TAIPEI: Taiwan stocks opened flat for the second consecutive session, though HTC gained 2 percent in early trading after introducing two smartphone models running Microsofts Windows Phone 8 software.
The main TAIEX index fell 0.1 point to 7,781.81 at the open, after closing up 0.62 percent in the previous session.
Electronics shares were flat. Hon Hai slipped 0.21 percent. It said it will invest around $ 500 million to set up a new production complex in Brazil.
HTC Corp. said the new devices would be available in November through multiple wireless service providers around the world.
The two brightly colored phones — the Windows Phone 8X and the Windows Phone 8S — will pit HTC directly against key Microsoft partner Nokia, which earlier this month also launched two colorful Windows phone models.
Like Nokia, HTC is under a lot of pressure to generate strong sales from its next round of smartphones as it has lost significant ground to Samsung Electronics and Apple Inc.
With Apple boasting 2 million pre-orders of its latest iPhone before it hits store shelves on Sept. 21, Reticle Research analyst Ross Rubin said, it’s going to be challenging for HTC to catch up.
However, HTC, which has generated most of its sales from phones based on Google Inc’s Android software in recent years, will be able to count on marketing help from Microsoft.
The new devices will be marketed as the “signature” Windows Phone 8 smartphones, Jason Mackenzie, HTC’s global head of sales, told attendees at the company’s New York launch event, where Microsoft Chief Executive Steve Ballmer also came on stage.
“Consumers are going to love these phones, and we’re committed to reaching them in a manner that’s clear and direct,” Ballmer said.
The success of HTC and Nokia Windows Phone 8 devices this holiday shopping season will be crucial to Microsoft, which has been left far behind by Apple and Google in the smartphone software market in the last several years.
Gartner analyst Michael Gartenberg said HTC and Nokia were smart to distinguish the appearance of their devices from iPhone with bright colors as it could make them stand out to customers who want an iPhone alternative.
“The best thing about these device ranges is that neither looks like an iPhone,” said Gartenberg, who added that competition between Nokia and HTC will also help to generate some publicity around Windows Phone 8 software.
Taiwan’s HTC was able to share more signs of success at its device launch event in New York than did Nokia at its phone launch here earlier this month.
While Nokia did not name any customers for its latest Lumia phones, HTC said that together its two new phones would go on sale at 150 operators in 50 countries around the world.
For example it said that either the X8 or the XS will go on sale at three of the top four US mobile operators — Verizon Wireless, AT&T Inc. and T-Mobile USA.
Until now, HTC has been betting on its One series of phones, but so far this year sales of those phones have failed to keep pace with the Apple’s iPhone and Samsung’s Galaxy range.
Up to the second half of 2011, when it suffered a sharp decline in its fortunes, HTC, a former contract smartphone maker, had build a strong brand around the world with phones based on Android software.
HTC saw its profit more than halve in the second quarter from a year ago. It also warned of a revenue decline of as much as 23 percent in the third quarter from the previous three months due to macro softness and competition.
The smartphone maker is set to announce third-quarter results on Oct 5.
HTC shares rise after new Windows phone launch
HTC shares rise after new Windows phone launch
Up to $600m in additional tariffs on Saudi exports to the US
RIYADH: Gulf exports have become targets of US President Donald Trump’s tariffs, which he raised from 10 percent to 15 percent on all countries.
The increase comes after the US Supreme Court ruled that the legal basis Trump had used to impose earlier tariffs was unlawful.
Previously, Gulf countries were among the few that had not raised their tariffs above 10 percent, while many other countries, most notably China, had already been subject to higher tariffs. However, with this latest increase, the Gulf states will be among those affected.
According to the financial analysis unit of Al-Eqtisadiah newspaper, Gulf exports to the US in 2024 amounted to about $26.2 billion, with Saudi Arabia accounting for roughly half of that, at $12.7 billion. These exports are subject to potential additional tariffs of SR637 million ($169 million).
It is likely that tariffs on Saudi exports will grow from $1.3 billion annually to $1.9 billion, a rise of 50 percent, following Trump’s recent increase.
Customs duties on Gulf exports will also increase, from $2.6 billion annually to $3.9 billion.
In 2024, Gulf exports are distributed as follows: $7.5 billion from the UAE, $1.8 billion from Qatar, and $1.6 billion from Kuwait, as well as $1.3 billion from Oman, and finally, $1.2 billion from Bahrain.
Gulf trade with the US in 2024 reached approximately $86 billion, comprised of $26.2 billion in exports and approximately $60 billion in imports, resulting in a Gulf trade deficit of $33.5 billion.
Trump responds to Supreme Court ruling
US President Donald Trump raised the global tariffs from 10 percent to 15 percent in response to the US Supreme Court ruling that his previous tariff implementation mechanism was unlawful.
Trump said in a post on his Truth Social account today: “As President of the US, I will, effective immediately, raise the global tariffs imposed on countries that have been taking advantage of the US for decades with impunity (until I took over!) to the legally permitted and tested level of 15 percent.”
Hours after the Supreme Court ruling on Feb. 20, Trump imposed a 10 percent global tariff on foreign goods, a move aimed at maintaining his trade agenda.
Trump had expressed his displeasure with the Supreme Court’s decision to overturn the tariffs imposed by his administration, asserting that the ruling would not restrict him. He vowed to impose tariffs far exceeding those struck down by the court, indicating that he had stronger alternatives to tariffs, raising questions about his future trade strategy.
The US Supreme Court struck down Trump’s sweeping global tariffs, undermining his signature economic policy and inflicting his biggest legal defeat since returning to the White House.
By a six-three vote, the court ruled that Trump exceeded his authority by invoking the federal emergency powers law to impose his reciprocal tariffs worldwide, in addition to targeted import duties that the administration claims are intended to combat fentanyl smuggling.
