Slower Tokyo core inflation no bar to further BOJ hikesReuters, TOKYOCore consumer inflation in Japan’s capital slowed in December with moderating cost pressure for food but stayed above the central bank’s 2 percent target, data showed yesterday, firming the case for further interest rate hikes. Some analysts warn of risk that renewed yen declines could prod firms to keep raising prices, leading to sticky, cost-led inflation that could quicken the pace of BOJ rate hikes. Photo: EPA“Today’s data suggests food inflation may be peaking. “The pace and timing of BOJ rate hikes will depend much on how the yen moves and how they affect firms’ price-setting behavior,” he said. With core inflation exceeding the BOJ’s target for about four years, Governor Kazuo Ueda has signaled the BOJ’s readiness to keep raising rates if the economy continues to improve, backed by solid wage gains.

Small and medium enterprises enjoy record growthBy Meryl Kao / Staff ReporterTaiwan’s small and medium-sized enterprises (SMEs) last year reached record highs in quantity and employment, continuing their steady growth trajectory, an annual white paper released by the Ministry of Economic Affairs showed yesterday. The number of SMEs rose to 1.72 million last year, up 2.48 percent year-on-year, Small and Medium Enterprise and Startup Administration Secretary-General Jia-jin Lee (李佳瑾) said at a press conference to release the white paper. SME and Startup Administration Secretary-General Jia-jin Lee, second right, attends a press conference for the Ministry of Economic Affairs’ annual white paper in Taipei yesterday. Domestic sales accounted for 90.27 percent of SMEs’ total sales last year, while export sales made up 9.73 percent, indicating that domestic demand remains a key growth driver for these enterprises, she said. The ministry offered credit guarantees for loans to SMEs that raised wages, with a cap of NT$35 million per borrower, Lee said.

Nvidia reaches tech deal with GroqAI TALENT: No financial details were released about the deal, in which top Groq executives, including its CEO, would join Nvidia to help advance the technology Nvidia Corp has agreed to a licensing deal with artificial intelligence (AI) start-up Groq, furthering its investments in companies connected to the AI boom and gaining the right to add a new type of technology to its products. The world’s largest publicly traded company has paid for the right to use Groq’s technology and is to integrate its chip design into future products. Some of the start-up’s executives are leaving to join Nvidia to help with that effort, the companies said. Groq would continue as an independent company with a new chief executive, it said on Wednesday in a post on its Web

Packers clinch playoff spot after Lions defeatedAFP, WASHINGTONThe Green Bay Packers on Thursday advanced to the NFL playoffs without stepping onto the field, clinching a post-season berth when the Detroit Lions lost 23-10 at Minnesota. Green Bay accepted the Christmas gift of a third consecutive playoff appearance and sixth in seven years. Photo: AFP“Can’t turn the ball over six times and expect to win,” Lions coach Dan Campbell said. Bo Nix ran nine yards for a Denver touchdown, but Butker’s 47-yard field goal tied the game at 13-13. Nix flipped a one-yard touchdown toss to R.J. Harvey with 1:45 remaining to give Denver the final victory margin.

From left, the curry chicken, beef meatball and original banh mi at Hoi An Banh Mi. Owner Huang holds the curry chicken banh mi at Hoi An Banh Mi. From left, the curry chicken banh mi and the beef meatball banh mi. Photo: Hollie Younger, Taipei TimesService with a smile is a given here. Photo: Hollie Younger, Taipei Times

Caracas frees 99 political prisoners on ChristmasAFP, CARACASVenezuela released 99 prisoners on Christmas, with the government calling it a goodwill gesture, as it assesses arrests made after President Nicolas Maduro’s re-election. A man holds a candle and a sign asking for the release of his brother, during a vigil demanding freedom for political prisoners in Caracas on Aug. 8 last year. In Venezuela, there are at least 902 political prisoners, human rights organization Foro Penal said. The ministry’s statement confirmed an earlier report about the Christmas Day releases from the Committee for the Freedom of Political Prisoners, an advocacy group made up of rights activists and relatives of political prisoners. Caracas denies the allegations, saying Washington is seeking to overthrow Maduro and seize Venezuela’s oil reserves, the largest in the world.

Thailand escalating strikes: CambodiaFIGHTING CONTINUES: Thai military dropped 40 bombs on border areas, Cambodia said, while Bangkok said Phnom Penh launched heavy attacks and damaged homesAFP, PHNOM PENHCambodia yesterday accused Thailand of intensifying its bombardment of disputed border areas, even as officials from the two countries attend a multi-day meeting aimed at negotiating an end to deadly clashes. The neighbors’ long-standing border conflict reignited this month, shattering an earlier truce and killing more than 40 people, according to official counts. Photo: ReutersHowever, the Cambodian Ministry of National Defense said Thailand’s military carried out a heavy bombardment of disputed border areas in Banteay Meanchey Province yesterday morning. The two countries blame each other for instigating the fresh fighting, which has spread to nearly every province along their border. The US, China and Malaysia brokered a truce to end five days of deadly clashes in July, but the ceasefire was short-lived.

MediaTek aims to shape the future of intelligent mobility and enable rapid deployment of advanced driver-assistance systems across global markets through its partnership with Denso, the company said. The partnership with Denso is the first ASIC project from an auto client, based on the announcements made by MediaTek so far. MediaTek has said it is developing a chip for a cloud service provider (CSP), the first ASIC project secured by the company. MediaTek expected the company’s first ASIC project to generate US$1 billion in revenue next year and to contribute billions of US dollars in 2027, making the data center ASICs one of the company’s incremental revenue contributors. Other ASIC projects should contribute revenue from 2028 and beyond, MediaTek told investors.

Japanese government increasing high-tech investmentBloombergJapan’s Ministry of Economy, Trade and Industry is set to nearly quadruple its budget for supporting cutting-edge semiconductors and artificial intelligence (AI) development to about ￥1.23 trillion (US$7.9 billion) for the fiscal year starting in April. After Japanese Prime Minister Sanae Takaichi’s Cabinet signed off on it yesterday, the government’s budget plan would be discussed in parliament in the new year. For semiconductors, the ministry has earmarked ￥150 billion for state-backed chip venture Rapidus Corp, bringing cumulative government investment in the venture to ￥250 billion. For AI, ￥387.3 billion is budgeted for the development of domestic foundation AI models, strengthening data infrastructure and “physical AI” where AI controls robots and machinery. Special bonds of ￥1.78 trillion will be issued to help state-backed Nippon Export and Investment Insurance support Japanese investment into the US as part of the two countries’ trade agreement.

Overall manufacturing conditions improved as demand for AI, high-performance computing and cloud services continued to underpin orders, said Gordon Sun (孫明德), director of TIER’s Economic Forecasting Center. Taiwan Institute of Economic Research’s Economic Forecasting Center Director Gordon Sun, second left, attends a news conference in Taipei yesterday. Photo courtesy of the Taiwan Institute of Economic ResearchHe cautioned that non-AI industries remain under pressure from weak global demand and intense competition from overseas. Manufacturers have gradually shaken off tariff-related disruptions and policy uncertainty this quarter, Sun said, adding that optimism for next year is building. Wholesalers benefited from stronger restocking activity by downstream clients, a weaker New Taiwan dollar and improving overseas demand, TIER said.

Court convicts ex-Malaysian PM in 1MDB scandal‘NO COUNTRY BUMPKIN’: The judge rejected arguments that former prime minister Najib Razak was an unwitting victim, saying Najib took steps to protect his positionAP, PUTRAJAYA, MalaysiaImprisoned former Malaysian prime minister Najib Razak was yesterday convicted, following a corruption trial tied to multibillion-dollar looting of the 1Malaysia Development Berhad (1MDB) state investment fund. Former Malaysian prime minister Najib Razak, center, is escorted by prison officers at the Kuala Lumpur High Court complex in Malaysia on Oct. 30 last year. Najib is serving a prison sentence after being convicted in an earlier case linked to the 1MDB scandal, which led to his government’s defeat in 2018. He chaired its advisory board and held veto power as minister of finance while serving as prime minister. The scandal also hit Wall Street, with Goldman Sachs facing billions in fines for its role in raising money for 1MDB.

Taiwan’s Hsu signs for HawksTHREE-YEAR DEAL: The Hawks said that Hsu Jo-hsi’s addition to the team was a ‘very good Christmas gift’ and they are sure they can help him realize his potentialStaff writer, with CNATaiwanese pitcher Hsu Jo-hsi has joined the Fukuoka SoftBank Hawks, the Nippon Professional Baseball (NPB) champions, on a three-year contract. Fukuoka SoftBank Hawks chief baseball officer Kenji Johjima, left, presents Hsu Jo-hsi with a cap at a news conference in Taipei yesterday. Hsu declared international free agency in late October and was pursued by several teams in both the NPB and Major League Baseball. At yesterday’s news conference, Hsu said that during a visit to the Hawks’ facilities, he was deeply impressed by the organization’s comprehensive resources. Hawks chief baseball officer Kenji Johjima said that Hsu would be given ample time to adjust to his new environment during his first season and would not be rushed into heavy usage.

Australia lead England by 46 after 20 wickets fallAFP, MELBOURNEAn astounding 20 wickets fell on a frantic first day of the fourth Ashes Test yesterday, with Australia all out for 152 before storming back to dismiss England for 110 and leave the clash on a knife-edge. England’s Gus Atkinson, left, attempts a ramp shot past Australia wicketkeeper Alex Carey on the first day of the fourth Ashes Test at the Melbourne Cricket Ground in Australia yesterday. Australia were 4-0 at the close with Boland on 4, 46 ahead, with Head yet to face a ball. Zak Crawley was taken in the slips by Steve Smith off Starc four balls later, then Joe Root edged Neser to Carey to put England into free fall. Steve Smith and Usman Khawaja began to stabilize the innings before Tongue struck again to bowl the Australia captain for 9 and leave England in charge.

Spurs extend their domination of ThunderAFP, NEW YORKReigning champions Oklahoma City have the NBA’s best record, but they cannot beat San Antonio, with superstar Victor Wembanyama coming off the bench on Thursday to help lift the Spurs to an emphatic 117-102 victory. “It feels great getting another victory.”Victor Wembanyama of the San Antonio Spurs, top, dunks against the Oklahoma City Thunder in their NBA game in Oklahoma City, Oklahoma, on Thursday. Photo: Alonzo Adams-Imagn ImagesAfter roaring to a 24-1 start, the Thunder have dropped four of their past six games — three of those losses coming to the Spurs. Amen Thompson of the Houston Rockets, top, dunks against the Los Angeles Lakers in their NBA game in Los Angeles, California, on Thursday. The Spurs improved to 23-7, second in the Western Conference behind the Thunder at 26-5.

The bad aspects of the climate situation in 2025Reducing pollutants might be generating bigger storms and central bank policies might be harming long-term investments in renewablesBy David Fickling / Bloomberg OpinionIt might have seemed that every piece of bad news for the global climate and energy transition this year had some sort of connection to US President Donald Trump. With fewer of them about, more sunlight reaches the ground to warm the planet and storms can become more violent. The International Energy Agency in September downgraded its estimate for potential 2030 green hydrogen capacity by about one-quarter to 37 million tonnes. ‧ Indian Coal Is Back: After years in the doldrums, India’s coal power sector looked to be in much more rude health. Do not celebrate too soon: The Indian government is planning to increase its coal generation fleet by nearly 50 percent by 2035.