Business and Finance

China Airlines grabs another trophy in Rose Parade

Focus Taiwan
Date: 2018/01/02
By: Lee Hsin-Yin

Taipei, Jan. 2 (CNA) China Airlines (CAL), one of Taiwan’s leading airlines, won the International Trophy at the 129th Rose Parade held in Pasadena, California on New Year’s Day with a float titled “Caring for Our Sea.”

It was the 21st time that CAL has won the International Trophy and the 27th award the airline has garnered since first participating in the parade in 1987.

The theme of this year’s float was the diversity of marine ecology and diving activities in Taiwan, aimed at encouraging people from around the world to visit Taiwan and explore its colorful underwater world, CAL said.

The float’s design concept highlighted a diver swimming in waters around Taiwan, with green sea turtles, latticed butterfly fish, clownfish, colorful coral and sea grass keeping him company.    [FULL  STORY]

Government urged to heed tech deal

CHECKMATE: Taiwan could ensure the long-term survival of its technology industry if Broadcom acquires Qualcomm, because the deal requires government approval

Taipei Times
Date: Jan 03, 2018
By: Ted Chen  /  Staff reporter

Taiwan’s technology companies yesterday urged the government to take heed of Broadcom Ltd’s bid to acquire Qualcomm Inc, as the deal could have a significant affect on the sector.

Broadcom in November last year made an unsolicited US$105 billion offer to acquire Qualcomm, launching what would be the largest-ever technology takeover battle.

The deal could affect Taiwan’s semiconductor industry, including chip manufacturing, integrated circuit packaging, as well as information and communications technologies industries, the Allied Association for Science Park Industries said in a statement yesterday.

If combined, the two US companies could control half of the global market share for chips used in consumer electronics, granting them undue influence and bargaining power against suppliers, the association said, adding that this dominance would further pressure the profitability of local technology companies and affect the nation’s growth prospects.
[FULL  STORY]

New Southbound policy: Landing fees cut by 20%

Radio Taiwan International
Date: 2018-01-01

The transportation ministry said Monday that landing fees for flights coming from countries targeted by the New Southbound policy are to be cut by 20%. The measure will be in place for two years.

The New Southbound policy is the government’s push to improve ties with countries in Southeast and South Asia, as well as Australia and New Zealand.

The ministry said the cut in landing fees will apply to all airports in the country with the exception of Taiwan Taoyuan International Airport, Taiwan’s main gateway. The cut will apply to all airlines operating routes between New Southbound target countries and Taiwan. It said it hoped the incentive would encourage airlines to add more flights between Taiwan and New Southbound target countries.    [FULL  STORY]

China accuses Taiwanese chemical firms of unfair economic practices, launches investigation

PetroChina Co. prompts investigation into butyric alcohol supplied from Taiwan 2014 – 2017
 
Taiwan News
Date: 2018/01/01
By: Liao Yu-yang and Frances Huang,Central News Agency

TAIPEI (CNA) — China has launched an investigation into chemical firms in Taiwan, alleging

PetroChina refueling station (By Wikimedia Commons)

they sold certain chemicals on the Chinese market at unfairly low prices, according to the Ministry of Economic Affairs (MOEA).

In addition to Taiwan, the MOEA said China’s Ministry of Commerce (MOC) has accused butyric alcohol vendors from Malaysia and the United States of dumping.

Butyric alcohol is one of the key ingredients used in the production of a wide range of petrochemical items such as coating materials, adhesives, textile auxiliaries and plasticizers.

According to China’s MOC, the investigation will focus on butyric alcohol from those exporters from Jan. 1, 2014 to June 30, 2017, to determine whether the imports harmed their Chinese counterparts.    [FULL  STORY]

Taipei comes bottom in property outlook rankings for region: survey

Focus Taiwan
Date: 2018/01/01
By: Chiu Po-sheng and Frances Huang

Taipei, Jan. 1 (CNA) Taipei came bottom of the 2018 property market outlook rankings for

CNA file photo

the Asia Pacific region, according to a survey released by PricewaterhouseCoopers (PwC).

In the survey, which was jointly conducted by PwC and the U.S-based Urban Land Institute, Taipei, the capital city of Taiwan, remained in 22nd place.

It was the second consecutive year Taipei has come bottom of the survey, called the Emerging Trends in Real Estate Asia Pacific 2018, after the city placed 22nd in investment outlook and 20th in development outlook for property, the accounting firm said.

The latest survey was based on the opinions of more than 700 property market professionals, including investors, property developers, real estate agencies, mortgage providers and financial consultants, PwC said.    [FULL  STORY]

Content key to VR business: Acer

BIG SELL: IMAX and Warner Bros’ deal to develop a VR experience based on ‘Justice League’ was a successful example of content that generates profits, Jason Chen said

Taipei Times
Date: Jan 02, 2018
By: Lauly Li  /  Staff reporter

Acer Inc’s (宏碁) strategy on developing its virtual reality (VR) business is not only to target commercial clients, but is also to focus on building content that has the potential to be profitable, Acer chairman and chief executive Jason Chen (陳俊聖) said.

“After we entered the VR industry, we realized that content is key for the business. We need to determine what kind of content can make a profit, otherwise we would just waste a lot of time making contents that does not sell,” Chen told a media gathering at Acer’s headquarters in New Taipei City’s Sijhih District (汐止).

Chen said that was why Acer has collaborated with IMAX Corp to set up the IMAX VR Content Fund — which the board of the Taiwanese company in November 2016 approved a US$10 million investment to jointly create VR content.

IMAX and Warner Bros Home Entertainment’s deal on developing an interactive VR experience based on Warner Bros Pictures’ Justice League, which was partly financed by the IMAX VR Content Fund, was a successful example of content that generates profits, Chen said.    [FULL  STORY]

Consensus for Taiwan’s growth in 2018: above 2%

Taiwan News  
Date: 2017/12/31
By: Tsai Yi-chu and Evelyn Kao,Central News Agency

TAIPEI (CNA) — The broad consensus among economic think tanks is that Taiwan will

Taiwan’s economy to grow more than 2 percent in 2018. (By Central News Agency)

continue to grow at a slow but steady pace next year, with all of them projecting growth of 2-2.6 percent in 2018.

Taiwan’s economic performance in 2017 was better than expected, helped by steady global growth and rising international raw material prices, Taiwan’s official statistics agency, the Directorate-General of Budget, Accounting and Statistics (DGBAS), has said, pointing to steady growth and strong exports.

The country’s gross domestic product (GDP) growth in the first three quarters of 2017 was 2.66 percent, 2.13 percent and 3.11 percent, respectively, and Taiwan’s exports hit a record monthly high in November at US$28.88 billion, up 14 percent from a year earlier.

The November export figures marked the 14th consecutive month in which Taiwan’s outbound sales grew on a year-on-year basis, the Ministry of Finance (MOF) said, and it expected the growth trend to continue in 2018.    [FULL  STORY]

CPC Corp. to raise fuel prices to three-year high

Focus Taiwan
Date: 2017/12/31
By: Chu Tse-wei and William Yen

Taipei, Dec. 31 (CNA) State-owned oil refiner CPC Corp. Taiwan announced Sunday that it

will increase domestic gasoline and diesel prices this coming week to the highest level they have been since December 2014.

The company will increase gasoline prices by NT$0.3 (US$0.0101) per liter and diesel by NT$0.4 per liter, effective midnight Sunday.

After the adjustment, prices at CPC gas stations nationwide will be NT$24.6 per liter for super diesel, NT$26.7 per liter for 92 octane unleaded, NT$28.2 per liter for 95 unleaded and NT$30.2 per liter for 98 unleaded, the company said. A crack in the North Sea’s Forties Pipeline System (FPS) earlier in the month limiting the flow of oil from the area and a pipeline explosion in Libya on Tuesday led to rising international crude oil prices this past week.

CPC calculates its weekly fuel prices based on a weighted oil price formula made up of 70 percent Dubai crude and 30 percent Brent crude.    [FULL  STORY]

Banks fined over Ching Fu loan

REVITALIZATION: The FSC is to allow local banks’ asset management units to hold at least 5 percent of companies that are carrying out urban development projects

Taipei Times
Date Jan 01, 2018
By: Kuo Chia-erh  /  Staff reporter

The Financial Supervisory Commission (FSC) on Friday handed 14 banks a combined NT$40 million (US$1.34 million) fine for poor internal controls in a high-profile scandal involving Ching Fu Shipbuilding Co (慶富造船).

State-run First Commercial Bank (第一銀行) is facing a fine of NT$10 million, the highest allowed under the Banking Act (銀行法), while the Land Bank of Taiwan (土地銀行) and the Bank of Kaohsiung (高雄銀行) are to each be fined NT$8 million, the commission said.

The Bank of Taiwan (臺灣銀行) and Mega International Commercial Bank (兆豐銀行) are to each face fines of NT$4 million, while NT$2 million fines have been handed to Taiwan Business Bank (台灣企銀), Hua Nan Commercial Bank (華南銀行) and Taiwan Cooperative Bank (合作金庫銀行), the commission said.    [FULL  STORY]

Itochu of Japan wants to buy stake in Taipei 101

Japanese trading house wants to take over Ting Hsin’s 37.2-percent stake

Taiwan News 
Date: 2017/12/29
By: Matthew Strong, Taiwan News, Staff Writer

TAIPEI (Taiwan News) – Japanese group Itochu Corporation (伊藤忠) was applying to buy

Itochu wants to buy a stake in Taipei 101. (By Central News Agency)

the iconic Taipei 101, Taiwan’s tallest building, the government’s Investment Commission (投審會) said Friday.

The offer of US$600 million (NT$17.8 billion) is actually for the stake of 37.2 percent currently owned by Ting Hsin International (頂新), the Taiwanese group blamed for a number of tainted oil scandals which rocked the island over the past four years.

If approved, it will be the first time that a foreign company holds a major stake in Taipei 101, the Chinese-language Apple Daily reported. A previous attempt at an investment by Malaysian group IOI Properties faltered in 2014 after allegations that Chinese capital might have been involved.

The Investment Commission, a unit of the Ministry of Economic Affairs, said the review process of Itochu’s application had already started and might be completed in February or March after consideration by all relevant government departments.    [FULL  STORY]