TAIPEI (Taiwan News) — Taiwan’s stock market closed lower on Monday, as investor sentiment remained cautious amid lingering uncertainty over US trade policy.
The Taiwan Stock Exchange Capitalization Weighted Stock Index, or TAIEX, fell 288.83 points to close at 19106.2. Turnover totaled NT$208 billion (US$6.4 billion), per CNA and CTEE.
TSMC saw limited buying interest despite strong revenue figures announced during last week’s earnings call. The company revealed that its US operations recorded a loss of NT$14 billion in 2024, with its Japan and Europe units posting respective losses of NT$4 billion and NT$500 million.
TSMC shares fell 1.76% to close at NT$835 (US$26), with trading volume slipping below 20,000 shares. MediaTek ended down 1.47% at NT$1,345, while Foxconn rebounded from early losses to gain 0.74%, closing at NT$136.5.
Investor hopes for a near-term boost in shipping stocks were dampened after US President Donald Trump’s proposed 90-day pause on tariffs failed to trigger the anticipated wave of advance orders. Shipping consultancy Drewry noted in a recent report that elevated tariffs have prompted US importers to hesitate in sourcing goods from Asia, contributing to declining shipping volumes and a rise in canceled sailings.
Freight rates continued to decline, and institutional investors now forecast that Taiwan’s three largest container shippers could see annual profits drop by as much as 50%. Evergreen Marine and Yang Ming Marine Transport each fell over 2%, while Wan Hai Lines slipped more than 1%.
The airline sector also came under pressure. China Airlines, Eva Air, and Starlux all dropped more than 2%, while Tigerair Taiwan dropped nearly 5%.
In other corporate developments, engineering contractor CTCI faced intensified market pressure after disclosing that its US subsidiary was burdened with a bad debt exposure totaling NT$19.6 billion. The stock fell by the daily limit for a third straight session, closing at NT$28.45.
One of the few bright spots in the market came from the memory segment, where optimism over inventory replenishment fueled gains. Nanya Technology surged on strong volume, closing at the daily limit of NT$38.8 with more than 200,000 shares traded.
Fuh Hwa Taiwan Technology High Dividend Fund Manager Yang Sheng-min (楊聖民) noted that, beyond concerns over US tariffs, the lack of a clear signal from the Federal Reserve on rate cuts continues to weigh on sentiment. Until policy direction becomes clearer, Yang expects capital to rotate toward sectors less vulnerable to external shocks, such as financials or high-dividend-yield stocks.
This information is not intended as personalized financial advice. Investors are encouraged to conduct their own research and analysis before making investment decisions.
