Asian stock markets plunge following reports of Chinese chip technology leap
Asian stock markets suffered sharp losses on Thursday after reports of a potential Chinese technological breakthrough in chip manufacturing machinery triggered a sell-off in semiconductor stocks.
Major Asian stock exchanges experienced sharp declines on Thursday, driven by heavy losses in semiconductor equities. South Korea’s benchmark Kospi index dropped by more than 10 percent during trading, while Tokyo’s Nikkei 225 fell by over 4 percent. Chinese equities also retreated to a weekly low as part of a broader regional sell-off.
The market downturn was triggered by reports indicating a potential technological breakthrough in China regarding semiconductor manufacturing machinery. The prospect of advanced domestic chipmaking capabilities in China raised concerns among investors over competitive pressures for established Asian suppliers.
Sources: Die Zeit.
How outlets assessed this
- FAZ Skeptical Framed the market reaction as a potential sign that the global artificial intelligence valuation bubble may be deflating.
Sources
Earlier coverage
- Jul 28, 2026, 03:30 PM UTCGlobal tech stocks slide as Chinese chip advances spark market concern
- Jul 28, 2026, 03:00 PM UTCAsian stock markets tumble after reported Chinese chipmaking breakthrough
- Jul 28, 2026, 02:30 PM UTCAsian stock markets slide as chip sell-off triggers trading halt in South Korea