Saturday, September 29, 2012

Round up: One Third of Taiwan firms in China Kaput?

Taipei rush hour traffic insanity.

China Post posts:
Taiwan's intelligence chief yesterday warned that one in every three Taiwanese companies based in China are facing closure this year due to rapidly decreasing profits, a media reports said.

Another 30 percent of Taiwanese firms are also “struggling” in China, Tsai Der-sheng, head of the National Security Bureau, told a parliamentary session without giving details, the United Evening News reported.

“There is both risk and opportunity to invest in China. However, we can not deny the benefits of economic exchanges between Taiwan and China despite the growing risks,” he was quoted by Taiwanese news radio BCC as saying.
Several articles were also pointing out that as China's demand falls, so will world commodity prices (for example). At home labor is furious that the minimum wage was not raised while this week 100,000 teachers also carried out a variety of protests aimed at the government for not carrying out its promises. At least some overseas firms are reinvesting back home. Fortunately and surprisingly manufacturing seems to in a cyclical upswing, reports the government. With firms like Apple and Amazon rolling out new products, Taiwan's makers could remain solid for the rest of the year, pulling the economy up a little. The ban on sales of government land will remain in force except for case by case decisions. Meaning that sweetheart deals can still be available....
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