Reuters reports that shares of Samsung Electronics fell to their lowest level in more than four years on Wednesday amid concerns about the impact of US tariffs under the new Trump administration.
Lee Minhee, an analyst at BNK Investment & Securities, noted that Trump’s potential tariffs on Chinese imports could deal a bigger blow to Samsung, which is more dependent on Chinese customers than its local rival, SK Hynix.
Trump has threatened to impose a universal 10% tariff on imports and 60% on Chinese goods, which could reduce demand for electronics using chips.
Last week, South Korean President Yun Seok-you also expressed concern that Trump’s threat to impose high tariffs on Chinese imports could encourage Chinese competitors to lower export prices and undermine Korean chipmakers’ positions abroad.