ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon Print
Inflation

Taiwan's first power price hike in 4 years jolts chip sector

Rate increase on heavy users comes as industry faces inflation, demand woes

TAIPEI -- Taiwan will increase its electricity rates by an average of 8.4%, hitting heavy industrial users while sparing households and small businesses, in the first tariff changes in four years.

The move, announced by the Ministry of Economic Affairs on Monday, reflects the dire situation in the loss-making power production sector. At the same time, it adds to the strain on Taiwan's crown jewel tech supply chain, which faces a combination of inflation and inventory pressure due to slowing demand for PCs and smartphones.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Discover the all new Nikkei Asia app

  • Take your reading anywhere with offline reading functions
  • Never miss a story with breaking news alerts
  • Customize your reading experience

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more