■ JAPAN
Tokyo tells US to heal itself
Finance Minister Fukushiro Nukaga yesterday ruled out any plan to introduce a stimulus package or tax cuts despite growing calls for concerted efforts to help combat a US mortgage crisis. "Fiscal stimulus or tax cuts used to be called for when our economy deteriorated, but we are not in a situation that we need to use a conventional, knee-jerk approach," Nukaga said in an interview with TV Asahi. "We have to adapt ourselves to the present situation." He called on Washington to concentrate on its own efforts to subdue the mortgage crisis. "The epicenter of the subprime loan problem is in the United States," he said. "The United States has to resolve the problem by itself."
■ AVIATION
A380 slides malfunction
Airbus' A380 super jumbo, the world's largest passenger aircraft, has encountered problems with its inflatable escape slides, the Internet site of the Germany weekly Stern reported on Saturday. The escape slides had to be revised after just a few flights, the magazine said, citing reports from clients of the European aircraft maker. The article quoted an Airbus spokesman confirming that there had been a problem. The explosive charges meant to inflate the slides in just a few seconds during an emergency evacuation were deteriorating over time and becoming unusable, the report said. To replace the faulty charges, all the slides had to be dismantled in what was a time-consuming operation, Stern reported.
■ MINING
Workers end strike
Workers at Mexico's largest lead mine have ended a nearly month-long strike after receiving a 6 percent wage hike, Mexico's Labor Department said. The strike at the Naica mine in the border state of Chihuahua ended on Friday night after owner Industrias Penoles SAB agreed to the hike and said it would pay 50 percent of the salaries lost during the walkout, the department said in a statement late on Friday. About 350 members of the National Mining and Metal Workers Union stopped work on Jan. 15, arguing that their wages didn't reflect corporate profits from high metal prices.
■ AUTOMOBILES
GM tries to rein-in states
General Motors Corp CEO Rick Wagoner urged the National Automobile Dealers Association to lobby against individual US states trying to set their own limits on greenhouse gas emissions. Wagoner, speaking on Saturday group's convention in San Francisco, said several states want to go beyond requirements passed by the US Congress. If that happens and automakers must focus on state regulations, they won't be able to focus as much on alternative fuel vehicles to reduce oil consumption and pollution, he said. "We're not going to be able to accomplish everything that we otherwise could," he said. He also said dealers and automakers should push for infrastructure to handle new technologies, including hydrogen and ethanol fueling stations and charging stations for electric vehicles.
■ MYANMAR
Junta to auction gems
The military government will hold a new sale of gems, pearls and jade next month in a bid to earn much-needed foreign currency, despite calls to boycott the auctions, state media said yesterday. The official New Light of Myanmar said the sale would be held from March 9 to March 20, just two months after the last auction. The sale last month drew about 280 foreign buyers, despite calls from the US and rights groups for a boycott because of a bloody crackdown on pro-democracy protests last year. The government did not reveal how much it earned off the sale, but last November, the junta earned US$150 million from a gem emporium.
■ ENVIRONMENT
Green city under way
The oil-rich United Arab Emirates (UAE) was set to start work yesterday on construction of the world's first zero carbon emissions city, a spokesman for the project said. "Construction on Masdar City begins today," the spokesman said, adding that the 6.5km2 development would cost US$22 billion and was set for completion in 2015. Masdar City will house 50,000 people and will be run entirely on renewable energy such as solar power, exploiting the desert state's near constant supply of sunshine. The city is named after the Arabic word for "source." Residents will use electric-powered travel pods to get around the city. The UAE sits on the world's fifth-largest oil reserves and fourth-largest gas reserves, most of them in the emirate of Abu Dhabi
■ TELECOMS
PRC lines badly damaged
China's telecom industry faces a huge bill after the worst winter in decades, with millions of users cut off and thousands of kilometers of phone lines damaged, state media said yesterday. Preliminary government statistics showed the massive snow falls led to losses of 1.1 billion yuan (US$150 million), Xinhua news agency reported. Ten million mobile and fixed-line subscribers were still unable to use their phones as of Friday, Xinhua said. A total of 10,000 mobile phone base stations remain out of service and 150,000 poles for fixed-line services have collapsed, while 16,000km of lines have been damaged, Xinhua said. It reported that 80,000 telecom industry workers had fanned out across the country to seek to restore services. China had 547 million mobile phone subscribers and 365 million users of fixed-line services at the end of last year, government data said.
■ AGRICULTURE
France bans modified corn
France has banned a strain of genetically modified (GM) corn from US agribusiness giant Monsanto, delighting environmentalists but sparking outrage from the company and French farmers. At least one association planned a legal challenge to Saturday's decision, but leading environmental campaigner Jose Bove welcomed the decision, describing it as the fruit of a 10-year battle. A spokeswoman for Monsanto said on Saturday that France's decision to outlaw the use of the MON810 strain of corn, the only GM crop grown in France, "had no scientific basis." "Monsanto is studying all the legal options to defend the liberty of French farmers to use safe and authorized products," she said.
VALUE: TSMC’s market capitalization far exceeds the combined size of all the Latin American companies on MSCI Inc’s benchmark for emerging markets Taiwan Semiconductor Manufacturing Co’s (TSMC, 台積電) US$420 billion equity rally this year would get a valuation test this week when it reports earnings, with analysts expecting the chipmaker to raise full-year sales forecasts. The world’s biggest contract chipmaker would probably report a 29 percent increase in second-quarter net income on Thursday, according to the median estimate of analysts surveyed by Bloomberg. More importantly, analysts from JPMorgan Chase & Co to Morgan Stanley expect it to also raise its full-year sales guidance, justifying another round of valuation expansion. Just like Nvidia Corp, TSMC has become a favorite artificial intelligence (AI)-bet for investors with
ASSASSINATION ATTEMPT: The previous shooting targeting a US president or major party candidate was the 1981 incident targeting then-US president Ronald Reagan Saturday’s shooting at former US president Donald Trump’s election rally raises his odds of winning back the White House, and trades betting on his victory would increase this coming week, investors said yesterday. Trump was shot in the ear during the rally in Pennsylvania on Saturday in what the authorities were treating as an assassination attempt. Trump, his face spattered with blood, pumped his fist moments after the attack, and his campaign said he was fine after the incident. Before the shooting, markets had reacted to the prospect of a Trump presidency by pushing the US dollar higher and positioning for a
EXPECTATIONS: The firm, which is on track to outpace global foundry industry revenue growth, said it expects constrained advanced process capacity amid stronger AI demand Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday increased its projected revenue growth for this year to above 25 percent, as stronger-than-expected demand for premium smartphones and artificial intelligence (AI) devices are to drive greater utilization of cutting-edge 3-nanometer and 5-nanometer chips. In April TSMC estimated 21 to 24 percent annual growth. The firm’s revenue growth is on track to greatly outpace the global foundry industry, which is expected to rise about 10 percent this year. “Over the past three months, we have observed stronger AI and high-end smartphone demand from our customers, which is to boost the overall capacity utilization for our leading-edge
INVESTMENT: The company’s planned complex in Texas would be the first 12-inch silicon wafer fab built in the US in more than 20 years, a GlobalWafers official said GlobalWafers Co (環球晶圓), the world’s No. 3 silicon wafer supplier, yesterday said it secured up to US$400 million in direct funding from the US Department of Commerce under the CHIPS and Science Act for the construction of two new advanced fabs in the US. Its subsidiaries GlobalWafers America and MEMC LLC are to build a 12-inch silicon wafer fab in Sherman, Texas, and another one in Missouri to produce silicon-on-insulator (SOI) wafers used to make leading-edge chips. “With the support of the [US President Joe] Biden Administration, we are honored to be bringing to American shores the world’s most cutting-edge 12-inch semiconductor