GDP growth forecast cut, expected to slow furtherDECLINING TRADE: Exports are forecast to grow only 2.28 percent next year, with trade data worsening quarter by quarter as inflation is tamed, a researcher saidBy Crystal Hsu / Staff reporterThe Chung-Hua Institution for Economic Research (CIER, 中華經濟研究院) yesterday cut its forecast for GDP growth this year to 3.28 percent from 3.56 percent, and expects the pace to slow further to 2.81 percent next year as downside risks heighten at home and abroad. The Taipei-based institute blamed the downward revisions on stubbornly high global inflation and drastic monetary tightening that weakened demand for Taiwanese exports. “Despite the slowdown, Taiwan should register GDP growth of 3 percent for four straight years, which is pretty good,” CIER president Chang Chuang-chang (張傳章) said. DGBAS Minister Chu Tzer-ming (朱澤民) told lawmakers yesterday that the agency would likely need to trim this year’s growth forecast due to disappointing exports. A weak New Taiwan dollar is favorable for exports, but would intensify imported inflation and capital outflows, he said.

Taiwan, US mum on reported arms production planStaff writer, with CNATaiwan and the US have remained tight-lipped about a reported plan to jointly produce weapons that would increase the production of US-designed arms and accelerate their transfer to Taipei. The non-profit US-Taiwan Business Council on Wednesday told Reuters that the idea was in the early planning stages. Initial discussions on the matter focused on whether to allow US defense companies to provide weapons technology to manufacturers in Taiwan, or to produce the arms in the US using Taiwan-made parts, Nikkei Asia said. In Taipei, the Ministry of Foreign Affairs (MOFA) and the Ministry of National Defense yesterday declined to comment on the news reports. MOFA spokeswoman Joanne Ou (歐江安) said that the US government, across party lines, maintains close cooperation with Taiwan to bolster Taiwan’s self-defense and asymmetrical warfare capabilities through arms sales.

Export orders from China last month contracted by 28 percent annually to US$11.55 billion, as Beijing’s “zero COVID” policy hurt the world’s second-largest economy and curtailed Chinese consumer spending, the ministry said. Taiwan’s exports last quarter contracted 1.1 percent year-on-year to US$169.78 billion from US$171.71 billion, ending nine consecutive quarters of expansions. Photo: CNAThe fourth quarter is expected to have a weak start, as export orders are forecast to drop at an annual rate of between 1 percent and 3.6 percent, or US$57 billion and US$58.5 billion, the ministry said. The US’ latest semiconductor export controls on China should have limited effect on local companies based on its preliminary assessment, it said. Orders for base metals dipped 31 percent year-on-year and 6.1 percent monthly to US$2.23 billion last month, amid soft demand for steel products worldwide, the data showed.

Ko to meet with firebrand Miaoli County speakerBy Jason Pan / Staff reporterMiaoli County Council Speaker Chung Tung-chin (鍾東錦) yesterday said that he would meet with Taipei City Mayor Ko Wen-je (柯文哲) today, a move seen by some as an attempt by Ko to form an alliance to benefit his Taiwan People’s Party (TPP). Chung, a long-time member of the Chinese Nationalist Party (KMT) who is running for Miaoli County commissioner as an independent, said that he would meet with Ko, who is TPP chairman, to discuss and exchange views on local governance. From left, Democratic Progressive Party (DPP) Legislator Michelle Lin, DPP Miaoli County commissioner candidate Hsu Ting-chen, DPP caucus whip Lo Chih-cheng, DPP Legislator Hung Sun-han and DPP Legislator Shen Fa-hui hold a news conference at the Legislative Yuan in Taipei yesterday. He registered as an independent in June after losing a bid for the party’s nomination to Hsieh Fu-hung (謝福弘), director of the KMT’s Miaoli County office. With Ko’s visit, Chung’s Miaoli County commissioner campaign has aligned the forces of “black and white,” she said.

Institute president Cho Cheng-hung (卓政宏) told a legislative session that Kao contravened internal rules when she studied in a doctoral program in the US while continuing to receive her salary from the institute. Institute for Information Industry president Cho Cheng-hung poses for a photograph at the institute on May 19. Cho said Kao also contravened labor laws when she took up a part-time position at Taipei-based Servtech Co while working at the institute. Kao from 2012 to 2014 took 500 days of paid leave during her studies, while also receiving a subsidies, Cho said. Rival Hsinchu mayoral candidates yesterday urged Kao to face the allegations, saying that she has been dodging questions at campaign events.

Hon Hai unveils two new electric vehicle prototypesBy Lisa Wang / Staff reporterHon Hai Precision Industry Co (鴻海精密) yesterday added two new electric vehicle (EV) prototypes to its fleet, paving the way for the commercial production of the Model V and Model B in the US and Thailand in 2024. Hon Hai Precision Industry Co chairman Young Liu, center, and founder Terry Gou, right, pose at a media briefing following the launch of new electric vehicle prototypes in Taipei yesterday. Asked about shipments from Hon Hai and Tesla Inc, Liu said Hon Hai hopes to one day produce EVs for the US-based automaker. Tesla is an electric vehicle brand, while Hon Hai provides electric vehicle design and manufacturing services on a contractual basis, he said. Hon Hai expects to complete customers’ certification for its SiC chips next year before shipping, he added.

Eswatini’s King Mswati III to visit Taiwan tomorrowStaff writer, with CNAKing Mswati III of Eswatini, the nation’s only diplomatic ally in Africa, is tomorrow arriving in Taiwan on his 18th visit to the nation, but his first since the COVID-19 pandemic began, the Ministry of Foreign Affairs said yesterday. President Tsai Ing-wen (蔡英文) is to welcome King Mswati III with a military salute and host a state banquet, and the king and his delegation are to meet with Minister of Foreign Affairs Joseph Wu (吳釗燮), the ministry said in a statement. President Tsai Ing-wen, center left, and King Mswati III of Eswatini, center right, are welcomed by a military salute in front of the Presidential Office Building in Taipei during the king’s last visit to Taiwan on June 8, 2018. Other activities scheduled are a visit to the Taoyuan refinery of state-run oil company CPC Corp, Taiwan and a meeting with Swazi students in Taiwan, the ministry said. The visit marks King Mswati III’s 18th trip to Taiwan since taking the throne in 1986.

NTU Hospital touts its training center for robotic surgeryBy Lee I-chia / Staff reporterNational Taiwan University Hospital (NTUH) yesterday unveiled its International Robotic Surgery Training Center, as it celebrated more than 5,000 robotic surgeries in the past 10 years, touting the smaller incisions, less pain and shorter recovery periods for such operations. The number of robotic surgeries at the hospital has risen over the years and its specialist teams have developed innovative robotic surgery procedures, some of which were global firsts, Wu said. The International Robotic Surgery Training Center offers training with instruction from a comprehensive variety of specialties, which would allow surgeons in Taiwan to learn the techniques without having to travel abroad, he said. However, robotic surgery — which involved a small incision at her hairline — removed the benign tumor and left a scar that was barely visible, she said. A woman in her 30s surnamed Shi (史) donated part of her liver via robotic surgery nine years ago, Wu Yao-ming said.

Offshore wind power leaping forward: officialsBy Crystal Hsu / Staff reporterTaiwan would make rapid headway in the development of offshore wind energy with the installation of 157 wind turbines by the end of this year, government officials said yesterday. Taiwan’s second-phase wind energy plan is under way, Vice Premier Shen Jong-chin (沈榮津) told a forum on offshore wind energy organized by the European Chamber of Commerce Taiwan (ECCT) and the Global Wind Energy Council. Minister of Economic Affairs Wang Mei-hua speaks on the sidelines of the Global Offshore Wind Summit in Taipei yesterday. Photo: Liao Chia-ning, Taipei TimesThe development of offshore wind energy is part of Taiwan’s efforts to achieve net zero carbon emissions by 2050, he added. Although significant progress has been made in Taiwan’s offshore wind market in the development of port infrastructure, supply chain localization and the installation of offshore wind turbines, “there are always challenges to overcome, with such opportunities in a new market,” Izzo said.

Officials probe alleged vote-buying as prosecutor calls for whistle-blowersBy Jason Pan / Staff reporterJudicial authorities have over the past few days carried out searches and questioned suspects over alleged election irregularities in Keelung and Hsinchu City, as well as Chiayi, Pingtung and Yunlin counties. In Keelung, prosecutors were investigating a complaint that a borough warden candidate surnamed Lin (林) had been allegedly handing out NT$1,000 to people in exchange for their votes. Separately, the nation’s top judicial officials have ordered district prosecutors’ offices nationwide to set up contact centers to monitor election irregularities. The contact centers would be open around the clock for people to report vote-buying and other suspected illegal activities. The government is to hand out financial rewards of up to NT$10 million to whistle-blowers, depending on the scope of vote-buying, Lin said.

Hon Hai, Vedanta plant could be running in 2025Staff writer with CNA, NEW DELHIA joint venture by Hon Hai Precision Industry Co (鴻海精密) and India’s Vedanta Ltd to build a semiconductor plant in Gujarat state, India, could start producing 12-inch wafers using the 28-nanometer process in 2025, a Vedanta executive said on Sunday. Akarsh Hebbar, Vedanta’s global managing director of display and semiconductor business, on Sunday offered new details on what the project would entail. Chen Lu-tao, an official at Hon Hai Precision Industry Co’s operations in Chennai, India, left, and Akarsh Hebbar, Vedanta Ltd’s global managing director of display and semiconductor business, pose for a photograph in New Delhi on Sunday. Photo: CNAThe companies are looking at Dholera, where they are close to finalizing a 162-hectare plot for the plant, Hebbar said. Media reports last month said that Hon Hai, known internationally as Foxconn Technology Group (富士康科技集團), would act as a technical partner, while funding would come mainly from Vedanta, a mining conglomerate that has recently sought to diversify into chip manufacturing.

The ‘avenger of evil’ in TaiwanThe yearly Durga Puja held by the Indian community in Taiwan demonstrates the deepening cultural ties between the two nationsBy Rup Narayan Das / Contributing WriterThe celebration of Durga Puja in the New Taipei City Library in Sijhih District (汐止) early this month shows once again the deepening cultural and educational ties between Taiwan and India. Illustrating the deepening ties, Sujeet Kumar, an Indian member of parliament and Taiwan enthusiast, also attended the festival, which had extra significance due to it being recognized for its cultural value by the UN. Photo courtesy of Nandana BiswassDurga is an important Hindu goddess and is worshiped as the symbol of the triumph of good over evil. The relationship between civil society and coverage in the media both in India and Taiwan also raised awareness among the people and empathy for each other has grown phenomenally. Rup Narayan Das is a Taiwan Fellow at National Chung-Hsing University and author of the book ‘Hong Kong Conundrum: Pangs of Transition.’

Hounded at home, China’s video game companies welcomed across EuropeAFP, PARISChina is investing billions in Europe’s video game industry, but analysts have warned that there could be trouble along the road unless regulators start to take stricter notice. Europe is embroiled in long-running disputes with Beijing over trade, environment, education, raw materials and intellectual property — but so far video games are not part of the fight. As Beijing tightens up on the video game industry at home, China’s tech giants are looking to make investments overseas — prompting concerns ranging from data security to limits on creative freedom. The Chinese government has identified video games as a potential threat not only to state power, but also to the well-being of citizens. As those foreign companies were unlikely to find any other way into China, they welcomed the investment and new revenue streams.

Foreign brokerages mixed on TSMCWEAK DEMAND: European and US brokerages warned of uncertainties for the firm, while a Japanese brokerage said that TSMC would continue to outperform its peersStaff writer, with CNAForeign brokerages gave mixed reactions after Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) cut its capital expenditure budget for this year by about 10 to 18 percent, due to short-term market uncertainty. TSMC during an investors’ conference on Thursday reduced its capital expenditure forecast to US$36 billion from an earlier estimate of US$40 billion to US$44 billion. Separately, the US International Trade Commission on Friday said that it would investigate TSMC over accusations that it infringed on patents held by New York-based Daedalus Prime LLC. Intel Corp developed the patents in question, which Daedalus Prime then obtained, the reports said. The agency is also investigating patent infringement claims made by Daedalus Prime against Mercedes-Benz USA LLC, NXP USA Inc and Avnet Inc.

Xi’s warning on Taiwan intended for US: experts‘UNSTABLE RELATIONS’: Beijing perceives challenges surrounding Taiwan as being inseparably related to its strategic competition with the US, a local professor saidBy Chen Yu-fu and William Hetherington / Staff reporter, with staff writer and CNAChinese President Xi Jinping’s (習近平) remarks about Taiwan at the Chinese Communist Party’s (CCP) 20th National Congress yesterday were intended as a warning to the US, Taiwanese academics said. Xi’s comments were meant to draw a red line around Taiwan for the US’ awareness and to serve as a warning to Washington, he said. Beijing sees the issue of Taiwan as being inseparably related to its strategic competition with the US, Wang said. “This shows that Taiwan is no longer seeing the issue of Taiwan as being only about the cross-strait relationship. For Beijing, the Taiwan issue is now embedded in the US-China relationship,” he said.