquire Japan’s Shibaura Electronics Co for up to ¥65.57 billion (US$429.37 million), with an aim to expand its sensor business. The tender offer would be a crucial step for the company to expand its sensor business, Yageo said. Shibaura Electronics is the world’s largest supplier of thermistors, with a market share of 13 percent, research conducted in 2022 by the Japanese firm showed. If a deal goes ahead, it would be the second acquisition of a sensor business since