Industry insiders said US-China relations have been flammable ever since the trade war ignited, especially in the high-stakes arena of semiconductors. But in recent weeks, a series of diplomatic signals suggests the two sides may be testing the boundaries of each other's political and economic endurance.
Taiwan-based network IC design giant Realtek announced its revenue for June 2025, reporting a monthly revenue of NT$10.207 billion (US$351 million), showing less than a 1% decline compared to both the previous month and the same period last year, indicating minimal variance.
Adata Technology, one of Taiwan's top memory module makers, just posted its best monthly revenue in more than 15 years, thanks to surging demand for DDR4 memory chips. As major chipmakers phase out DDR4 production, spot market prices have jumped past contract levels, sparking a wave of urgent buying. That spike in both prices and orders helped Adata deliver what it's calling its strongest June on record.
Following US President Donald Trump's announcement of reciprocal tariffs on 14 nations, including a 25% duty on Japanese and South Korean imports, concerns are rising that Taiwan could face even harsher terms. Bill Chiu, Chairman and CEO of Gudeng Precision Industrial Co., said the company's profit outlook remains stable for now, as its free-on-board (FOB) model passes shipping and tariff costs to customers. However, he cautioned that the new policy may curb customer demand and order volume.
Samsung Electronics and LG Electronics, South Korea's two largest electronics manufacturers, are experiencing a modest reprieve after the US and Vietnam agreed to sharply lower reciprocal tariffs from 46% to 20%. The move comes as both companies reported disappointing second-quarter 2025 results, weighed down by sluggish demand and rising trade-related costs.
CXMT Corp., China's top domestic DRAM manufacturer, has initiated its IPO process, signaling a key step in the nation's pursuit of semiconductor independence. On July 7, 2025, China's securities regulator confirmed that the company had entered IPO counseling, with China International Capital Corporation (CICC) and China Securities Co. (CSC) serving as financial advisors.
Intel's once-touted 18A chipmaking process, which former CEO Pat Gelsinger emphasized as a critical factor for surpassing competitor TSMC by 2025, appears to have lost its position as the focal point of the company's strategic plans.
On June 13, 2025, Jiangsu Advanced Memory Semiconductor Co., Ltd. (AMS) announced that its restructuring plan had been abandoned. The planned investment from Huaxin Jiechuang Integrated Circuits Manufacturing (Guangdong) Co., Ltd. was canceled after multiple delays in fund transfers, leading both sides to terminate the agreement.
India's High Commissioner to Malaysia, B N Reddy, has called for stronger collaboration between Indian and Malaysian companies in semiconductors and digital technology.
Samsung Electronics warned on July 5 that its second-quarter 2025 operating profit is likely to plunge 56% year-over-year, dragged down by continued difficulties in gaining Nvidia's certification for its latest high-bandwidth memory (HBM) chips, critical components in the booming AI infrastructure market.
TSMC faces mounting legal challenges over its Arizona facility as a class-action lawsuit alleging racial discrimination and safety violations threatens to complicate the chipmaker's critical US expansion strategy.
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