Taiwan has become the third-best investment destination after it moved up a place in a global ranking, according to a triannual report by US-based Business Environment Risk Intelligence SA (BERI), the Ministry of Economic Affairs said yesterday.
Taiwan scored a profit opportunity recommendation (POR) — a gauge BERI uses to evaluate a nation as an investment destination — of 61 in the report, which recommended that investors increase holdings on the local equity market, the ministry said in a statement.
BERI uses three main indicators to assess investment risk: operating conditions (operations risk), political risk and foreign exchange and external accounts position (remittance and repatriation factor) risk.
Switzerland and Norway topped the list with a POR of 71 and 62 respectively in the survey of 50 nations, which is issued in April, August and December.
In Asia, Taiwan remained the No. 1 investment destination, ahead of Singapore and South Korea, which were both given a POR of 58, the ministry said.
Japan ranked 11th on the list with a POR of 54, while Malaysia and Indonesia ranked 14th and 18th with a POR of 50 and 48 respectively, BERI data showed.
India and Vietnam tied for 20th with PORs of 47.
With a POR of 45, China ranked 23rd on the list, and the Philippines ranked 26th with a POR of 43.
Taiwan is expected to retain its ranking until 2025 with a higher POR of 67, the ministry said, citing the report’s forecast.
CHIP CRUNCH: Apple’s woes show that even the king of the technology world is not immune from global shortages made worse by the COVID-19 pandemic Apple Inc is likely to slash its projected iPhone 13 production targets for this year by as many as 10 million units as prolonged chip shortages hit its flagship product, people with knowledge of the matter said. The company had expected to produce 90 million new iPhone models in the final three months of this year, but it is now telling manufacturing partners that the total would be lower because Broadcom Inc and Texas Instruments Inc are struggling to deliver enough components, the people said. Apple gets display parts from Texas Instruments, while Broadcom is its longtime supplier of wireless components. One Texas
EVA Airways Corp (長榮航空) and China Airlines Ltd (中華航空), the nation’s two major airlines, reported accelerated revenue growth in the third quarter compared with the previous two quarters, thanks to robust air cargo business. EVA Airways yesterday said sales for last quarter rose 40 percent year-on-year to NT$25.81 billion (US$917 million), compared with an increase of 25 percent in the second quarter and a fall of 35 percent in the first quarter. China Airlines said sales grew 39 percent to NT$34.6 billion in the third quarter, after gaining 10 percent in the second quarter and falling 14 percent in the first quarter. EVA
‘SHORT-TERM ECONOMIC PAIN’: A military takeover would only temporarily weigh on wafer production on both sides of the Taiwan Strait, IC Insights said Taiwan has more chip manufacturing capacity than any other economy in the world, US-based market information advisory firm IC Insights said in a research paper last week, cautioning that the nation’s strength could prompt China to attempt to take over Taiwan. Taiwan commanded 21.4 percent of global installed IC capacity, ahead of South Korea’s 20.4 percent, Japan’s 15.8 percent and China’s 15.3 percent, North America’s 12.6 percent and Europe’s 5.7 percent, IC Insights said. Taiwan is one of two countries that uses 10-nanometer technology or better to produce wafers, holding 62.8 percent of global capacity, with South Korea holding the remaining 37.2
PRICE SPREAD: Oil trading under the Brent futures contract is giving the US a hefty edge in pricing, increasing the rush to secure cheap fuel as winter approaches Asian demand for US oil is rising as the energy crisis boosts prices for other crudes that are priced against the global Brent futures contract. China and other Asian buyers have been snapping up supertankers of US oil for delivery next month and seeking more for December, some traders have said. Most buyers are seeking US grades that had recently slumped to the lowest levels in more than a year, with an added incentive after Beijing awarded millions of tonnes of crude oil import quotas. A wide spread between Brent and West Texas Intermediate (WTI) oil futures is accommodating higher US crude