Business and Finance

Acer ranks No. 5 global PC vendor, Asustek No. 6 in Q2: Gartner

Focus Taiwan
Date: 2019/07/12
By: Chang Chien-chung and Frances Huang

Taipei, July 12 (CNA) Acer Inc. and Asustek Computer Inc. were the fifth and sixth largest global PC suppliers, respectively, in the second quarter of this year, according to global market information advisory firm Gartner Inc.

In a research report dated July 11 on its website, Gartner said Acer replaced Asustek as the No. 5 PC supplier in the April-June period compared with the January-March period.

Data compiled by Gartner showed Acer shipped about 3.40 million PCs, down 14.4 percent from a year earlier, and took a 5.4 percent share of the global market, compared with a 6.4 percent share over the same period of last year.

Asustek saw its ranking fall one notch from the first quarter to sixth in the second quarter after its shipments fell 9.9 percent from a year earlier to 3.10 million units during the April-June period, representing a 4.9 percent share of the global market, down from 5.5 percent a year earlier, the data indicated.    [FULL  STORY]

Taiwan Sanyo Electric sees sales improve

BALANCING ACT: The firm said that lower temperatures have weakened demand for air-conditioners, but new washers and refrigerators would be launched next year

Taipei Times
Date: Jul 13, 2019
By: Kwan Shin-han  /  Staff reporter

Home appliance supplier Taiwan Sanyo Electric (三洋電) yesterday said that sales in the second half of the year have held steady so far and could stay flat, aided by new home appliance releases.

“As of yesterday, sales have made up for the decline in the first half,” company manager Lin Chen-sheng (林陳勝) told an investors’ conference in Taipei.

Revenue for last month declined 10.95 percent annually and 6.14 percent monthly to NT$460.46 million (US$14.81 million), while cumulative revenue in the first half fell 2.25 percent year-on-year to NT$2.68 billion, company data showed.

Air-conditioner sales dropped 12.74 percent year-on-year and displays decreased 13.85 percent annually in the first six months, but sales of refrigerators and washers increased 11.79 percent and 16.02 percent respectively, the company said.    [FULL  STORY]

Taiwan to surpass S. Korea as largest semiconductor making market in world

Taiwan set to dethrone S. Korea as largest, fastest-growing semiconductor manufacturing equipment market in world

Taiwan News
Date: 2019/07/11
By: Keoni Everington, Taiwan News, Staff Writer

(Photo by flickr user Daniel Thompson)

TAIPEI (Taiwan News) — Taiwan is set to surpass South Korea as the largest and fastest-growing semiconductor manufacturing equipment market in the world with a growth rate of 21.1 percent this year, according to SEMI.

In its latest report, SEMI predicts that only Taiwan and North America will see growth in the semiconductor manufacturing market this year, while the markets in South Korea, China, Japan, and Europe will decline. Taiwan is set to become the largest and fastest growing semiconductor equipment maker in the world by increasing by 21.1 percent to reach US$12.31 billion.

Due in part to geopolitical tensions, SEMI forecasts downward adjustments to capital expenditures in the semiconductor industry as a whole. SEMI predicts that the global semiconductor manufacturing market will slip to US$52.7 billion this year, a drop of 18.4 percent from last year, which saw an all-time high of US$64.5 billion last year.    [FULL  STORY]

Taiwan’s economics ministry approves investment from five firms

Focus Taiwan
Date: 2019/07/11
By: Liao Yu-yang and Evelyn Kao

Pixabay image

Taipei, July 11 (CNA) The Ministry of Economic Affairs said Thursday that it has approved applications from five firms to invest in Taiwan under a plan launched by the government to encourage overseas Taiwanese businesses to invest at home.

It is estimated the five companies will invest more than NT$9.5 billion which could create nearly 900 new jobs, increasing total investment approved to NT$444.1 billion (US$14.31 billion) and boosting potential new jobs to more than 40,000 since the program was launched in January, according to a MOEA office that assists overseas businesses invest in Taiwan.

The biggest investor among the five is an unnamed listed company that produces key panel materials and plans to invest more than NT$4.5 billion building a factory in Yunlin County and recruiting 200 workers, according to the MOEA "Invest Taiwan" office.

Textile and garment manufacturer Eclat Textile Co. decided to invest NT$1.02 billion to build a digital fabric printing and textile factory in Miaoli County producing high-value added printed fabric, and is looking to hire 60 technicians.    [FULL  STORY]

Largan profits rise, sales to improve

PEAK SEASON: Largan CEO Adam Lin said that production has reached full capacity and would continue unchanged through next month, while orders have been steady

Taipei Times
Date: Jul 12, 2019
By: Natasha Li  /  Staff reporter

Handset camera lens supplier Largan Precision Co (大立光) yesterday reported a 29.62 percent increase in net profit for last quarter to NT$6.55 billion (US$211.1 million) from NT$5.05 billion in the first quarter, or earnings per share (EPS) of NT$48.84.

The Taichung-based firm posted revenue of NT$14.08 billion for last quarter, up 43.34 percent on a quarterly basis, while gross margin rose by 5.36 percentage points to 69.6 percent.

In the first half of the year, net profit surged by 22 percent year-on-year to NT$11.6 billion, with EPS rising from NT$70.97 to NT$86.51 over the period, Largan said.

Revenue increased 13 percent to NT$23.9 billion in the first six months, with 10-megapixel lenses making up 50 to 60 percent of total shipments, followed by 20-megapixel lenses and higher, which contributed 20 to 30 percent, while 8-megapixel lenses made up another 10 to 20 percent, the company said.    [FULL  STORY]

Wisconsin governor expresses doubts about Taiwan’s Foxconn job targets

Next May, only 1,500 employees are expected instead of 1,800: Evers

Taiwan News
Date: 2019/07/10
By: Matthew Strong, Taiwan News, Staff Writer

TAIPEI (Taiwan News) – The Foxconn Group might only employ 1,500 people when its new plant in

Wisconsin Governor Tony Evers. (By Associated Press)

Wisconsin starts operations next May, the state’s governor told CNBC Tuesday (July 9).

The company’s founder, Kuomintang presidential contender Terry Gou (郭台銘), once promised at least 1,800 jobs by the end of 2020 and eventually 13,000 in return for US$4 billion worth of incentives.

Gou made the promises before he had resigned the chairmanship of his company and when a Republican, Scott Walker, was still governor of Wisconsin.

The new governor, Democrat Tony Evers, told CNBC in an exclusive interview that the Taiwanese company was once again likely to miss its targets. He also revealed that he had visited the factory site near the town of Racine in late June.    [FULL  STORY]

Regular wages in Taiwan increased 2.40% in May

Focus Taiwan
Date: 2019/07/10
By: Pan Tzu-yu and Evelyn Kao

Taipei, July 10 (CNA) The average regular wage in Taiwan rose 2.40 percent in May from a year earlier, while non-regular wages surged 9.55 percent year-on-year, government data showed Wednesday .

The average regular wage in May was NT$41,865 (US$1,373), up 2.40 percent year-on-year and exceeding 2 percent growth for the third consecutive month, according to the data.

The monthly growth in average regular wages was 0.27 percent, the data released by the Directorate General of Budget, Accounting and Statistics (DGBAS) showed.

Meanwhile, the average earned income, which includes regular salary plus bonuses, overtime pay and other irregular income, rose 3.48 percent in May from a year earlier to NT$49,815, the DGBAS said.    [FULL  STORY]

Nanya Technology Q2 profit plunges

IN-DIGESTION: Major DRAM chipmakers inventories, as well as the US-China and Japan-South Korea frictions will be key factors influencing chip prices in the coming months

Taipei Times
Date: Jul 11, 2019
By: Lisa Wang  /  Staff reporter

DRAM chipmaker Nanya Technology Corp (南亞科技) yesterday said net profit last quarter plunged 75.7 percent annually as flagging demand and excess inventories drove down chip prices.

Net profit dipped to NT$2.75 billion (US$88.25 million) during the quarter that ended on June 30, compared with NT$11.31 billion in the same period last year, while on a quarterly basis, net profit shrank 23.3 percent from NT$3.59 billion.

Chip prices fell at a quarterly rate of 15 percent, while shipments jumped 30 percent, Nanya said.

It said it expects prices to continue to fall this quarter, albeit at a slower pace, as a seasonal rebound in end-market demand for computers, mobile phones, consumer electronics and servers would help underpin DRAM shipments.    [FULL  STORY]

3 million Taiwanese engage in multi-level marketing

Competition from e-commerce is eating into revenue

Taiwan News
Date: 2019/07/09
By: Matthew Strong, Taiwan News, Staff Writer

A Shin Kong Mitsukoshi department store in Taipei (photo by Nagono) (By Wikimedia Commons)

TAIPEI (Taiwan News) – The number of Taiwanese engaging in multi-level marketing crossed the 3-million mark by the end of last year, according to data from the Fair Trade Commission (FTC).

Flexibility fueled the rise, though competition from e-commerce caused a drop in the sector’s revenue for the first time in three years, the Central News Agency reported.

At the end of 2017, 2.99 million Taiwanese were active in the sector, with the figure rising to 3.08 million one year later, meaning that 12.92 percent of the population were now involved in the practice, the FTC said.    [FULL  STORY]

British startup accelerator opens operations center in Taiwan

Focus Taiwan
Date: 2019/07/09
By: Wu Po-Wei and intern Hsieh Meng-jun

Taipei, July 9 (CNA) British startup accelerator The Bakery opened its first Asian operations center in the Southern Taiwan Science Park in Tainan on Tuesday.

The center, located in the AI_ROBOT innovation makerspace, will help integrate artificial intelligence (AI) and robotics-related startups and bring in capital, resources and connections to boost Taiwan's startup environment, the Ministry of Science and Technology said.

According to Kao Shih-wei (高士偉), a Taiwanese partner of The Bakery, the company plans to introduce investment of NT$30 million over the next four years to support startups in Taiwan.

The accelerator hopes to provide a third option, other than the United States and China, for Taiwanese startups seeking to enter the global market, Kao said.    [FULL  STORY]