From Taiwan’s Market Turbulence to Rare Earth Export Controls – Key Insights for Investors and Professionals
- Economics
1. Taiwan’s Stock Market Plunge Amid U.S. Tariff Threats
Taiwan’s benchmark index fell 10% on April 7 after former U.S. President Trump proposed 32% tariffs on select imports. Major manufacturers like Foxconn and Quanta received orders to halt U.S. shipments, signaling supply chain disruptions. President Lai Ching-te ruled out retaliatory measures, prioritizing diplomatic solutions.
2. U.S. Exempts Electronics from Tariffs, Easing Tech Sector Fears
The White House temporarily excluded smartphones, computers, and 18 other product categories from reciprocal tariffs on April 14. Taiwanese suppliers Foxconn (+4%) and Quanta (+7%) rallied, though chipmaker TSMC dipped on concerns over pending semiconductor tariffs.
3. G7 Condemns China’s Military Activity Near Taiwan
Foreign ministers from the G7 nations labeled China’s military maneuvers around Taiwan as “destabilizing,” urging peaceful dialogue. The statement follows increased PLA drills and economic pressure on the island.
4. South Korea’s Samsung Gains on Tariff Relief
Samsung Electronics rose 2% as U.S. exemptions covered key smartphone components. The firm, which holds 22% of the U.S. smartphone market, avoided immediate cost hikes but faces uncertainty over future semiconductor tariffs.
5. China Tightens Rare Earth Export Controls
Beijing imposed stricter export rules on dysprosium, terbium, and five other rare earth elements from April 10, requiring government approval. These materials are critical for defense tech and renewable energy, escalating U.S.-China trade tensions.
6. Taiwan’s Tech Firms Navigate U.S. Trade Policy Shifts
Foxconn, Inventec, and Quanta surged 4–7% post-tariff exemptions, though analysts warned the relief might be short-lived. TSMC’s Q1 earnings report (due April 18) will clarify impacts of potential chip tariffs.
7. South Korea’s Speaker Advocates Presidential Power Limits
National Assembly Speaker Woo Won-shik proposed constitutional reforms to curb executive authority, citing economic policy inconsistencies. The move follows public discontent over handling of trade-related disruptions.
8. Uzbekistan Secures Critical Minerals Deals with U.S. Firms
Uzbekistan inked multiple agreements with American companies to develop rare earth resources, aiming to reduce reliance on Chinese supplies. The deals cover lithium and cobalt mining projects in the Navoi region.
9. Solvay Expands Rare Earth Production in France
Belgian firm Solvay announced plans to boost rare earth processing at its La Rochelle facility, targeting europium and gadolinium output for EV batteries. The expansion aligns with EU efforts to diversify supply chains.
10. ASEAN and UK Strengthen Economic Ties
ASEAN and the UK pledged deeper collaboration in tech, green energy, and trade during a summit in Jakarta. The partnership aims to counterbalance China’s regional influence while fostering digital infrastructure investments.
11. Philippine Airlines Reopens Aviation School in Global Partnership
Philippine Airlines relaunched its flight academy in Cebu via a tie-up with Airways Aviation, addressing post-pandemic pilot shortages. The school will train 200 cadets annually using Airbus A320 simulators.
12. Klook and Singapore Tourism Board Ink Promotion Deal
Travel platform Klook partnered with Singapore’s tourism board to boost visitor numbers through curated itineraries and AI-driven promotions. The initiative targets a 15% increase in 2025 arrivals.
13. Taiwan’s Exporters Face U.S. Delivery Freezes
U.S. clients instructed Taiwanese manufacturers to suspend shipments of non-exempt goods, affecting industries from machinery to textiles. The freeze reflects anticipation of broader tariffs beyond the tech sector.
14. Philippine Dialysis Provider Nephro Plus Secures $7M Investment
Nephro Plus, a Manila-based dialysis center chain, received $7 million from Conifer Capital for regional expansion. The funding will add 10 clinics across Luzon and Mindanao, serving 5,000+ patients annually.
15. U.S.-China Trade War Fears Fuel Asian Market Volatility
MSCI Asia ex-Japan fell 3.2% midweek before recovering on tariff exemptions. Analysts warn a 10% universal tariff could trigger a global recession, with JPMorgan estimating a 60% probability of economic contraction.
16. South Korea’s Corporate Debt Risks Rise
Bank of Korea data revealed a 12% YoY increase in non-financial corporate debt, reaching $1.2 trillion. High-interest rates and export slowdowns have raised default concerns in sectors like shipping and construction.
17. Vietnam Emerges as Alternative Tech Manufacturing Hub
Samsung and LG reportedly expanded production in Vietnam to circumvent U.S.-China tariffs. The country’s tech exports grew 18% YoY in Q1 2025, driven by semiconductor assembly and consumer electronics.
18. Singapore’s Green Finance Initiative Attracts $2B in Commitments
The Monetary Authority of Singapore (MAS) announced $2 billion in pledges for its Green Investments Program, focusing on ASEAN renewable projects. Participating firms include DBS Bank and Temasek Holdings.
19. Thailand’s Automotive Sector Shifts to EV Production
Toyota and Honda unveiled plans to convert Thai plants to EV manufacturing, targeting 30% hybrid/EV output by 2026. The move aligns with Thailand’s goal to become ASEAN’s EV hub, backed by tax incentives.
20. Hong Kong’s IPO Market Shows Signs of Revival
The Hong Kong Exchange reported a 40% Q1 YoY increase in IPO filings, led by mainland Chinese tech firms. Analysts attribute the uptick to eased U.S. delisting fears and improved regulatory clarity.
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