Lotte Chemical Titan Holding Bhd shares fell to their lowest level since April 2020 on Thursday, with investors reacting to widening quarterly losses and an uncertain future. The company’s stock dropped by as much as 4.5 sen, or nearly 5%, to 91.5 sen , giving it a market capitalisation of RM2.13 billion . The petrochemical company faces challenges as product spreads remain under pressure due to a global supply glut , primarily from new capacity expansions in China . Analysts at TA Securities noted that Lotte Chemical is likely to stay in the red “over the next few quarters” and maintained a 'sell' rating on the stock. The company has reported quarterly losses since 2QFY2022 and is expected to continue to report losses through this year. Analysts estimate that Lotte Chemical may not return to profitability for another two years , according to Bloomberg consensus data. A significant challenge for Lotte Chemical is the squeeze in spreads between naphtha costs and polymer sel
The US-China tech war is anticipated to escalate no matter the outcome of the November 5 US presidential election, with Republican Donald Trump and Democrat Kamala Harris offering differing approaches but a shared commitment to curbing China’s technological and military advancements.
Both candidates are expected to implement new restrictions on Chinese imports of tech products like chips, smart cars, and AI technologies, according to former officials and experts. Harris has pledged to ensure "America, not China, wins the competition for the 21st century", while Trump continues to emphasize tariffs as a key solution.
In either administration, the goal is clear: to slow China’s technological progress, particularly in areas that could enhance its military capabilities. The Biden administration has already laid the groundwork with rules to keep Chinese-made connected cars off US streets, and Harris is likely to continue this targeted, allied-based strategy.
A second Trump term, on the other hand, is expected to be more aggressive and unilateral, potentially expanding export controls and sanctions on Chinese companies like Huawei and restricting imports of products containing Chinese chips. Trump may also impose steeper tariffs, including up to 60% on Chinese imports.
With China’s retaliation measures—including restrictions on rare earths and key materials like germanium and gallium—already in place, the tech conflict is poised to become even more complex. Wilbur Ross, Trump’s former commerce secretary, emphasized the need for the US to remain strategic, given its ongoing dependence on Chinese rare earths for critical industries.
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