Tuesday's terrorist attacks on New York may exacerbate Taiwan's economic downturn as US demand for high-tech goods such as computers and mobile phones slumps further, economic planners said yesterday.
The attacks may shave another 0.2 percentage points to 0.5 percent off the GDP for next year, said Chen Po-chih (
"There will only be a short-term negative impact [on Taiwan's economy]," Frederic Chang (張平男), deputy director-general of the Government Information Office, quoted Chen as saying yesterday. "The economic recovery will arrive a quarter later than expected, depending on the US economic recovery."
The government earlier estimated that the economy would contract by 0.37 this year before recovering next spring. For next year, most analysts expect the economy to grow 4 percent.
A day before the attacks, Merrill Lynch predicted that the nation's economy would contract 2.3 percent this year -- with no sign of recovery until the first half of next year.
According to Chang, Chen said in a Cabinet report that a turnaround in Taiwan's economy could be delayed, with US consumer confidence expected to weaken and the likelihood of a US economic recovery in the fourth quarter appearing minimal.
The prospect of US military retaliation for the strikes on the World Trade Center and Pentagon may also aggravate risks confronting the world economy, Chen said.
The nation's GDP growth rate for next year is expected to come in at 3.84 percent, he said. The figure could be revised down to 3.78 percent if international oil prices rise by another 10 percent over a prolonged period of time.
If the US fallout proves even more severe, the figure could come in at 3.54 percent.
NATIONAL SECURITY THREAT: An official said that Guan Guan’s comments had gone beyond the threshold of free speech, as she advocated for the destruction of the ROC China-born media influencer Guan Guan’s (關關) residency permit has been revoked for repeatedly posting pro-China content that threatens national security, the National Immigration Agency said yesterday. Guan Guan has said many controversial things in her videos posted to Douyin (抖音), including “the red flag will soon be painted all over Taiwan” and “Taiwan is an inseparable part of China,” while expressing hope for expedited “reunification.” The agency received multiple reports alleging that Guan Guan had advocated for armed reunification last year. After investigating, the agency last month issued a notice requiring her to appear and account for her actions. Guan Guan appeared as required,
Japan and the Philippines yesterday signed a defense pact that would allow the tax-free provision of ammunition, fuel, food and other necessities when their forces stage joint training to boost deterrence against China’s growing aggression in the region and to bolster their preparation for natural disasters. Japan has faced increasing political, trade and security tensions with China, which was angered by Japanese Prime Minister Sanae Takaichi’s remark that a Chinese attack on Taiwan would be a survival-threatening situation for Japan, triggering a military response. Japan and the Philippines have also had separate territorial conflicts with Beijing in the East and South China
A strong cold air mass is expected to arrive tonight, bringing a change in weather and a drop in temperature, the Central Weather Administration (CWA) said. The coldest time would be early on Thursday morning, with temperatures in some areas dipping as low as 8°C, it said. Daytime highs yesterday were 22°C to 24°C in northern and eastern Taiwan, and about 25°C to 28°C in the central and southern regions, it said. However, nighttime lows would dip to about 15°C to 16°C in central and northern Taiwan as well as the northeast, and 17°C to 19°C elsewhere, it said. Tropical Storm Nokaen, currently
PAPERS, PLEASE: The gang exploited the high value of the passports, selling them at inflated prices to Chinese buyers, who would treat them as ‘invisibility cloaks’ The Yilan District Court has handed four members of a syndicate prison terms ranging from one year and two months to two years and two months for their involvement in a scheme to purchase Taiwanese passports and resell them abroad at a massive markup. A Chinese human smuggling syndicate purchased Taiwanese passports through local criminal networks, exploiting the passports’ visa-free travel privileges to turn a profit of more than 20 times the original price, the court said. Such criminal organizations enable people to impersonate Taiwanese when entering and exiting Taiwan and other countries, undermining social order and the credibility of the nation’s
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