Business and Finance

Number of inherited homes surges 6%

NEW REGIME:Inheritors should carefully weigh tax considerations if planning to sell their new asset, as gains on long-held properties can be taxed at 10%, an analyst said

Taipei Times
Date: May 30, 2016
By: Crystal Hsu / Staff reporter

The number of homes inherited in the first quarter rose 6 percent year-on-year to a record high of 11,700 units, with the figure set to rise further with a rapidly aging population, Sinyi Realty Inc (信義房屋) said.

The continued pickup in the number is in stark contrast with the sluggish housing market and merits careful study of property taxes for heirs planning to cash out, the nation’s only listed broker said.

“The fast-aging population is set to push the number of homes inherited higher, as more than 80 percent of Taiwanese own their own homes and most opt to pass their assets down to younger generations,” Sinyi researcher Tseng Ching-der (曾敬德) said in a recent report.

The National Development Council predicts Taiwan is set to become an “aged” society by 2018 — meaning 14 percent or more of its population are 65 or older, according to the UN’s definition.     [FULL  STORY]

Economics minister to attend WTO, TiSA mini-ministerial meetings

Focus Taiwan
Date: 2016/05/28
By: Huang Chiao-wen and Y.F. Low

Taipei, May 28 (CNA) A Taiwan delegation led by Economics Minister Lee Chih-

Economics Minister Lee Chih-kung (李世光, left) and head of the MOEA's Bureau of Foreign Trade (BOFT), Yang Jen-ni (楊珍妮, right)

Economics Minister Lee Chih-kung (李世光, left) and head of the MOEA’s Bureau of Foreign Trade (BOFT), Yang Jen-ni (楊珍妮, right)

kung (李世光) will depart for France on May 31 to attend informal mini-ministerial meetings of the World Trade Organization (WTO) and the Trade in Services Agreement (TiSA).

The WTO and TiSA mini-ministerial meetings will take place on the sidelines of the Ministerial Council Meeting of the Organization for Economic Cooperation and Development (OECD), slated for June 1-2 in Paris.

According to Bureau of Foreign Trade Director-General Yang Jen-ni (楊珍妮), who will also attend the meetings, the WTO mini-ministerial meeting will mainly focus on three areas: issues left unfinished in the Doha round of negotiations, new issues arising from global trade and technological development, and whether to continue multilateral negotiations or launch more plurilateral negotiations.

The TiSA mini-ministerial meeting, meanwhile, will discuss the market-opening lists presented by TiSA members, she said.     [FULL  STOERY]

Taiwan’s share of global smartphone assembly business down in Q1

Taiwan News
Date: 2016-05-28
By: By Esme Jiang and Frances Huang, Central News Agency

Taipei, May 28 (CNA) Taiwan witnessed its share of the global smartphone assembly business fall in the first quarter of this year amid escalating competition in the world market, market information advisory firm International Data Corp. (IDC) said Saturday.

According to IDC, Taiwan’s share of the global smartphone assembly industry fell to 23.4 percent in the January-March period, down from 28.5 percent recorded in the fourth quarter of last year.

However, China expanded its presence in the sector during the first quarter, the IDC said. China’s share of the global smartphone assembly industry rose to 44.1 percent in the three-month period from 40.1 percent seen in the previous quarter.

Kao Hung-hsiang, a senior research manager with IDC, said that China’s smartphone assembly industry got a boost from an increase in shipments of first-tier Chinese smartphone brands.     [FULL  STORY]

TWSE’s global visibility boosted by participation in GRI meeting

Focus Taiwan
Date: 2016/05/28
B:y Tien Yu-pin and Frances Huang

Taipei, May 28 (CNA) With its delegation attending the annual meeting of the 201605280020t0001Global Reporting Initiative (GRI), the Taiwan Stock Exchange (TWSE) has witnessed its global visibility rise accordingly.

The TWSE, which operates the local main board, sent a delegation to the fifth annual meeting of the GRI held in Amsterdam from May 18-21.

During the meeting, the 11-member TWSE delegation exchanges views with about 1,200 representatives from other 76 countries, a move which has helped Taiwan become more visible in such an international organization, the exchange said.

The GRI is an international independent standards organization that helps businesses, governments and other organizations to understand and communicate their impacts on issues, including climate change, human rights and corruption.     [FULL  STORY]

Official forecast for Taiwan’s 2016 GDP growth cut to 1.06%

Taiwan’ News
Date: 2016-05-27
By: By Chen Cheng-wei and Frances Huang, Central News Agency

The Directorate General of Budget, Accounting and Statistics (DGBAS), Taiwan’s official statistics agency, has lowered its forecast for Taiwan’s gross domestic product (GDP) growth in 2016 to 1.06 percent.

The latest forecast was 0.41 percentage points lower than the DGBAS’s previous estimate of 1.47 percent growth made in February as weakening global demand continues to weigh on Taiwan’s exports, which are the backbone of the country’s economy.    [SOURCE]

Consumer confidence dips to two-year low

Focus Taiwan
Date: 2016/05/27
By: Chiu Po-sheng and Frances Huang

Taipei, May 27 (CNA) Consumer confidence in Taiwan was haunted by weakness in the local 2016052700221economy in May, sending the country’s consumer confidence index (CCI) to its lowest level in more than two years, according to National Central University (NCU).

The CCI in May fell 0.55 points from a month earlier to 79.82, dipping below 80 for the first time since December 2013, when the index was at 78.22, said the university, which conducts the survey that underpins the monthly index.

The index consists of six indicators reflecting how much confidence people have in consumer prices, employment, family finances, the local economic climate, the stock market and the possible purchase of durable goods in the coming six months.

In May, the sub-indexes for the six factors all trended lower, the survey showed.

The sub-index for consumer prices fell 1.55 points from a month earlier to 56.65, marking the steepest decline among the six indicators, NCU said.2016/05/27

Taipei, May 27 (CNA) Consumer confidence in Taiwan was haunted by weakness in the local economy in May, sending the country’s consumer confidence index (CCI) to its lowest level in more than two years, according to National Central University (NCU).

The CCI in May fell 0.55 points from a month earlier to 79.82, dipping below 80 for the first time since December 2013, when the index was at 78.22, said the university, which conducts the survey that underpins the monthly index.

The index consists of six indicators reflecting how much confidence people have in consumer prices, employment, family finances, the local economic climate, the stock market and the possible purchase of durable goods in the coming six months.

In May, the sub-indexes for the six factors all trended lower, the survey showed.

The sub-index for consumer prices fell 1.55 points from a month earlier to 56.65, marking the steepest decline among the six indicators, NCU said.

Business indicators point to weakness

SHAKY CONFIDENCE: Consumer confidence is also weak this month, amid concern over inflation, employment opportunities and investment outlook, a poll showed

Taipei Times
Date: May 28, 2016
By: Crystal Hsu / Staff reporter

The government’s business monitoring system edged up to flash “yellow-blue” last month, after flashing “blue” for 10 consecutive months, aided by better imports of machinery and electrical equipment, but the improvement might not last amid a stalling global economy, the National Development Council (NDC) said yesterday.

“The yellow-blue light was an indication that the economy is changing gears, but it is hard to say whether it would turn better or worse,” council research director Wu Ming-huei (吳明蕙) said at a press conference.

Wu cited as an example leading indicators, which resumed a mild downturn last month after holding steady one month earlier, suggesting continued economic weakness.

The total score for the council’s business indicators rose to 17 last month, just one point above the recessionary “blue” zone, the council’s
report showed.     [FULL  STORY]

NDC outlines proposal for equity fund

ECONOMIC BOOSTER:The council is to establish an NT$100 billion equity fund under the National Development Fund and a trading firm to create investment opportunities

Taipei Times
Date: May 26, 2016
By: Crystal Hsu / Staff reporter

The National Development Council (NDC) yesterday unveiled several short-term measures aimed

National Development Council Minister Chen Tain-jy yesterday holds a news conference in Taipei to discuss his short-term goals for helping the economy. Photo: Wang Yi-sung, Taipei Times

National Development Council Minister Chen Tain-jy yesterday holds a news conference in Taipei to discuss his short-term goals for helping the economy. Photo: Wang Yi-sung, Taipei Times

at stimulating the economy through private investment by establishing an equity fund and a trading company to help firms expand, innovate and upgrade.

“Unlike past practices, the council and other government agencies will take the initiative and lend a helping hand wherever they spot worthy investment opportunities,” National Development Council Minister Chen Tain-jy (陳添枝) told a news conference in Taipei.

The council plans to establish an equity fund of NT$100 billion (US$3.06 billion) under the National Development Fund and take shares in promising firms through capital injection, Chen said.     [FULL  STORY]

Audi Volkswagen Taiwan fined for false advertising on emissions

Taiwan News
Date: 2016-05-25
By: Central News Agency

Audi Volkswagen Taiwan Co. has been fined NT$5 million (US$153,236) for false advertising regarding the emissions of two of its car models, the Fair Trade Commission (FTC) said Wednesday.

In the advertisements in its catalogue, the company claimed that its SUV Caddy Maxi met the European Union’s EU5 emission standards and its A6 Sedan/Avant met the EU6 emission standard.

In fact, the commission said, that data was obtained by rigging the vehicles’ software, which meant the company had engaged in unfair competition.     [FULL  STORY]

NDC plans to establish national trade, investment firm: minister

Focus Taiwan
Date: 2016/05/25
By: Chen Cheng-wei and Romulo Huang

Taipei, May 25 (CNA) Minister Chen Tain-jy (陳添枝), head of the National 201605250024t0001Development Council (NDC), said Wednesday that his council has been planning to establish a national trade and investment company by the end of this year, as part of the nation’s efforts to promote overseas markets.

The projected national trade and investment firm will have a total capital of NT$10 billion (US$307 million), of which the government’s investment will be less than 50 percent, Chen told a press conference.

He added, however, that the government will enjoy a “certain level of control” on the company’s operations, which will be run as a private enterprise.     [FULL  STORY]