Wednesday, 2 April 2025
Home Topics Business Samsung Electronics shares hit lowest in more than four years
BusinessEconomyElectric Vehicles (EVs)News

Samsung Electronics shares hit lowest in more than four years

70
FILE PHOTO: An attendee films Samsung Electronics' Galaxy Watch 7 Ultra during its unveiling ceremony in Seoul, South Korea, July 8, 2024.  REUTERS/Kim Hong-Ji/File Photo
An attendee films Samsung Electronics' Galaxy Watch 7 Ultra during its unveiling ceremony in Seoul, South Korea, July 8, 2024. —REUTERS/Kim Hong-Ji/File Photo

By Jihoon Lee and Hyunjoo Jin

SEOUL (Reuters) – Shares in Samsung Electronics, the world’s top memory chip maker, fell on Wednesday to their lowest level in more than four years amid worries about the impact of U.S. tariffs under a new Donald Trump administration, analysts said.

The South Korean tech giant is the worst performing stock among global chipmakers like TSMC and Nvidia this year, as it has lagged behind rivals in tapping booming demand for artificial intelligence chips.

Trump’s potential tariffs on Chinese imports are seen dealing a bigger blow to Samsung, which has a higher reliance on Chinese customers than its local rival SK Hynix, said Lee Min-hee, an analyst at BNK Investment & Securities.

Hynix has been increasing sales of high-end AI server chips to U.S. customers like Nvidia.

Trump has threatened to impose a universal 10% tariff on imports and 60% on Chinese goods, which would reduce demand for electronics products that use chips, said Greg Noh, an analyst at Hyundai Motor Securities.

Last week, South Korean President Yoon Suk Yeol also raised concerns that Trump’s threat of steep tariffs on Chinese imports could prompt Chinese rivals to slash export prices and undercut Korean chip firms overseas.

Samsung shares are down 34% in the year-to-date and on course to post their worst annual performance in more than two decades. Shares in SK Hynix have risen 32% so far this year, and U.S. chipmaker Nvidia has gained 199%.

Samsung shares, South Korea’s most valuable stock, extended declines to a fourth straight session, down 2.1% as of 0126 GMT, after falling as much as 2.5% to 51,700 won, the lowest since June 24, 2020, while the broader KOSPI market fell 1.5%.

SK Hynix rose as much as 2%, after falling for two consecutive sessions.

(Reporting by Jihoon Lee and Hyunjoo Jin; Editing by Ed Davies)

Related Articles

Lilium burnt through huge sums while trying to develop its jet (AFP)

German flying taxi start-up’s rescue deal collapses

A German flying taxi start-up said on Friday it would halt operations...

FILE PHOTO: U.S. Secretary of the Interior Doug Burgum speaks as he attends a signing ceremony with members of the West Virginia Congressional Delegation at the EPA headquarters in Washington, D.C., U.S., February 18, 2025. REUTERS/Kent Nishimura/File Photo

US energy council chief says power plants to produce 15% more electricity

By Valerie Volcovici WASHINGTON (Reuters) – U.S. Interior Secretary and co-chair of...

Cuba has inaugurated a new solar energy park in the capital Havana (AFP)

Cuba opens solar park hoping to stave off blackouts

Cuba on Friday unveiled a new solar energy park in the capital...

FILE PHOTO: Cranes unload imported iron ore from a cargo vessel at a port in Lianyungang, Jiangsu province, China October 27, 2019. REUTERS/Stringer/File Photo

Iron ore heads for weekly gain on brightening demand outlook, China stimulus hopes

By Amy Lv and Lewis Jackson BEIJING (Reuters) -Iron ore futures prices...

Login into your Account

Please login to like, dislike or bookmark this article.