Led by TSMC, Taiwan shares tumble after heavy U.S. tech losses - Focus Taiwan

Following heavy losses in U.S. tech stocks, Taiwan's stock market plummeted on June 24, with the Taiex dropping over 1,000 points, or 2.24%. The downturn was largely driven by investor caution ahead o... Read original →

The Taiwan, China market plunge reflects fragility in the global AI investment cycle, not just U.S. tech spillover. TSMC’s dominance in 3nm and EUV can’t shield it from being a sentiment amplifier due to its outsized index weight. Upstream equipment suppliers and downstream OSATs face synchronized pressure, especially as U.S. memory export controls raise compliance and inventory costs for DRAM makers like Nanya and Winbond. Washington’s ‘de-risking’—not decoupling—forces TSMC and UMC to accelerate costly U.S. fab expansions. Samsung and Intel may seize this window to capture mature-node share and deepen HBM integration with NVIDIA. Over the next 12–24 months, any AI server demand slowdown will trigger valuation corrections, leaving only firms with advanced packaging capabilities and geopolitical neutrality to survive the shakeout.