Listed companies reported record profits from their Chinese and overseas investments in the first quarter, thanks to rising demand for work-from-home products, the Financial Supervisory Commission (FSC) said on Tuesday.
During the first three months of the year, listed companies posted a combined profit of NT$107.5 billion (US$3.87 billion) from their investments in China, up 361 percent from a year earlier and the highest for the period, the FSC said.
The commission attributed the increase primarily to contributions by electronics firms — which reported combined profits of NT$35.6 billion last quarter, up from NT$9.3 billion a year earlier — and petrochemical firms — which earned NT$11.9 billion, compared with a loss of NT$1.1 billion a year earlier.
However, 10 listed companies closed their units in China, the most in the past decade for the first quarter, the commission said.
As of the end of March, listed companies’ combined investments in China totaled NT$2.53 trillion, up NT$18.9 billion from a quarter earlier, as several computer and electronics firms expanded their operations there, it said.
Excluding China, listed companies reported a combined profit of NT$268.8 billion on their overseas investments, compared with NT$37.7 billion a year earlier, FSC data showed.
Container shipping companies contributed the most, as robust freight rates increased their profits to NT$67.8 billion in the quarter, up from NT$500 million a year earlier, the commission said.
Accumulated overseas investments totaled NT$6.87 trillion as of the end of March, an increase of NT$68.8 billion from a quarter earlier, FSC data showed.
Major PC vendors expect a shortage of key components to last another 12 months until the second quarter of next year, when PC demand wanes after two years of robust expansion, a UBS analyst said yesterday. Concern has risen among investors that PC demand could weaken as the US and European economies reopen from COVID-19 lockdowns and gradually return to in-person business activities. At the annual Taiwan Conference that began on Monday, UBS analysts said they had similar discussions with companies in PC supply chains, and the feedback from major PC vendors indicated that demand remained quite strong on the back of
Taiwan and China are to build more new high-volume semiconductor fabrication plants this year and next year than any other country, together contributing more than half of all new fabs in the world by constructing eight each, SEMI said in a quarterly report yesterday. Global chipmakers are to start building 19 new high-volume fabs by the end of this year and another 10 next year to meet accelerating demand for chips from the communications, computing, healthcare, online services and automotive sectors, SEMI, an association that represents the global semiconductor sector, said in its quarterly report. “Equipment spending for these 29 fabs is
MOVING ON UP: Taiwan improved in all four areas measured by the IMD, making its biggest leap, from 17th to sixth place, in economic performance Taiwan moved up three spots from last year to place eighth, its best performance since 2013, in the latest annual world competitiveness rankings, released yesterday by the International Institute for Management Development (IMD). Innovation, digitalization, welfare benefits and social cohesion are critical to economic performance, with Switzerland, Sweden, Denmark, the Netherlands and Singapore making up the top five on the list this year, the Switzerland-based institute said, after grading 64 countries and regions based on economic performance, infrastructure, and government and business efficiency. “Leading performers are characterized by varying degrees of investment in innovation, diversified economic activities and supportive public policy,” IMD
‘MATTER OF SURVIVAL’: Vice Premier Liu He is to lead the development of ‘third-generation’ chips, a field not yet dominated by any nation or company Chinese President Xi Jinping (習近平) is renewing his years-long push to achieve technology self-sufficiency by tapping a top deputy to shepherd a key initiative aimed at helping domestic chipmakers overcome US sanctions. Chinese Vice Premier Liu He (劉鶴), Xi’s economic czar whose sprawling portfolio spans trade to finance and technology, has been tapped to spearhead the development of so-called “third-generation” chip development and capabilities, and is leading the formulation of a series of financial and policy supports for the technology, people with knowledge of the matter said. It is a nascent field that relies on newer materials and gear beyond traditional silicon,