01. Shenzhen Huaqiangbei Seals CPU and GPU Inventories Amid Tariff Concerns
On April 14, Fast Technology News reported that the US "reciprocal tariff" policy has impacted Shenzhen's Huaqiangbei market. Many stalls in Huaqiangbei have suspended quotations for popular CPUs and GPUs, with some even closing temporarily. Merchants are sealing their inventories, fearing price fluctuations due to tariff changes.
Domestic chip manufacturers are also affected, seeing increased customer inquiries and discussions on domestic substitution plans. On April 11, the US Customs and Border Protection temporarily exempted tariffs on electronics like smartphones and chips. However, this was clarified as a temporary measure, with industry-based tariffs expected in the future.
02. South Korea’s ICT Exports Up 9.4% YoY in March 2025
South Korea’s ICT exports reached $20.58 billion in March, up 9.4% year-on-year. Semiconductor exports rose 11.8%, driven by high-value-added products. Exports of mobile phone components and computers & peripherals increased by 14.5% and 28.1% respectively. Display exports grew 1.3% after eight months of decline.
Exports to the US, Vietnam, and Japan rose by 19.4%, 14.6%, and 3.3%, respectively. However, exports to China fell by 12.2%. Future trends remain uncertain, with potential US tariffs on semiconductor components.
03. US Halts NVIDIA’s Special China Supply of H20 Chips
On April 15, US chipmaker NVIDIA announced that the US government had informed it on April 9 that its H20 chip exports to China required a license. On April 14, it declared that this regulation would be implemented indefinitely. This new rule will affect approximately $5.5 billion in quarterly costs for NVIDIA, involving inventory, purchase commitments, and related reserves of the H20 chip.
The New York Times noted that this regulation restricts NVIDIA’s sales of more AI chips to China. It is the first significant semiconductor export restriction implemented by the Trump administration and further strengthens the rules set by the Biden administration. Following the news, NVIDIA’s after-hours stock price fell by over 6%. It remains unclear whether the US government will issue licenses to NVIDIA and how many, with neither NVIDIA nor the US Department of Commerce commenting.
04. AMD Warns US Chip Export Controls Could Cause $800M Loss
On April 17, AMD announced that due to new US export restrictions on high-end chips, its MI308 AI accelerator has been added to the controlled list, requiring a license for export. AMD expects to face a financial impact of up to $800 million, mainly involving inventory, purchase commitments, and reserves. China was AMD’s second-largest market in 2024, contributing $6.23 billion in revenue. The export restrictions are likely to weaken AMD’s development prospects in the region.
05. Taiwan Firms Adjust Capacity Amid Trump Tariffs; Foxconn Shows Greatest Resilience
On April 14, the Economic Daily reported that Taiwanese manufacturers are actively adjusting their global production capacity in response to Trump’s unpredictable tariff policies. Although electronics have been temporarily exempted from tariffs, Taiwanese firms remain cautious, re-evaluating their production distribution worldwide. Foxconn, with 233 sites in 24 countries and regions, has shown the strongest flexibility and resilience in capacity allocation, becoming the biggest beneficiary of urgent orders in the electronics industry amid the tariff war.
Foxconn produces iPhones in mainland China and India, assembles iPads and MacBooks in mainland China and Vietnam, and has AI server capacity distributed across Taiwan, Mexico, the US, and Vietnam. Other manufacturers like Wistron, Quanta, Inventec, and Compal are also expanding capacity in Southeast Asia. Networking equipment manufacturers are gradually shifting production bases to Vietnam, Thailand, the Philippines, and Taiwan, with some considering setting up factories in Mexico.
06.ASML Q1 Orders Below Expectations; Trump Tariffs Raise Chip Industry Demand Concerns
On April 16, Dutch semiconductor equipment company ASML released its Q1 2025 financial report. The report showed that the company’s net order intake for the quarter was €3.94 billion, below the expected €4.89 billion; net sales were €7.74 billion, slightly lower than the expected €7.8 billion; and net profit was €2.36 billion, higher than the expected €2.3 billion.
ASML warned that tariffs impact the macroeconomic environment, suppressing market demand and creating uncertainty. The lower-than-expected net order intake may indicate a slowdown in demand for key chip manufacturing equipment. Although artificial intelligence remains a key driver of demand for chip equipment, uncertainties among some customers could lead to ASML’s full-year revenue falling short of expectations.