Taiwan's Stock Market Soars: AI and Trade Fuel Growth

Computex 2025 Anticipation, US-China Trade Talks, and Jensen Huang's Visit Drive Optimism in Taipei

TAIPEI, Taiwan – The Taiwan Stock Exchange (TAIEX) experienced a surge in activity on Monday, fueled by positive sentiment surrounding US-China trade relations and the upcoming Computex 2025 technology expo.

The TAIEX closed at 21,129.54, marking a substantial gain of 214.5 points. Turnover reached NT$279 billion (US$9 billion), with significant gains observed in artificial intelligence and robotics-related shares. This upswing reflects investor enthusiasm as the major tech event, Computex 2025, draws near.

Key players in the market saw mixed results. TSMC saw a modest increase of 0.84% to NT$957 (US$32). MediaTek experienced a decrease of 0.75% to NT$1,315, while Foxconn showed a strong performance, rising 4.08% to NT$153.

A major focus for investors remains on AI-related stocks, particularly with Nvidia CEO Jensen Huang (黃仁勳) scheduled to visit Taiwan this week. He is set to meet with supply chain partners and deliver a keynote speech on May 19.

Several companies, including Synpower, Macnica Galaxy, Taiwan Benefit, and Yinghan Technology, continued their strong performance, hitting the daily limit. Aurotek, Ace Pillar, and Tongtai Machine also reached their daily limits.

Machine tool manufacturers, such as Taiwan Takisawa Technology and Falcon Machine Tools, also experienced positive momentum, gaining over 5%. The growing demand for AI and robotics has led Taiwanese manufacturers to supply crucial components to global robotics companies.

Alchip Technologies, a designer of application-specific integrated circuits (ASICs), closed at its daily limit of NT$2,530, following the announcement of a first-quarter net profit of NT$1.5 billion, representing a nearly 20% increase year-over-year. The company also addressed concerns about potential delays in 3nm chip orders from Amazon.

Shipping stocks also benefited from improved sentiment following Russia's invitation to Ukraine for direct talks in Turkey. Chinese Maritime Transport reached its daily limit during trading, while Franbo Lines and U-Ming Marine Transport saw gains exceeding 3%.

Traditional sectors also showed positive results, with electric machinery rising over 2%. Textiles, cables, glass, paper, and shipping sectors also experienced gains. Conversely, food, rubber, and tourism stocks underperformed, closing lower.

Analyst Wang Chao-li (王兆立) recommended that investors closely monitor developments related to semiconductor tariffs and fluctuations in the Taiwan dollar exchange rate.

Mega International Vice President Huang Kuo-wei (黃國偉) noted that the anticipated US-China trade statement had surpassed expectations, contributing to the optimism in Taiwan's market. Huang also cautioned that Computex-related gains could be influenced by the actual event outcomes.

Computex 2025, set to be held May 20–23 at the Taipei Nangang Exhibition Center, will focus on "AI Next." The event will host 1,400 exhibitors showcasing advances in AI computing, smart mobility, advanced connectivity, and sustainable technology.

Disclaimer: This information is not financial advice. Investors should conduct their own research and analysis before making investment decisions.