Chip-related stocks in Japan, South Korea and Taiwan slumped Tuesday, contributing to a wipeout of more than $240 billion from the sector’s global market value after the U.S. imposed curbs on China’s access to semiconductor technology.
Taiwan Semiconductor Manufacturing Co., the world’s largest contract chipmaker, plunged more than 8% on Tuesday, the most since May 2021. Samsung Electronics and Tokyo Electron also tumbled on concern U.S. efforts to ensure international cooperation with the measures will crimp their ability to export to China.
The selloff spread to currency markets. South Korea’s won slumped as much as 1.6% versus the greenback, while the New Taiwan dollar dropped 0.7% amid losses in their stock markets.