Facing competition from the US and China in artificial intelligence (AI), the European Union (EU) has initiated a massive EUR30 billion (approx. US$34.7 billion) GW-scale AI factory project aimed at reshaping Europe's technological sovereignty and industrial competitiveness, addressing recent lags in AI computing power.

Taiwanese passive component giant Yageo held its earnings call on July 29, 2025, revealing that its second-quarter revenue growth exceeded expectations. It benefited from strong end-market demand and a surge of urgent orders during the tariff grace period. However, continued New Taiwan Dollar appreciation against the US Dollar placed pressure on overall profit margins. For the third quarter of 2025, Yageo CEO David Wang expects revenue to grow at a low single-digit rate, with gross margin and profitability continuing to trend slightly upward.

Nexchip Semiconductor said on July 29 that major shareholder Powerchip Innovation Investment Holdings will transfer a 6% stake — equal to 120,368,109 shares — to Huaqin Technology under a newly signed agreement.

The rapidly evolving global geopolitical landscape has made diversified production an inevitable trend. Taiwanese manufacturers are now reconsidering how to allocate resources between their headquarters and factories to adapt to these new challenges. Wiwynn chairperson Emily Hong highlighted that the company is contemplating transforming its production bases worldwide into competence centers. She stated that not every company needs to have its headquarters located in Taiwan.

As the US prepares to announce reciprocal tariffs on Taiwan, concerns persist over the potential impact on Taiwanese industries, including exports, technology, and agriculture. If the US imposes zero tariffs on imported products, further pressure could be placed on Taiwan's automotive and agricultural sectors. Despite high potential risks, most technology companies are currently adopting a passive approach due to uncertainty about the final direction of US policy.

In Vietnam's northern manufacturing belt, tariff angst isn't stopping the flow of Chinese money. If anything, it's growing.

India's Economic Times reports that Wistron Group plans to invest about INR10 billion (US$115.30 million) to establish an electronics manufacturing plant in Telangana, targeting servers, routers, and switches production. However, industry sources suggest the investment might be from a Wistron subsidiary, not the parent company.

Taiwan's Ministry of Economic Affairs (MOEA) Investment Review Committee approved eight major investment projects on July 29, 2025, including significant capital injections by prominent Taiwanese companies into their US and Chinese operations. The approvals reflect ongoing demand linked to growth in AI, high-performance computing, and cloud data services.

With the 2025 OCP APAC Summit set to kick off next week in Taipei, industry attention is turning toward the next wave of AI and high-performance computing (HPC) infrastructure.

On July 29, Foxconn announced the suspension of its common shares and associated warrants, effective from July 30, pending the disclosure of significant information. Teco Electric & Machinery also declared a simultaneous trading halt, starting July 30, prompting market attention to a possible major cooperation between the two companies.

Apple will announce its second-quarter financial results on July 31. The market currently holds a relatively optimistic view of its performance this year. Factors such as positive exchange rates, increased Mac and iPad shipments, and strong growth momentum in Apple's services revenue have led to upward revisions of its third-quarter performance forecasts.

Sanmina reported fiscal third quarter 2025 results that beat Wall Street expectations on both revenue and profitability, fueled by strong performance across all major end markets and continued operational discipline.

Although US President Donald Trump's reciprocal tariff policy implemented in April 2025 has caused significant shocks to global trade and economy, the National Development Council (NDC) announced on June 28, 2025, that Taiwan's current economic situation continues to show stable growth.

Global manufacturers are demanding clearer performance metrics before investing in artificial intelligence (AI)-powered smart manufacturing systems, with supply chain experts identifying three key criteria driving adoption decisions: visibility, verifiability, and rapid guidance capabilities.

Delta Electronics inaugurated its new Smart Manufacturing Innovation Center on July 25, 2025, a comprehensive facility designed to support the global shift toward decentralized production and centralized management. The new facility aims to bolster industrial automation capabilities by offering an all-in-one service for machine operation, technical testing, and certification in a real-world industrial setting.

Foxconn has increased its investment in two US-based electric vehicle units as part of a long-term strategy to expand its global manufacturing footprint amid shifting geopolitical dynamics and trade barriers.

Despite Nvidia CEO Jensen Huang's comment during his recent visit to China that he believes Apple has its strengths and pace in advancing its AI technologies, doubts about Apple's AI development continue to expand throughout the year among market observers, hinting at Apple's innovation fatigue.

US-based electronics manufacturer Jabil is close to completing its new plant in Sanand, Gujarat, Union Minister of Electronics and IT Ashwini Vaishnaw confirmed on X on July 26, 2025. The company is investing over INR20 billion (around US$238 million) in manufacturing silicon photonics and electronic manufacturing services at the site.

As generative AI tools like ChatGPT capture global attention, a new frontier is emerging—physical AI, or artificial intelligence that can interact with the real world. While large language models are skilled at understanding and reasoning with words, they fall short when it comes to responding to real-world events in real time.

President Donald Trump's recent flurry of trade deals have given Asian exporters some clarity on tariffs, but missing are key details on how to avoid punitive rates that target China's supply chains.

Darwin Precisions, a subsidiary of AUO Group, is actively expanding into the biomedical field while maintaining steady development in the backlight module sector. Chairman Michael Tsai stated that under a dual-axis transformation strategy, Darwin has laid out plans in display optics and biomedical materials. By now, it has cultivated four startups in new business areas, expected to grow by at least 50% by 2026.

While Taiwanese EMS firms aggressively capitalize on booming AI server demand, their Chinese counterparts are exploring alternative growth engines amid continued weakness in the consumer electronics market. Increasingly, Chinese EMS companies are turning their attention to long-term investments in emerging sectors such as smart glasses and robotics.

With the Trump administration set to impose a yet-to-be-defined reciprocal tariff, and the US launching a national security investigation under Section 232 of the Trade Expansion Act, Taiwan's Ministry of Economic Affairs (MOEA) has commissioned the Taiwan External Trade Development Council (TAITRA) to assist local businesses in expanding to markets beyond the US. Due to the characteristics of Taiwan's industrial sector, with its high density and high market concentration, the move aims to reduce the dependence on a single market, enhance supply chain resilience, and improve global competitiveness.

After months of negotiations, the US and the EU announced a new trade framework agreement, effective August 1, under which the US will impose a unified 15% tariff on most European imports. This rate is substantially lower than the initially proposed tariffs, ranging from 30% to 50%, including key sectors such as automobiles, pharmaceuticals, and semiconductors, helping to prevent an escalating trade conflict.