Chip equipment stocks fall after US plans to revoke China waivers
Jeffrey Kessler, who leads the export controls unit at the Commerce Department, has informed major semiconductor manufacturers including Taiwan Semiconductor Manufacturing, Samsung Electronics (KS:005930), and SK Hynix of his intention to cancel blanket waivers that currently allow them to ship American chip-making equipment to their factories in China without applying for separate licenses each time, according to the Wall Street Journal.
The potential policy change is reportedly part of the Trump administration's broader efforts to restrict critical U.S. technology from going to China. If implemented, the move could create significant disruption both diplomatically and economically, coming shortly after the U.S. and China established a trade truce in London.
White House officials have stated that this action would not represent a new trade escalation but would instead align the licensing system for chip equipment with China's existing system for rare-earth materials. They added that the U.S. and China continue to make progress on completing their London agreement.
"Chip makers will still be able to operate in China. The new enforcement mechanisms on chips mirror licensing requirements that apply to other semiconductor companies that export to China and ensure the United States has an equal and reciprocal process," a Commerce Department spokesman said.
The semiconductor equipment sector is particularly vulnerable to changes in U.S.-China trade policy, as many companies rely on access to the Chinese market for significant portions of their revenue.
Related articles
Chip equipment stocks fall after US plans to revoke China waivers
QXO won't participate in bidding war for GMS - source
Reddit in talks to use Sam Altman's World ID for user verification - Semafor
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Wire
25 minutes ago
- Business Wire
CEA's Broader Expansion Into Italy Opens a New Chapter of China-Italy Aviation Cooperation
MILAN--(BUSINESS WIRE)--China Eastern Airlines (CEA) held a promotional event in Milan, Italy on July 3, 2025, for its new direct Milan-Shanghai route. CEA Chairman Mr. Wang Zhiqing attended and addressed at the event. "This new route is not merely an aerial bridge connecting two great cities," said Mr. Wang. "It also embodies both Chinese and Italian people's aspirations for further exchanges and cooperation. We strive to provide convenient, efficient, and comfortable services and make every flight more enjoyable." During his visit to Italy, Mr. Wang had high-level meetings with key representatives from the Italian aviation industry. Among them were Mr. Salvatore Burrafato, President of GEStione Aeroporto Palermo S.p.A., Mr. Armando Brunini, CEO of Società Esercizi Aeroportuali S.p.A., and Mr. Luigi Battuello, CCO of Società Esercizi Aeroportuali S.p.A. The meetings focused on operational support for new routes, joint marketing campaigns, and collaborative backing for passenger and cargo transportation. Mr. Wang specially invited the Italian partners to attend the North Bund International Aviation Forum to be held in Shanghai this October, to lay out a blueprint for future China–Italy civil aviation cooperation. Apart from commercial cooperation, the trip also prioritizes cultural exchange. Mr. Wang met with Mr. Massimo Bray, Italian Coordinator of China-Italy Cultural Cooperation Mechanism and General Manager of the Treccani Institute. By common consent, they would collaboratively and innovatively integrate culture and aviation by hosting cultural exhibitions at airports and on board, developing unique cultural tourist routes, facilitating youth exchanges between the two nations, and offering professional support for cross-border transportation of valuable artworks. Then, they witnessed the signing of an MoU between CEA and Treccani Institute, marking a new stage in the collaboration between both bodies. CEA inaugurated two new direct flight routes between China and Italy on September 26, 2024, as part of their "Air Silk Road" expansion: Venice–Shanghai and Milan–Xi'an. Now, therefore, CEA operates five direct routes between China and Italy: from Rome, Milan, and Venice to Shanghai; Milan to Xi'an; and Rome to Wenzhou. The weekly two-way flights between China and Italy have been raised to 46, which has fostered greater economic, trade, cultural, and people-to-people exchanges between the two nations.
Yahoo
27 minutes ago
- Yahoo
Zoom Communications (ZM) Outperforms Broader Market: What You Need to Know
Zoom Communications (ZM) ended the recent trading session at $78.58, demonstrating a +1.28% change from the preceding day's closing price. The stock outperformed the S&P 500, which registered a daily gain of 0.83%. Meanwhile, the Dow gained 0.77%, and the Nasdaq, a tech-heavy index, added 1.02%. Coming into today, shares of the video-conferencing company had lost 3.83% in the past month. In that same time, the Computer and Technology sector gained 8.25%, while the S&P 500 gained 4.99%. Market participants will be closely following the financial results of Zoom Communications in its upcoming release. The company is predicted to post an EPS of $1.37, indicating a 1.44% decline compared to the equivalent quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $1.2 billion, up 3.02% from the year-ago period. For the full year, the Zacks Consensus Estimates are projecting earnings of $5.59 per share and revenue of $4.81 billion, which would represent changes of +0.9% and +2.99%, respectively, from the prior year. Investors should also note any recent changes to analyst estimates for Zoom Communications. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook. Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system. The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.74% increase. Zoom Communications currently has a Zacks Rank of #2 (Buy). Valuation is also important, so investors should note that Zoom Communications has a Forward P/E ratio of 13.89 right now. This signifies a discount in comparison to the average Forward P/E of 28.74 for its industry. Investors should also note that ZM has a PEG ratio of 7.45 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 2.22 based on yesterday's closing prices. The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 46, putting it in the top 19% of all 250+ industries. The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Remember to apply to follow these and more stock-moving metrics during the upcoming trading sessions. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Zoom Communications, Inc. (ZM) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
27 minutes ago
- Yahoo
Snap (SNAP) Stock Falls Amid Market Uptick: What Investors Need to Know
In the latest trading session, Snap (SNAP) closed at $9.27, marking a -1.17% move from the previous day. The stock's performance was behind the S&P 500's daily gain of 0.83%. Meanwhile, the Dow gained 0.77%, and the Nasdaq, a tech-heavy index, added 1.02%. Shares of the company behind Snapchat witnessed a gain of 11.01% over the previous month, beating the performance of the Computer and Technology sector with its gain of 8.25%, and the S&P 500's gain of 4.99%. The upcoming earnings release of Snap will be of great interest to investors. The company's upcoming EPS is projected at $0, signifying a 100.00% drop compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.34 billion, up 7.96% from the year-ago period. For the full year, the Zacks Consensus Estimates project earnings of $0.25 per share and a revenue of $5.82 billion, demonstrating changes of -13.79% and +8.59%, respectively, from the preceding year. Investors should also note any recent changes to analyst estimates for Snap. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook. Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system. The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.09% higher within the past month. Snap currently has a Zacks Rank of #3 (Hold). Looking at its valuation, Snap is holding a Forward P/E ratio of 38.29. This valuation marks a premium compared to its industry average Forward P/E of 28.74. Also, we should mention that SNAP has a PEG ratio of 1.09. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Software was holding an average PEG ratio of 2.22 at yesterday's closing price. The Internet - Software industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 46, positioning it in the top 19% of all 250+ industries. The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Make sure to utilize to follow all of these stock-moving metrics, and more, in the coming trading sessions. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Snap Inc. (SNAP) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
