New US sanctions against China have hit the semiconductor industry
The market value of Samsung, TSMC, ASML, Sk Hynix and other companies in the sector fell by $240 billion
Due to the expansion of restrictions on the export of semiconductors to China, which were introduced by the American government a few days ago, not only Chinese companies were affected.
The other day we wrote that the value of SMIC shares fell by 3.8%, Hua Hong Semiconductor – by 9.5%, NAURA Technology Group – by 10%, and Alibaba and Tencent – by 3.3% and 1.7%, respectively. But other companies in the semiconductor industry felt the effect of the expansion of restrictions.
For example, shares of TSMC, the largest contract microchip maker, fell 8.3%, hitting a 7-year low. Samsung was not affected as much. Shares of the South Korean manufacturer fell 3.9%, but that was enough to reach a 2022 low. Shares of SK Hynix fell by 3.5%.
ASML, a leading manufacturer of lithographic equipment from the Netherlands, felt the effect of the sanctions. At the beginning of the new week, its shares fell by 11%. In addition, the market capitalization of AMD, NVIDIA and Qualcomm decreased by 1%. The total value of all companies in the semiconductor sector decreased by $240 billion.
