Southeast Asia's reciprocal tariff framework has prompted major IC substrate manufacturers to pause southbound investment evaluations. Meanwhile, Taiwanese and Chinese PCB producers expanding in Thailand face production challenges that are limiting order flows to suppliers including drill bit maker Topoint Technology and prepreg manufacturer Aurona Industries.

Despite a generally negative outlook for the second half of the year, Largan, a key market indicator, stressed during its earnings call that the demand momentum for new flagship smartphones remains largely unchanged compared to previous years.

The biotechnology sector is hailing a major milestone as Isomorphic Labs, a startup incubated by Google DeepMind, prepares to enter human trials with a drug candidate designed using artificial intelligence (AI). Industry experts see this breakthrough as a potential game-changer in biomedical research and development.

With AI promising to massively transform research and development in the biomedical industry, Bionet Corp. has launched its AI foundry platform for human and animal pharmaceutical research, emulating TSMC's foundry model in the semiconductor industry to reduce the time and cost of research, according to corporate group chairman Cheng-hsien Tsai.

The advent of the personal computer (PC) provided an opportunity for Taiwan's manufacturing services to further evolve.

Sun Yad Group operates across construction, biotechnology, materials, healthcare and drones in a diversified conglomerate worth NT$17 billion (US$583 million). Chairman Yu-ming Chang transformed the company from a traditional synthetic leather producer into Taiwan's multi-industry player through strategic acquisitions and vertical integration.

Under President Donald Trump's trade policies, US tariff revenue has soared, driven by sweeping duties on steel, aluminum, autos, and goods from China. A recent spike in dutiable import values and effective tax rates underscores the growing impact of protectionism on global supply chains and domestic price pressures.

Malaysia's Penang state, home to about 13% of global semiconductor assembly and testing capacity, is positioning itself to capture more advanced chip manufacturing as artificial intelligence (AI) drives demand for sophisticated packaging technologies.

French microprocessor startup SiPearl has secured EUR130 million (US$152.53 million) in a Series A funding round, with investors including Taiwan's Cathay Venture Inc. The company will use the funds to mass-produce its Rhea1 chip and develop next-generation processors aimed at advancing Europe's capabilities in supercomputing and artificial intelligence (AI).

As the US-China trade war intensifies, American businesses in China become increasingly uncomfortable. IBM announced massive layoffs in China and closed its Beijing R&D center, a major indicator that American companies are withdrawing. Despite that, IBM Asia Pacific general manager Hans Dekkers recently stated in an interview with DIGITIMES that IBM's footprint in China has actually grown in both staffing and business. He firmly stated that IBM has been in China for forty years and will continue to be there for the next forty years to come.

Materials supplier Niching is aiming to hit record-high revenue this year after strong performance in the first half of 2025, boosted by continued growing demand in the AI, high performance computing (HPC), and advanced packaging sectors, as well as early order pull-ins from some of the company's clients.