Malaysia’s benchmark index retreated as profit-taking in key heavyweights weighed on sentiment, while overall market activity remained active. Summary FBM KLCI fell 0.83% to 1,684.93 , dragged by losses in banking and selected large-cap names, despite steady trading participation. Market Performance FBM KLCI : 1,684.93 (-0.83%) FBM Mid 70: -0.00% (flat) FBM Small Cap: -0.23% FBM ACE: +0.20% Broad market was mixed , with weakness concentrated in large caps. Market Breadth & Trading Activity Total volume: 3.54 billion shares Total value: RM4.19 billion Gainers: 456 Losers: 678 Unchanged: 550 Market breadth turned negative , reflecting cautious sentiment. Top Movers – KLCI Gainers Axiata (6888.MY) +1.54% Petronas Gas (6033.MY) +1.18% Sunway (5211.MY) +1.15% Losers Hong Leong Bank (5819.MY) -3.29% Maybank (1155.MY) -3.02% CIMB (1023.MY) -2.47% Banking sector weakness was the main ...
China-Taiwan Tensions Escalate Over Semiconductor Industry
- China claims Taiwan is giving away its semiconductor industry to the U.S. in exchange for political support.
- Reports suggest Taiwan Semiconductor Manufacturing Co. (TSMC) is in talks for a stake in Intel, though neither company has confirmed this.
- Taiwan’s government denies knowledge of any overseas investment application from TSMC.
U.S. and Taiwan's Semiconductor Dispute
- President Donald Trump has criticized Taiwan for taking U.S. semiconductor business and has pushed for more domestic chip production.
- China's Taiwan Affairs Office accused Taiwan's ruling party (DPP) of 'selling out' TSMC to gain favor with the U.S.
- Beijing claims Taiwan is using its chip industry as leverage for political independence.
Taiwan Responds to China's Allegations
- Taiwan’s Mainland Affairs Council reaffirmed TSMC’s importance and vowed to collaborate with the industry to maintain leadership in advanced technology.
- TSMC has not responded to the accusations.
Key Takeaways
- China views Taiwan's potential semiconductor collaborations with the U.S. as a threat.
- Taiwan denies that TSMC is being ‘given away’ and says it will protect its semiconductor dominance.
- The U.S. remains Taiwan’s key international ally, adding geopolitical complexity to the semiconductor industry.
Summary:
- China accuses Taiwan of using its chip industry as a bargaining tool for U.S. political support.
- TSMC reportedly in talks with Intel, though unconfirmed by both companies.
- Taiwan refutes the allegations and commits to maintaining its semiconductor leadership.
- The U.S.-Taiwan semiconductor relationship remains a major geopolitical flashpoint.
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