Business and Finance

FPG sees slower growth as tensions rise

CLOUDY PROSPECTS: Trade conflict between the world’s two largest economies has dampened investments, procurement and consumption, Formosa Plastics Group said

Taipei Times
Date: Oct 10, 2018
By: Ted Chen  /  Staff reporter

Formosa Plastics Group (FPG, 台塑集團) yesterday said it expects to see slower growth this quarter because of the impact of the escalating trade war between the US and China.

With tariff hikes against Chinese exports to the US set to rise from 10 percent to 25 percent on Jan. 1, trade tensions between the world’s two largest economies have dampened investments, procurement and consumption across the globe, group officials said.

Formosa Plastics Corp (台塑) chairman Jason Lin (林健男) said that the company’s revenue this quarter could decline sequentially, reversing a forecast of positive growth given a month earlier.

In anticipation of higher tariffs next year, some customers have begun restocking, while others have turned tentative, opting to exhaust inventories, Lin said, adding that rush orders pushed ocean freight rates higher last month.    [FULL  STORY]

AirAsia offers special flight deals to Boracay

Focus Taiwan
Date: 2018/10/08
By: Wang Shu-fen and Ko Lin

Taipei, Oct. 8 (CNA) Budget airline AirAsia announced Monday it will offer flights from

Photo courtesy of AirAsia

Taiwan to Boracay in the Philippines when the island reopens to tourists later this month.

The popular island destination was closed for six months from April 26 to allow its beaches to recover from a growing sewage problem caused by visitors to the area.

In August, the Philippine government announced that Boracay will reopen to tourists on Oct. 26.

As part of this reopening, the low-cost carrier said it will offer a 20 percent discount on tickets from Taiwan Taoyuan International Airport or Kaohsiung Airport to the island of Boracay until Oct. 21.    [FULL  STORY]

FSC might prop up stock market: Koo

‘FLATTENED OUT’: The commission did not support the TAIEX yesterday, despite the stock market falling below 10,500 points, as the daily loss was considered small

Taipei Times
Date: Oct 09, 2018
By: Kao Shih-ching  /  Staff reporter, with CNA

As Taiwanese shares fell for the fifth consecutive session yesterday to close at their

Financial Supervisory Commission Chairman Wellington Koo answers questions at a meeting of the Finance Committee at the Legislative Yuan in Taipei yesterday.  Photo: Chien Jung-fong, Taipei Times

lowest level in eight months, Financial Supervisory Commission (FSC) Chairman Wellington Koo (顧立雄) said the commission might take action to prop up the local market.

The TAIEX ended down 61.19 points, or 0.58 percent, at 10,455.93, the lowest level since Feb. 12, when the index hit 10,421.09 points, Taiwan Stock Exchange (TWSE) data showed.

Earlier yesterday, Koo told the Legislative Yuan’s Finance Committee that if the TAIEX fell below 10,500 points, the commission might take some measures to keep the stock market stable, such as encouraging private firms to buy back shares and hold investors’ conferences to assure shareholders.

The 10,500-point mark is considered psychologically important for investors, as the market tends to become volatile and bumpy whenever it falls below this level, Koo added.
[FULL  STORY]

TSMC, foreign tech giants set up cloud technology alliance

Taiwan News  
Date: 2018/10/06
By:  Central News Agency

TSMC is teaming up with foreign companies in new alliances. (By Central News Agency)
Taiwan Semiconductor Manufacturing Co. (TSMC), the largest contract chipmaker in the world, has teamed up with several foreign tech giants to set up a cloud technology-based alliance.

TSMC unveiled its fifth Open Innovation Platform alliance, the OIP Cloud Alliance, on Wednesday, saying the inaugural members of the alliance — Amazon Web Services (AWS), Cadence, Microsoft Azure, and Synopsys — are working with TSMC to certify that the capabilities of traditional microchip design automation service flows can be utilized through the cloud.

TSMC’s Open Innovation Platform consists of five alliances: the EDA (electronic design automation) Alliance, IP (intellectual property) Alliance, Design Center Alliance, Value Chain Aggregator Alliance, and the latest, the Cloud Alliance.

“TSMC is excited to not only adopt the Cloud ourselves for our design enablement in TSMC advanced technologies, but also jointly implement OIP Virtual Design Environment (OIP VDE), through our collaboration with Cloud Alliance members Amazon Web Services, Cadence, Microsoft Azure, and Synopsys, lowering entry barriers of Cloud adoption for our common customers,” Cliff Hou (???), vice president of Technology Development at TSMC, said in a statement.    [FULL  STORY]

Housing transactions rebound slightly in September

Focus Taiwan
Date: 2018/10/06
By: Pan Chih-yi and Frances Huang 

Taipei, Oct. 6 (CNA) Transactions of residential and commercial property in Taiwan’s six largest metropolitan areas staged a mild rebound in September as the impact of Ghost Month faded away, according to figures compiled by the six city governments.

There were 17,040 homes, offices and shops bought and sold in September in the six cities — Taipei, New Taipei, Taoyuan, Taichung, Tainan and Kaohsiung — up 2.5 percent from a month earlier, after a 15 percent month-on-month decline in August.

The steep decline in August was due to Ghost Month, the seventh month on the lunar calendar that lasted this year from Aug. 11 to Sept. 9.

Taiwanese consumers tend not to purchase big ticket items such as homes and cars during the month to avoid bad luck.    [FULL  STORY]

Taiwan Foods Festival to spice up supermarkets in Canada

Featured are a variety of popular snacks and food products from Taiwan

Taiwan News
Date: 2018/10/05
By: Huang Tzu-ti, Taiwan News, Staff Writer

‘Taiwan Foods Festival’ takes place at Canada’s Asian supermarket chain (Photo/CNA)
TAIPEI (Taiwan News) – The Taiwan Foods Festival is being held in Asian supermarket chains in Canada between Oct. 12 and 18 to promote the country’s prime food products, reports said.

Organized by TAITRA’s Taiwan Trade Center in Toronto, the fest takes place at three selected Asian grocery stores in Chinese communities in Ottawa, Warden, and Central Parkway in Eastern Canada, reported CNA.

Discounts and promotions are offered during the week-long event, spotlighting some of the most popular snacks, beverages, and food products from Taiwan, such as fried fish crackers, pineapple cakes, sorghum liquor, sun cakes, and nostalgic foods.

The opening ceremony for the fest at T&T Supermarket in Ottawa on Oct. 12 will feature sampling sessions. Consumers will also be able to purchase goodies from well-known Taiwanese brands, for example I-Mei, Greenmax, Uni-President, Taisun, Wu-Mu, and Kimlan, according to Taiwan Trade Center in Toronto.    [FULL  STORY]

Consumer prices up 1.72% in September

Focus Taiwan
Date: 2018/10/05
By: Pan Tzu-yu and Frances Huang

CNA file photo

Taipei, Oct. 5 (CNA) Taiwan’s consumer price index (CPI) rose 1.72 percent from a year earlier in September, largely because of higher tobacco, fuel and egg prices and more expensive airline tickets, government statistics showed Friday.

Data released by the Directorate General of Budget, Accounting and Statistics (DGBAS) showed that the September CPI also rose 0.14 percent from a month earlier after seasonal adjustments.

The core CPI, which excludes fruit, vegetables and energy, rose 1.20 percent from a year earlier in September, leading DGBAS specialist Hsu Chien-chung (徐健中) to conclude that consumer prices remained stable.

In the first nine months of the year, the CPI rose 1.66 percent from a year earlier, while the core CPI was up 1.40 percent.    [FULL  STORY]

Textile firms eye robust orders at show

TECHNICAL ADVANTAGE: The Taiwan Textile Federation said global brands, including Nike and Adidas, turn to Taiwanese firms when they need innovative and smart materials

Taipei Times
Date: Oct 06, 2018
By: Lisa Wang  /  Staff reporter

Local textile manufacturers expect to sign US$85 million of new orders at the annual Taipei Innovative Textile Show from Oct. 16 to 18, as demand grows for higher-priced functional textiles used mostly in sports and outdoor apparel, organizers said yesterday.

That would represent about 21 percent annual growth from US$70 million in orders last year, an initial estimate by the Taiwan Textile Federation (TTF) showed.

Robust growth was already reflected in the 2 percent annual growth in textile exports to US$5.89 billion from January to July this year, and the full-year increase could be larger, as the traditional peak season falls in the second half, the federation said.

Last year, textile exports grew by an anemic 0.8 percent to US$10 billion, it said.
[FULL  STORY]

Taiwan amends freeport tax breaks to encourage investors

New regulations will raise tax benefits for some activities

Taiwan News
Date: 2018/10/04
By: Matthew Strong, Taiwan News, Staff Writer

Kaohsiung harbor. (By Wikimedia Commons)

TAIPEI (Taiwan News) – Foreign investors deploying activities in freeport areas will benefit from tax breaks, according to amendments approved by the Cabinet Thursday.

The Ministry of Transportation said the activities included storage, transportation, and payment of customers, the Liberty Times reported.

Simple added-value work however, would be taxed, as opposed to such practices as labeling and packaging, which counted under the new tax breaks, the report said.

A difference in tax waivers between exports and products destined for the domestic market would be ended, treating both the same in a beneficial way, according to the ministry. Under previous legislation, only 10 percent of income from the domestic market would be tax free, but the amendments passed Thursday will hike the percentage to 100, the same as exported products, reports said.    [FULL  STORY]

Taiwan shares close down 1.33%

Focus Taiwan
Date: 2018/10/04
By: Y.F. Low 

Taipei, Oct. 4 (CNA) Taiwan shares closed down 145.03 points, or 1.33 percent, at 10,718.91 Thursday on turnover of NT$109.76 billion (US$3.57 billion).
[FULL  STORY]