Hong Kong, Oct 11 (SocialNews.XYZ) Shares in major Asian computer chipmakers slumped on Tuesday after the US announced tough new measures to restrict sales of technology to China.
The US said it will ban American firms from selling certain chips used for supercomputers and artificial intelligence to Chinese firms, BBC reported.
The rules, which were announced on October 7, also target sales from non-US companies that use American equipment.
Technology firms are also seeing demand fall as the global economy slows.
On Tuesday, shares of Taiwanese chipmaker TSMC tumbled 7.7 per cent, South Korea's Samsung Electronics was 2.3 per cent lower, while Tokyo Electron in Japan fell by 5.5 per cent.
The falls came after stock markets in Taiwan, South Korea and Japan reopened after being closed for public holidays on Monday.
Elsewhere in Asia, shares in China's biggest chipmaker SMIC fell by 1.7 per cent in Hong Kong, the BBC reported.
Under the regulations US companies must apply for a licence to supply Chinese chipmakers with equipment that can produce more advanced chips.
Washington said the rules were aimed at curbing Chinese military and technological advances.
The measures, some of which take effect immediately, mark one of the biggest shifts in US policy toward exporting technology to China in decades.
In the US on Monday, the technology-heavy Nasdaq index closed at its lowest level since July 2020 as shares in chipmakers Intel, Nvidia, Qualcomm and Advanced Micro Devices fell, the BBC reported.
Technology shares around the world have also been hit in recent weeks by lower demand for electronic products ranging from computers to smartphones.
On October 7, South Korean technology giant Samsung warned of a 32 per cent slide in its profits.
Source: IANS
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