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Typhoon Krathon Churns Toward Taiwan, Disrupting Flights

(Bloomberg)

(Bloomberg) -- Typhoon Krathon tracked slowly toward Taiwan, with the storm set to weaken before making landfall on Thursday morning and the island will keep its $2.5 trillion stock market closed for a second day.

Krathon currently has maximum sustained winds of 155 kilometers (96 miles) per hour, according to Taiwan’s Central Weather Administration. The storm is expected to cross the coast between the cities of Tainan and Kaohsiung.

The typhoon has weakened on its approach, and the weather bureau forecasts it will have maximum wind speeds of 101 kilometers per hour as it hits the coast, dumping heavy rain. 

Taipei is set to see lighter rain and winds, but municipal governments have discretion on further work and school suspensions. Taiwan stock exchange is extending its closure through Thursday, marking the market’s second two-day shutdown this year after Typhoon Gaemi in July.

Krathon was 120 kilometers southwest of Kaohsiung as of 4:15 p.m. local time, the CWA said. At least 18 counties and cities are forecast to meet the rain and wind strength requirements for another day of school and office closures tomorrow, according to local media. 

“Although the typhoon has weakened, it’s still threatening us,” CWA Forecaster Wu Wan-hua said at an online briefing on Wednesday. “It’s expected to make landfall in the southwest of Taiwan tomorrow. The typhoon is affecting us for a long time, because it’s moving really slowly.”

Schools, offices and ports are closed across Taiwan, and some mountainous areas could get as much as 49 centimeters (19 inches) of rain, according to forecasts from the CWA. Over 6,800 households are currently without power, according to the state-owned Taiwan Power Company.

Evacuations, Flight Disruptions

More than 9,000 people have been evacuated across Taiwan, according to the Central Emergency Operation Center, with one dead, two missing, and 70 injured as of Wednesday afternoon. There are widespread transportation disruptions, with nearly 500 domestic and international flights and 164 ship crossings scheduled for Wednesday canceled, according to authorities.

Taiwan Semiconductor Manufacturing Co. has activated routine typhoon alert preparation procedures at all its fabs and construction sites across the island, according to an emailed statement from the company, though it doesn’t expect a significant impact on operations due to the storm.

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In the Philippines, where Krathon first started developing, the typhoon — known locally as Julian — had a less severe impact than storms seen earlier this year. Four casualties have been reported so far, according to local authorities, and hundreds were evacuated due to flooding. 

--With assistance from Cecilia Yap, Adrian Kennedy and Foster Wong.

(Updates with stock market shut for second day)

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