Business and Finance

Universiade expected to bring economic benefits to Taiwan

Focus Taiwan
Date: 2017/08/03
By Ku Chuan and Ko Lin

Taipei, Aug. 3 (CNA) The upcoming Universiade in Taipei is likely to spur NT$11.9

CNA file photo

billion (US$393.5 million) in economic benefits in Taiwan over a two-week period, the Ministry of Education (MOE) said Thursday.

In a Cabinet meeting held to discuss matters related to the Universiade, the MOE reported that some 15,000 jobs had already been created in the run up to the 2017 university games.

Many of those jobs were in the area of construction as the venues for the Universiade were being built or renovated, the ministry said.

In addition, consumer spending is projected to increase by at least NT$3 billion during the Aug. 19-30 games, the MOE said.    [FULL  STORY]

Taipower to improve electricity towers

WEAKEST LINK:The vulnerability of the electricity net was illustrated last week, when the Ho-Ping power plant in Hualien suffered damage after bad weather felled a tower

Taipei Times
Date: Aug 04, 2017
By: Lauly Li / Staff reporter

State-run Taiwan Power Co (Taipower, 台電) is to increase the number of electrical

Taiwan Cement Corp chairman Nelson Chang, front, yesterday inspects a transmission tower of Ho-Ping Power Co that collapsed on Saturday due to strong winds brought by Typhoon Nesat in Yilan County’s Dongao area. Ho-Ping Power is a subsidiary of Taiwan Cement. Photo courtesy of Taiwan

circuits on transmission towers to improve the durability of the nation’s power grid, Minister of Economic Affairs Lee Chih-kung (李世光) said yesterday.
The improvement is part of a slew of measures being taken to protect the nation’s power facilities from natural disasters, he said.

“The power grid’s exposure risk is greater than that of power plants during natural disasters… We have asked Taipower to propose improvement plans,” Lee told reporters before the Ministry of Economic Affair’s weekly meeting.

The majority of the power supply warnings issued by Taipower since the 921 Earthquake in 1999 were caused by disruptions to the power grid rather than problems with power generaton, Lee said.

Almost all of the transmission towers in the nation are equipped with one electrical circuit each, which makes the power grid vulnerable to external forces, Taipower said.    [FULL  STORY]

New Japan-Taiwan Exchange Association head to visit

Radio Taiwan International
Date: 2017-08-01

The new president of the Japan-Taiwan Exchange Association, Yasuaki Tanizaki, will visit Taiwan later this month. That’s the word from the head of the association’s Taiwanese counterpart, Chang Shu-ling, on Tuesday.

The association, headquartered in Tokyo, represents Japan’s interests in Taiwan in the absence of full diplomatic ties.    [FULL  STORY]

Govt. stops AC two hours a day to compensate for power loss after twin typhoons

Government offices to switch off AC two hours per day during the next two weeks to conserve electricity

Taiwan News
Date: 2017/08/01
By: Taiwan News

TAIPEI (Taiwan News) — Due to the damage inflicted to the country’s power supply by

Electricity prices in Taiwan will increase by no more than 10 percent if the country phases out nuclear power by 2025, Economics Minister Lee Chih-kun

the recent twin typhoons, government offices will switch off all air conditioners for two hours per day during the next two weeks, in a bid to conserve electricity, the Cabinet said on Monday.

According to Cabinet spokesman Hsu Kuo-yung (徐國勇), a transmission tower which carried 1.3 million kilowatts (kW) of power, was brought down by the recent Typhoons Nesat and Haitang. The tower was operated by the independent power producer Ho-Ping Power Co. (和平電力) in Hualien County.

During the two-week period, all government buildings, including the Executive Yuan, will turn off the air conditioners from 1 p.m. to 3 p.m. during working days, Hsu said.

During a meeting held to discuss contingency plans, Economics Minister Lee Chih-kung (李世光) said that two nuclear power plants are currently going through maintenance, and the general public will also be encouraged to conserve electricity due to the power shortage, he added.    [FULL  STORY]

Agricultural losses from typhoon creep up to NT$300 million

Focus Taiwan
Date: 2017/08/01
By: Yang Shu-min and CNA intern William Yen

Taipei, Aug. 1 (CNA) The agricultural losses following Typhoon Nesat and Tropical Storm Haitang on July 29-30 have reached NT$280.5 million (US$9.27 million), according to the Council of Agriculture (COA).

Yilan County was the worst affected of the 22 cities and counties across Taiwan, with damage valued at NT$121.4 million (US$4 million), accounting for 45 percent of total losses.

Pingtung County suffered damage of NT$76.74 million (US$2.54 million), or 27 percent of total losses.

Chiayi County incurred damage of NT$18.07 million (US$597,255) or 6 percent of total losses.    [FULL  STORY]

Manufacturing PMI accelerates

UPTICK:The purchasing managers’ index rose for a 17th straight month last month, boding well for exports as smartphone vendors prepare for new model launches

Taipei Times
Date: Aug 02, 2017
By: Crystal Hsu / Staff reporter

The official manufacturing purchasing managers’ index (PMI) accelerated to 59 last month, rising for the 17th consecutive month as global smartphone brands gear up for new product launches, boosting demand for electronics components, the Chung-Hua Institution for Economic Research (CIER,中華經濟研究院) said yesterday.

The private Nikkei Taiwan Manufacturing PMI reached a similar conclusion with a score of 53.6, suggesting a strong start for the nation’s manufacturing-driven economy in the current quarter.

“The latest PMI figure bodes well for exports last month and beyond, but it is too early to tell if forthcoming smartphone models will prove to be successful and benefit local firms in their supply chain,” CIER president Wu Chung-shu (吳中書) told a news conference.

Apple Inc is likely to introduce its iPhone 8 next month, but might have to put off mass production until the fourth quarter to resolve technology bottlenecks, Wu said.
[FULL  STORY]

U.S. dollar closes lower on Taipei forex

Focus Taiwan
Date: 2017/07/31
By: Romulo Huang

Taipei, July 31 (CNA) The U.S. dollar dropped against the Taiwan dollar Monday, shedding NT$0.075 to close at NT$30.227.

Turnover totaled US$554 million during the trading session.

The greenback opened at NT$30.295, and moved between NT$30.188 and NT$30.302 before the close.
[FULL  STORY]

MediaTek Q2 profit sinks 67%

MARGIN IMPROVEMENT:While earnings fell to a 16-year low, the IC designer saw its gross margin pick up for the first time in three years as it focuses on mid-range chips

Taipei Times
Date: Aug 01, 2017
By: Lisa Wang / Staff reporter

MediaTek Inc (聯發科) yesterday posted its weakest quarterly profit in 16 years as demand for its smartphone chips faltered due to customer inventory correction and market share loss.

Second-quarter net earnings plunged 66.5 percent to NT$2.2 billion (US$72.78 million) from NT$6.59 billion a year ago and 66.7 percent from NT$6.64 billion in the first quarter, the company said.

However, the smartphone chip designer saw its gross margin rebound for the first time in three years, with the figure rising to 35 percent from 33.5 percent in the first quarter.

MediaTek has shifted its focus and resources to mid-range smartphone chips after suffering a setback in its foray into the high-end chip segment, dominated by the US-based Qualcomm Inc.    [FULL  STORY]

Taiwan’s post service provider to raise postage rates August 1, first time in 26 years

Taiwan News
Date: 2017/07/31
By: George Liao, Taiwan News, Staff Writer

TAIPEI (Taiwan News)—Across–the-board postage rate increases announced by

Across–the-board postage rate increases announced by Chunghwa Post Co., Taiwan’s post service provider, in June will go into effect on August 1. (phot

Chunghwa Post Co., Taiwan’s post service provider, in June will go into effect on August 1 (Tuesday), marking the company’s first postage rate hike in 26 years.

As a general rule, the rate increase for an ordinary mail service, prompt delivery mail service, and registered mail service will be NT$3 alike.

According to the announcement, for mails under 20 grams, the postage will go up from NT$5 to NT$8 for ordinary mail, from NT$12 to NT$15 for prompt delivery, from NT$25 to NT$28 for registered, and from NT$32 to NT$35 for prompt registered.

However, registered with AR will jump from NT$34 to NT$41, while prompt registered with AR will go up from NT$41 to NT$50, according to the announcement. For printed paper under 50 grams, the postage will go up from NT$3.5 to NT$6 for ordinary mail, from NT$10.5 to NT$13 for prompt delivery, from NT$23.5 to NT$26 for registered, from NT$30.5 to NT$33 for prompt registered, from NT$32.5 to NT$41 for registered with AR (acknowledgment of receipt ), and NT$39.5 to NT$48 for prompt registered with AR.    [FULL  STORY]

MOEA calls for more investment from Foxconn in Taiwan

Foxconn, which has announced a $10 billion investment in Wisconsin, has been hailed by President Trump as “one of the truly great companies of the world.”

Taiwan News
Date: 2017/07/31
By: Juvina Lai, Taiwan News, Staff Writer

TAIPEI (Taiwan News) – Ever since Foxconn, also known as Hon Hai Precision Industry, announced a US$10 billion investment in Wisconsin, it has pretty much been the talk of the town.

Even US President Donald Trump hailed Foxconn as “one of the truly great companies in the world.”

The ROC Ministry of Economic Affairs (MOEA) said that cross-border corporate investment is the best business model, but it had also hoped that Taiwan would in some way remain beneficial from such deals. Analysts believe that the impact would be minimal and in fact could be beneficial for domestic component groups.

Foxconn’s decision to invest US$10 billion in the United States involves plans to spend the money over the next four years, which would create a high-end LCD display panel plant.    [FULL  STORY]