TAIPEI (Taiwan News) — Taiwan’s stock market ended lower on Wednesday, tracking declines in US equities overnight, with selling pressure centered on large-cap technology stocks.
The Taiwan Capitalization Weighted Stock Index (TAIEX) fell 513.62 points to close at 31,246.37. Turnover totaled NT$868.9 billion (US$27.4 billion), the second-highest on record, according to CNA and CTEE.
TSMC declined 1.97% to close at NT$1,740, its session low. Foxconn fell 2.01% to NT$219, also ending at the day’s lowest level.
MediaTek slipped 1.35% to NT$1,465. In contrast, Delta Electronics rose 0.44% to NT$1,135.
Memory-related stocks came under pressure after the US proposed a 100% tariff on memory chips made overseas. Elite Semiconductor Microelectronics Technology closed at its daily limit-down.
Nanya Technology, Winbond Electronics, PSMC, Phison Electronics, Adata Technology, Macronix International, Apacer Technology, Powertech Technology, and Walton Advanced Engineering all ended lower. Despite the near-term pressure, market research firm Counterpoint Research said memory prices have risen about 50% in the fourth quarter of 2025, and are expected to rise a further 40% to 50% by the end of the first quarter, according to Yahoo Stocks.
Display panel makers also declined after Innolux exited trading restrictions following recent gains. Innolux finished flat, while leading the market in turnover at 754,000 lots, or 754 million shares.
AUO fell 4.22% on trading volume of 412,000 lots, ranking third by turnover. HannStar Display declined 3.51%.
Performance in the printed circuit board sector was mixed. Unimicron Technology and Nan Ya PCB, both of which reported strong profit growth in December, gained 4.22% and 5.71%, respectively.
Nan Ya PCB extended its advance for a fifth consecutive session, bringing cumulative gains to 38%. Unitech PCB rose 8.37% to NT$40.80, its highest level in nearly six months.
Kinsus Interconnect Technology declined 3.15%. PCBs serve as the base for all electronic components, according to Sinotrade.
Aviation stocks moved higher despite the broader market weakness, supported by expectations of steady first-quarter demand as the winter school break overlaps with the Lunar New Year holiday. Industry observers said demand for long-haul travel is increasing, while relatively stable fuel prices and dividend considerations are providing support, according to CNA.
China Airlines gained 1.6% to NT$22.25 after briefly trading above a seven-month high. EVA Air rose 0.26% to NT$38.3, and Tigerair Taiwan added 1.44% to NT$70.6.
Heavy electrical equipment stocks also outperformed. Allis Electric closed at its daily limit-up of NT$139.5.
Fortune Electric rose 1.99% to NT$1,025 after reaching an intraday high of NT$1,050, setting new intraday and closing records. Rising AI chip shipments are driving up electricity demand, which has fueled strong gains in heavy electrical equipment stocks, according to Sinotrade.
Capital investment firm analyst Tseng Yen-yu (曾炎裕) said the market’s decline was mainly the result of short-term profit-taking after recent gains. With the TAIEX now above the 30,000-point threshold, a 1% move can mean swings of more than 300 points, making normal market adjustments appear more significant.
Tseng noted that many investors still rely heavily on the index when making investment decisions. However, he said the TAIEX has become closely tied to TSMC’s performance and should be regarded primarily as a reference rather than a standalone indicator.
Instead, Tseng suggested investors focus more on individual growth trends. He pointed out that several sectors, including memory, printed circuit boards, and display panels, have recorded gains this year that outpace the broader market.
Looking ahead, Tseng said attention is likely to shift to the upcoming US earnings season. Results from major technology companies such as Intel, Microsoft, Tesla, and Apple are expected to shape market sentiment and influence the direction of Taiwan’s equity market.
This information is not intended as personalized financial advice. Investors are encouraged to conduct their own research and analysis before making investment decisions.
