TAIPEI (Taiwan News) — Taiwan’s stock market closed lower on Tuesday after profit-taking erased early gains that had pushed the benchmark index to an intraday record high of 28,554.61 points.
The Taiwan Capitalization Weighted Stock Index (TAIEX) lost 218.03 points to end at 28,116.56, after fluctuating more than 520 points during the session. Turnover totaled NT$585 billion (US$18.9 billion), according to CNA and CTEE.
TSMC slipped 0.33% to NT$1,505 after trading higher earlier in the day. Foxconn declined 2.98% to NT$244, while MediaTek rose 1.15% to NT$1,315.
Delta Electronics extended its losing streak to five sessions, edging down 0.81% to NT$975. AblePrint Technology fell below the NT$1,000 mark.
Memory chipmakers weakened. Winbond Electronics, Nanya Technology, Adata, and Phison Electronics all declined.
In contrast, drone-related stocks gained after US President Donald Trump called for the resumption of nuclear weapons testing, raising concerns about a potential arms race. Thunder Tiger advanced 9.34% to NT$140.5, while Coretronic, Brinno, and Ubiqconn Technology also posted gains.
Among corporate developments, Core Pacific subsidiary Bes Engineering on Monday accused PJ Asset Management of attempting to gain control of the company. The news prompted shares of another Core Pacific affiliate, China Petrochemical Development, to hit the daily limit at NT$8.07, as investors speculated that PJ’s interest in Bes was linked to China Petrochemical’s substantial land holdings.
Institutional investors noted that the TAIEX has opened higher and closed lower for four consecutive sessions, suggesting the market may be entering a consolidation phase at elevated levels. Funds remain concentrated in artificial intelligence-related shares, while participation from other sectors has weakened, leading to a less balanced market structure.
Taishin China Equity Fund manager Wei Yung-hsiang (魏永祥) said investors are closely watching whether a prolonged US federal government shutdown could influence future Federal Reserve rate decisions. Markets are also awaiting a US Supreme Court ruling on Trump’s tariffs, which could determine whether the president had the authority to impose them, according to Forbes.
Wei added that with earnings season underway in Taiwan and the US, technology companies’ guidance in upcoming briefings will likely shape market sentiment. He said AI remains a key growth driver for Taiwan’s market, even as global trade and policy uncertainties persist.
This information is not intended as personalized financial advice. Investors are encouraged to conduct their own research and analysis before making investment decisions.
