Samsung SDI

MNCs in the News-2020-04-03

Shanghai touts the signing of USD $16 billion in foreign direct investment (FDI) deals as well as a new investment platform. China’s Ministry of Commerce (MOFCOM) will move to open the oil and gas industry chain in East China’s Zhejiang Pilot Free Trade Zone (FTZ) to, among other things, bring in strategic FDI. Senior managers at the Gwadar Port in Pakistan state the coronavirus has not had a serious negative effect on the port’s operations. Hungarian government moves to classify details of loan to finance Budapest-Belgrade rail project, arguing it would help it secure the loan. The production of Japanese automakers in China plummets in February and global output likely to drop due to factory shutdowns in the United States (US) and Europe. Asashi Group (Japan) has received approved from Australian competition authorities to complete its purchase of Australia’s Carlton & United Breweries subject to certain divestitures. Korea’s HDC Hyundai Development Co. acquisition of Asiana Airlines slowed due to delays in competition authority review work resulting from the coronavirus. Korean battery manufacturers in China to benefit from Beijing’s extension of electric vehicle (EV) battery subsidies because they include foreign battery makers.

MNCs in the News-2019-11-08

China’s Ministry of Justice promulgates draft implementation rules for the country’s new foreign direct investment (FDI) law which contains a lot of positive news regarding intellectual property rights (IPR) and trade secrets. China rejects European Chamber of Commerce claims about the possibility of “promise fatigue.” China’s State Council issues 20 opinions with a strong emphasis on breaking down foreign entry and operating barriers in the banking, securities, and fund management sectors. Consultancy reports that China’s mergers and acquisitions (M&A) activity jumped in 3rd quarter of 2019 versus 2nd, though it remained far under the highs of 2014. Japan’s Fair Trade Commission survey points out a number of internet giant practices that may violate the country’s anti-monopoly law. The United Kingdom’s Brexit is affecting an increasing amount of Japanese there such as by forcing them to develop alternative supply chains. China’s move to end subsidy programs for electric vehicles may give South Korean companies in China new business opportunities. South Korea’s Alliex partners with Vietnam’s Central on cashless payment system in Korea.

MNCs in the News-2018-07-20

BMW and Tesla roll forward in China as government paves the road to greater ownership stakes. Foreign financial institutions banking on increasing role in China’s Belt and Road Initiative (BRI). Cambodia’s Minister of Agriculture, Forestry, and Fisheries opined that Chinese outward foreign direct investment (FDI) in Cambodia’s agricultural sector was bearing substantial fruit for his country. Sumitomo hopes to use agreements with Japanese local government to entice Japanese manufacturers to use rental plant areas at its Vietnamese industrial parks. Takeda optimistic about getting China’s sign-off for USD $62 billion Shire acquisition deal despite concerns of Chinese retaliation over US tariffs. LG Chem plans new battery plant in Nanjing to take advantage of the Chinese government’s electric car incentives, which are expected to disappear by 2020. New investment wave expected to hit Vietnam’s textile and garment industry boosted by Vietnam-South Korea FTA.

MNCs in the News-2018-05-25

China’s State Council moves to spread best practices from China’s Free Trade Zones (FTZs) elsewhere in China. Muji hung out again for its improper treatment of the Taiwan issue. In Beijing, German Chancellor Angela Merkel warns of further potential restrictions on Chinese investment in the absence of reciprocity. Fears of having to disclose details of loans for China-Pakistan Economic Corridor (CPEC) spur Chinese financial institutions to continue to bank on Pakistan. Motivated by forthcoming regulatory changes, Mitsui Sumitomo Insurance Co. to buy 37.5 percent stake in state-backed Chinese life insurer. Nissan and Renault reviewing tie-up driven by French Government. Trump’s cancellation of US-North Korea summit dashes hopes of lifting international sanctions against North Korea and jumpstarting inter-Korean projects. South Korean electric battery firms charged up as China Association of Automobile Manufacturers’ whitelist highlights capabilities of Korean batteries. Chinese investors pledge to continue investing in Malaysia given new government offers conducive business environment and political stability. Foreign investors increasingly concerned about Malaysia’s fiscal health as national debt is far higher than previously revealed.

MNCs in the News-2018-05-04

China’s financial sector opening seems to be bearing fruit in terms of catalyzing applications by foreign firms to enter the China market. China’s liberalization of its aircraft sector giving flight to new opportunities for foreign companies in the aviation industry. In partnership with Irish development authorities, Chinese pharmaceutical firm makes major greenfield investment in Ireland. Chinese accountancy expands in the United Kingdom (UK) to service growing China-UK investment and trade. Hitachi considering Taiwan plant as Asian hub after winning bid for Taiwan Power offshore wind turbines project. Japanese traders competing to expand poultry businesses by importing from abroad after Japanese ministry sanctioned the import of Turkish chicken. Korean battery manufacturers such ramping up investment in China in preparation for the end of Beijing’s electric vehicle subsidy. Following historic summit between the two Koreas began plans for joint development projects and South Korean investment into the North. Arkema and CJ CheilJedang to invest over USD $300 million in Malaysian Kerteh Biopolymer Park as Malaysian, French and Korean authorities jointly promote facility.

MNCs in the News-2018-04-13

Observers believe China’s financial sector liberalization will draw in foreign investors and help internationalize the renminbi. China’s Ministry of Commerce (MOFCOM) expects outward foreign direct investment (FDI) to show good growth for the first quarter of 2018. China “insures” insurance sector will have new openings for foreign investors. Chinese outward FDI in the United States (US) showed massive drop from 2016 to 2017 for various political and economic reasons. Belt and Road Initiative (BRI) mergers and acquisitions (M&A) in 2017 jumps with the Association of Southeast Asian Nations (ASEAN) a favored place for Chinese M&A. Troubled Takata says its acquisition by Key Safety Systems has been completed and the deal has received antitrust and bankruptcy court approvals in several countries. Ghana’s Finance Minister says African countries looking to Japan, among other Asian countries, to tap into abundant investment resources to fund Africa’s development needs. The Chinese government’s latest list of subsidy eligible electric vehicles continues to exclude South Korean battery firms. GM Korea has deadline of April 20th to submit restructuring plans for South Korean operations to government bodies. Malaysia’s Digital Free Trade Zone forecasted to attract over USD $200 million through investments on infrastructure, systems, and equipment over next three years. IHH Healthcare Bhd suggests it would spend up to USD $1.3 billion to acquire India’s Fortis Healthcare Ltd even though India’s fraud commission is investigating the company.

MNCs in the News-2018-02-09

Following the Mercedes-Benz Dalai Lama ad incident, China's Ministry of Foreign Affairs asks foreign firms to follow "basic ground rules." China Banking Regulatory Commission promises steps to make it easier for foreign banks to do renminbi business in China. Google China works to win friends by searching for information about Chinese overseas investment opportunities and overseas brand successes. China's capital control have adversely impacted some Chinese investing in the technology sector in the United States. Nissan to invest USD $9.5 billion in China with JV partner Dongfeng Group as carmaker strives to exploit China's production quotas for EVs. MGM Resorts plans to set up integrated resort in Japan's Osaka Prefecture because it plans to establish tourism facilities. Hyundai finally on track to receive Chinese government subsidy for EVs after switching to Chinese battery manufacturers. Seoul Semiconductor files suit against Mouser Electronics for dispensing products that infringe upon patent held by it. Indonesia's investment board cites "frequent and abrupt changes in regulations" as major cause of foreign investor wariness when investing in Indonesia. UAE business delegation met with Indonesia's Industry Minister for preliminary talks for producing compressed natural gas in Indonesia. Thailand's parliament approves USD $45 billion EEC project to stimulate country's underdeveloped east. Nissan working with alliance partner Mitsubishi and Bangkok to produce electric cars and batteries in Thailand for export abroad. Malaysia expects more Chinese investment in real estate, manufacturing and logistics industries as Belt and Road Initiative funds find their way into the country. State run Saudi Aramco and Malaysia's state-owned Petronas are raising USD $8 billion to begin construction on planned Malaysia refinery and petrochemical complex. Edge Glass Joint Stock Company begins construction of USD $220 million Vietnam glass factory encouraged by favorable local government measures. US tax reforms causes Vietnam to worry about future foreign investment prospects.

MNCs in the News-2017-12-22

China National Development and Reform Commission (NDRC) official says Code of Conduct and Blacklist governing outward foreign direct investment (FDI) by private firms on the horizon. China’s outward FDI (OFDI) Code of Conduct calls for no bribery, environmental impact assessments, and respect for Chinese and host-country rules. Britain’s nuclear regulator approves Hitachi’s plans for advanced boiling water nuclear reactor. Financially troubled, state-backed Japan Display looking to attract over USD $1.8 billion in Chinese investment. Lotte Group shifting investment from China to Indonesia as part of Southern Eastern Policy after domestic Chinese conditions continue to cause company financial difficulties. South Korean and Chinese ministers reach agreement to lift retaliatory measures against Korean battery makers operating in China.

MNCs in the News-2016-11-24

China’s Ministry of Commerce notes that it will continue to welcome and support foreign direct investment (FDI) from the European Union (EU). Very senior Chinese Communist Party official meets with Microsoft CEO and calls for the company to share its technology with China. China’s State Administration for Industry and Commerce imposes almost a $100 million fine on Sweden’s Tetra Pak for abuse of its market position. Qualcomm’s joint venture with the Guizhou provincial government will start to produce China-customized server chips in 2018. I order to enter China, Facebook reportedly is working on a tool that would empower the Chinese government to censor content. The Committee on Foreign Investment in the United States (CFIUS) said it would recommend a Chinese investment consortium not be allowed to purchase Germany’s Aixtron. The U.S.-China Economic and Security Review Commission said Washington should take action to ban China’s state-owned firms from acquiring U.S. companies. Japan’s Itochu Corporation and Electric Power Development Co. Ltd. will provide full support for the construction of a coal-fired Batang power plant in Central Java. Japan and Argentina work to boost Japanese investment in Argentina. New China Ministry of Industry and Information battery production standard will severely limit Korean battery sales in China. China takes adverse actions against Korean financial companies to, it is believed, punish Korea for its acceptance of the THAAD system. Despite uncertainties flowing from the US presidential election result, the Indonesian Investment Coordinating Board still has faith in its investment realization targets. The Indonesia-Japanese investment relationship remains robust. Following on the heels of his efforts to court Chinese investors, Malaysia Prime Minister Najib Razak is lobbying Japanese investors to put money in higher-value added activities in his country. Vietnam welcomes foreign investors to participate in the restructuring of the country’s banking sector. Vietnam pushes for investment in the food processing sector.

MNCs in the News-2016-07-15

China’s State Administration of Taxation has issued new guidelines for evaluating domestic and foreign companies’ tax performance. Under pressure, IKEA agrees to massive recall of Malm products in China. Anhui Jianghuai Automobile Co. stops producing the iEV6s sport utility vehicle featuring Samsung SDI’s batteries because the Chinese government did not approve the Samsung SDI battery possibly to retaliate against South Korea’s decision to accept the THAAD system. American Enterprise Institute analysis finds large percentages of Chinese outward foreign direct investment (FDI) in 2016 are for mergers & acquisitions, by private firms, and going to the US. China to make good on its promise to invest $2.21 billion in European Fund for Strategic Investments. For some, Chinese investments in film sector raise questions about China’s impact on film distribution and content. After Brexit, Japanese car makers forced to revisit the logic of their investments in the United Kingdom. Korea’s Ministry of Environment will impose a series of harsh penalties against Volkswagen for the latter’s fraud regarding noise and gas emission data. Korea’s Fair Trade Commission is likely to impose a nearly $900 million fine on Qualcomm for the latter’s abusive technology licensing practices. Indonesian government seeks billions of dollars in investment to help develop tourist zones. Vietnamese government targets greater tourism sector investment. Vietnam seeks foreign investment to plug it highway system funding gap.