Business and Finance

Leaving China not easy: trade group

AVOIDING TARIFFS: While 52 firms have already pledged to invest in Taiwan, business leaders were concerned about shortages of land, electricity, water and unskilled labor

Taipei Times
Date: May 16, 2019
By: Crystal Hsu  /  Staff reporter

It is difficult for Taiwanese electronics firms to pull out of China, as the personal

Compal Electronics Inc chairman Rock Hsu talks to reporters at a meeting in Taipei yesterday of the Third Wednesday Club, of which he is also chairman.Photo: Lee Ya-wen, Taipei Times

computer industry has built a stable supply chain there over the years, industry leaders said yesterday.

Local electronic firms with production lines in China could face a sharp earnings challenge if Washington next month extends tariffs to US$300 billion of Chinese goods, including smartphones and notebooks.

Compal Electronics Inc (仁寶電腦) chairman Rock Hsu (許勝雄) said that relocating supply chains is a difficult and time-consuming process, as it requires a massive transfer of personnel and depends a lot on technology brands.

Taiwan is home to the world’s largest suppliers of electronic components used in laptops and mobile devices.    [FULL  STORY]

Taiwan’s agriculture heads for prime opportunities in the heart of South Asia: India

Business Insider
Date: May 14, 2019

TAIPEI, TAIWAN – Media OutReach – 14 May 2019 – The Council of Agriculture, Executive Yuan (COA) will be leading six agricultural firms to exhibit in TAIWAN EXPO 2019 in India held at Pragati Maidan International Exhibition Center from May 16 to May 18. The flourishing agricultural demand in India has strong appeal to Taiwan’s agricultural expertise in seeds and seedling, breeding resources, planting, field management, post harvest technology and auxiliary machinery. COA will bolster the competency of Taiwan’s agritech and agri products and bring more agricultural exchanges for southbound opportunities.

Agriculture plays a pivotal role in India’s national economy. The sector accounts for 18% of the country’s GDP, workforce for 58% of the national workforce, and 150 million hectares agricultural land for 48% of the country’s land area which ranks first in Asia, while the production of staple food like rice with 2.4 t/ha accounts for only 1/2 of Taiwan’s national rice yield. The relatively high interest in Taiwan’s farming technology makes India a potential market to explore.    [FULL  STORY]

TokenBacon revolutionizes Taiwan’s art market

Its novel cross-blockchain cloud platform and the benefits of a hybrid cloud system are reshaping the local art market and the overall tech environment

Taiwan News
Date: 2019/05/14
By: Sophia Yang, Taiwan News, Staff Reporter

Lai Chih-Hsing (來智行), founder and CEO of TokenBacon (Photo by Sophia Yang/ Taiwan News)

TAIPEI (Taiwan News) — Taiwan tech startup TokenBacon has developed the world’s first-ever cross-blockchain cloud platform, allowing users to quickly build their own blockchain service.

In doing so the startup has created something novel in the cloud computing market, currently dominated by tech giants in the United States who offer private cloud services. TokenBacon offers a hybrid cloud system, which combines the merits of both the public and private cloud.

It is now revolutionizing the local art market.

The entrepreneurial Lai Chih-Hsing (來智行), founder and CEO of TokenBacon, has worked in both the U.S. and Luxembourg, and has typically founded companies aiming to solve market problems that serve the common good, and promote equality.    [FULL  STORY]

Fresh U.S. tariffs will hurt China-based Taiwanese firms: think tank

Focus Taiwan
Date: 2019/05/14
By: Chang Chien-chung, Pan Tzu-yu and Chung Yu-chen

CNA file photo

Taipei, May 14 (CNA) Taiwanese companies in China that manufacture telecommunications devices and computers are likely to be hit hard in the escalating trade war between the United States and China, as such products are the prime targets of the U.S.’ latest wave of proposed tariffs, a leading technology research and development institute in Taiwan said Tuesday.

One official at the Industrial Technology Research Institute (ITRI) made the comment in a phone interview with CNA after the U.S. on Monday released a new list of about US$300 billion worth of Chinese products, including information and communications technology products such as cellphones and laptops, which it is threatening to hit with tariffs of up to 25 percent.

Expressing similar views, Roy Chun Lee (李淳), deputy director of the Taiwan World Trade Organization and Regional Trade Agreements Center of the Chung Hua Institution for Economic Research, said that if the threatened tariffs are implemented, the effects will be grimmer than the first round of U.S. tariffs on US$200 billion worth of Chinese goods last year.

This time, China-based Taiwanese manufacturers like Hon Hai Precision Industry, which assembles iPhones for Apple Inc., and Quanta Computer will be the first to suffer if the U.S.-China trade war exacerbates, Lee said.    [FULL  STORY]

Quanta mulling China pullout

TRADE SPAT: Quanta Computer Inc is scouting potential manufacturing sites around the globe in a bid to circumvent the heavy US levies, vice chairman C.C. Leung said

Taipei Times
Date: May 15, 2019
By: Lisa Wang  /  Staff reporter

Contract laptop maker Quanta Computer Inc (廣達電腦) yesterday said that it is considering relocating production lines out of China to cope with potential increases in US tariffs on a wider range of Chinese imports.

Quanta’s comments came after the impact of US-China trade dispute spread to laptops and smartphones as US President Donald Trump threatened to raise the duties up to 25 percent on US$325 billion of Chinese imports after China said on Monday that it would increase tariffs to as high as 25 percent on US$60 billion of US products beginning next month.

In response to the escalation of the US-China trade dispute, Quanta vice chairman C.C. Leung (梁次震) said the company is discussing with clients and component suppliers how to speedily tackle the problem.

Quanta said it is scouting potential manufacturing sites around the globe in a bid to circumvent the heavy US levies.    [FULL  STORY]

Domestic demand props up economy: Tsai

Radio Taiwan International 
Date: 14 May, 2019
By: Paula Chao

President Tsai Ing-wen (middle)

President Tsai Ing-wen says domestic demand has propped up Taiwan’s economic growth in recent years.

The president was referring to the impact of the escalating US-China trade war on Taiwan. The United States has more than doubled tariffs on US$200 billion worth of Chinese products. In retaliation, China says it will raise tariffs on $60 billion of US goods from June.    [FULL  STORY]

Picking tea from the lowest point in Taiwan

Radio Taiwan International 
Date: 13 May, 2019
By: Natalie Tso

Picking tea in Pingtung (picture from Kenting National Park)

This weekend Pingtung County is hosting a “Cape Tea Time” event to celebrate tea grown from the lowest point in Taiwan. The local tea is grown at only 100 meters above sea level.

The tea is also known as “port tea” and is grown in Manjou Township in Pingtung County, the southernmost tip of Taiwan. The area has grown tea for over a century. The tea is grown in very dry conditions and carries a light flavor of the ocean breeze. The area is also known for its onions and agave plants.

The town is hosting its tea-tasting event on Saturday afternoon. Those interested can register at www.ktnp.gov.tw    [SOURCE]

Taiwan to begin importing mangosteen fruit from Thailand

A ban on the fruit has been in effect for over a decade due to problems with fruit flies

Taiwan News
Date: 2019/05/13
By: Teng Pei-ju, Taiwan News, Staff Writer

(Image courtesy of Pexels)

TAIPEI (Taiwan News) — Taiwan will likely start importing mangosteen fruit from Thailand in late July, as a 16-year ban on the Southeast Asian tropical fruit will be lifted soon, said the country’s Council of Agriculture (COA).

The import of mangosteen fruit to Taiwan has been suspended since 2003 due to the spread of fruit flies, bactrocera carambolae and bactrocera papayae, in the fruit which are prevalent in Southeast Asia.

Over the past seven to eight years, Thailand has continued to improve its biosecurity and quarantine measures to tackle the fruit fly problem, COA Deputy Minister Chen Chun-chi (陳駿季) told Central News Agency on Monday (May 13).

The mangosteen fruit from Thailand has recently fulfilled the import requirements of horticultural produce from COA’s Bureau of Animal and Plant Health Inspection and Quarantine (BAPHIQ), which issued a public notice of the matter on April 26.
[FULL  STORY]

CAL told to help if EVA flight attendants go on strike

Focus Taiwan
Date: 2019/05/13
By: Lee Hsin-Yin

Taipei, May 13 (CNA) China Airlines (CAL), one of the country’s two major airlines, has

CNA file photo

been instructed by the government to assist EVA Air passengers if EVA’s flight schedule is disrupted due to a strike by its flight attendants, the Ministry of Transportation and Communications (MOTC) said Monday.

Deputy transport minister Wang Kwo-tsai (王國材) said on the sidelines of a legislative session that the ministry has prepared for the worst-case scenario and has instructed CAL to help with passenger transfers and extra flight operations.

The ministry declined to give any details about how CAL would be able to help with the situation.

A vote to strike organized by the Taoyuan Flight Attendants Union (TFAU) will take place Monday-June 6, in which EVA members will decide whether to strike.    [FULL  STORY]

Covestro shrugs off trade dispute woes

LOCAL STRATEGY: The company’s manufacturing plant in Taiwan ships only a limited amount of products to the US, as it is focused on meeting demand in the Asia-Pacific

Taipei Times
Date: May 14, 2019
By: Kao Shih-ching  /  Staff reporter

German chemicals maker Covestro AG yesterday said that the escalating US-China trade dispute would have a limited effect on its Taiwanese business, as its local operation mainly supplies high-tech materials to Southeast Asian markets.

“The trade war has [had] some impact on the market, but we, with production sites over the world, can shift production to where the customers are if needed and avoid the tariffs,” Thomas Roemer, head of thermoplastic polyurethanes (TPUs) at Covestro, told the Taipei Times in an interview in Taipei.

The trade spat started to weigh on demand from Chinese clients several months ago, but the market is volatile and can change quickly, Roemer said, adding that the company has seen demand rise before the US increased tariffs on US$200 billion of Chinese imports on Friday last week.

Covestro’s production and investment policy would not change because of some tweets and it would focus on its products’ long-term development, Roemer said.
[FULL  STORY]