TAIPEI (TVBS News) — Taiwan's stock market tumbled in early trading on Thursday (March 27) as investors responded to renewed global trade tensions. The benchmark index plunged 167.09 points to open at 22,093.20, reflecting immediate market anxiety following U.S. President Donald Trump's latest protectionist move. The announcement of fresh tariffs targeting automobile imports sent shockwaves through international markets, with the negative sentiment quickly reaching Asian trading floors after causing significant declines across U.S. exchanges yesterday. Analysts suggest this reaction highlights Taiwan's continued vulnerability to shifts in American trade policy.
Major technology companies bore the brunt of the market's downward pressure, with industry giant TSMC (台積電) seeing its shares decline NT$18 (around US$0.55) to close at NT$962 (US$29.15). Other tech heavyweights followed suit, as MediaTek Inc. (聯發科) dropped NT$10 (US$0.30) to NT$1,505 (US$45.61), while Hon Hai (鴻海) fell NT$4 (US$0.12) to NT$162 (US$4.91). Bucking the negative trend, First Copper Technology Co. (第一銅) emerged as a surprising winner, surging 7.38% to NT$48 (US$1.45). This exceptional performance came in direct response to Trump's threats regarding copper tariffs, which propelled international copper prices upward. Industry reports from Cochilco indicate an anticipated global copper shortage of 118,000 tons this year, with American demand projected to double over the next decade.
Despite the morning's sharp decline, Taiwan's weighted index managed to recover substantial ground throughout the trading day, ultimately closing at 22,260.29, down just 12.90 points or 0.06% from the previous session. Market activity remained robust with a total turnover of NT$223.198 billion (approximately US$6.76 billion). Institutional investors focused their selling pressure on five key stocks: Hon Hai, Macronix (旺宏), China Airlines (華航), Compal Electronics (仁寶), and Powertech Technology (力成). The impact of Trump's protectionist rhetoric was equally evident in American markets, where it abruptly halted a three-day winning streak across major indices. The Dow Jones Industrial Average retreated 132.71 points to 42,454.79, while the tech-heavy Nasdaq experienced a steeper fall of 372.84 points to 17,899.01. Similarly, the S&P 500 and the closely-watched Philadelphia Semiconductor Index both registered declines, finishing at 5,712.2 and 4,508.74, respectively.