Assessing Taiwan Earthquake's Supply Chain Impacts and Potential Outlook

On April 3, 2024, Taiwan experienced a 7.4 magnitude earthquake, which caused significant damage to infrastructure and operations. As a result, around 308,000 power outages have been reported in the country. This seismic event sent shockwaves in the semiconductor industry. Taiwan is the hub for semiconductor manufacturing, with TSMC responsible for 80-90% of the world’s highest-end chips. While most semiconductor companies have not faced infrastructure damages, shutdowns for inspection will impact business continuity.