CHINA
Factory gate prices down
The country’s factory gate prices last month fell for the sixth consecutive month, but at a slightly slower-than-expected rate, official data showed yesterday, as economic activity normalized after the country’s COVID-19 outbreak. The producer price index fell 2.4 percent from a year earlier, the National Bureau of Statistics said in a statement, compared with a 3 percent drop in June. The consumer price index rose 2.7 percent, compared with a 2.5 percent increase in June.
EGYPT
Urban inflation slows
Consumer prices in urban parts of the country grew at the slowest annual level since November last year as food costs fell, data provided by the Central Agency for Public Mobilization and Statistics showed. The annual rate last month decelerated to 4.2 percent from a year earlier, compared with June’s 5.6 percent, defying some analyst expectations for a moderate acceleration. Food and beverage prices, which comprise the largest single component in the inflation basket, fell 1.5 percent. Monthly inflation sped up, rising to 0.4 percent from 0.1 percent the previous month.
FRANCE
Recovery loses steam
The pace of the country’s economic recovery is slowing, the central bank said, confirming expectations of a prolonged period before output catches up with pre-COVID-19 pandemic levels. In its monthly report, the Bank of France said that economic activity was 7 percent below normal levels last month after a 9 percent gap in June. For this month, business leaders in services and most industrial sectors expect stability, the bank said. In construction, activity is expected to improve slightly to almost reach normal levels.
TURKEY
Lending rules scrapped
The government is rolling back rules that forced lenders to extend credit to businesses as it looks to slow loan growth in response to last week’s upheaval in financial markets that sent the lira to a record low against the US dollar. The banking regulator yesterday said in a statement that its asset ratio formula would be reduced by 5 percentage points to 95 percent for commercial lenders, and to 75 percent for Islamic lenders. The regulator also fine-tuned some rules for calculating the ratio and allowed banks to use average levels of the foreign-exchange rate for the previous month.
TOURISM
Accor to expand resort
Saudi Arabia has agreed with Europe’s biggest hotel group, Accor SA, for the group to expand and operate a resort at the US$20 billion Al-Ula tourism project in the kingdom’s northwestern region, the Royal Commission for the project said on Sunday. The agreement would see Accor operate an expanded Ashar Resort under the Banyan Tree brand, with 47 new units bringing the resort’s total capacity to 82 high-end villas, along with a spa and several gourmet restaurants, a commission statement said.
EQUIPMENT MAKERS
Roper eyes Vertafore
Roper Technologies Inc is in talks to acquire Vertafore Inc for close to US$5.5 billion, Reuters reported, citing people familiar with the matter who were not identified. The acquisition would be the biggest ever for the Sarasota, Florida-based maker of industrial equipment, Reuters said, and has been competing with private equity firms for the deal.
Contract chipmaker United Microelectronics Corp (UMC, 聯電) yesterday said it has signed a memorandum of understanding (MOU) with Polar Semiconductor LLC to collaborate on the production of 8-inch wafers in the US. The collaboration aims to strengthen 8-inch wafer manufacturing in the US amid Washington’s efforts to increase onshore manufacturing of semiconductors, contribute to supply chain resilience against shifting geopolitical dynamics, and ensure a secure domestic supply of power semiconductors critical to automotive, electric grids, robotic manufacturing and data centers, the companies said in a joint statement. Under the MOU, Polar and UMC will identify devices for Polar to manufacture at
TECH TITANS: Amazon’s latest chip joins Google in competing for the 90 percent market share held by Nvidia, which claims it is ‘a generation ahead of the industry’ Amazon Web Services (AWS) on Tuesday launched its in-house-built Trainium3 artificial intelligence (AI) chip, marking a significant push to compete with Nvidia Corp in the lucrative market for AI computing power. The move intensifies competition in the AI chip market, where Nvidia dominates with an estimated 80 to 90 percent market share for products used in training large language models that power the likes of ChatGPT. Google last week caused tremors in the industry when it was reported that Facebook-parent Meta Platforms Inc would employ Google AI chips in data centers, signaling new competition for Nvidia. This followed the release last month of
Two companies wholly owned by the daughter of the founder of Hon Hai Precision Industry Co (鴻海精密) on Monday reported to the Taiwan Stock Exchange that they would dispose of all of the Hon Hai shares they hold. In filings with the exchange, Hong Wei Investment Co (鋐維) said it would sell the 2.771 million Hon Hai shares it holds and Frontier Investment Corp (承鋒投資) said it would sell its 2.409 million Hon Hai shares from tomorrow until Jan. 3 next year. The two companies are wholly owned and chaired by Shirley Gou (郭曉玲), the eldest daughter of Hon Hai founder Terry
TARIFF TALKS: The US secretary of commerce is eyeing more than US$300 billion in investments and said Taiwan would train US workers, but Taipei has denied the latter US Secretary of Commerce Howard Lutnick said the US is expecting a large investment pledge from Taiwan in trade talks, while President William Lai (賴清德) listed areas that need improvement in order for projects to be completed. “We’re in the midst of discussions,” Lutnick said on Wednesday. “But the fact is, this administration’s goal is to bring semiconductor manufacturing to America.” Lai on Wednesday said Taiwan is supportive of US President Donald Trump’s goal of reindustrializing the US, including efforts to ramp up semiconductor production. Such a goal would require the US to reduce its reliance on Taiwan as a key source
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