Winners and losers after the Huawei ban

1 min read

More than four weeks after the Trump administration placed Huawei on a trade blacklist, the stock market is still reacting. Tech companies in China and the United States alike have seen share prices fall.

Huawei’s suppliers and competitors have lost share value since the Trump administration’s ban. Chipmakers NeoPhotonics and Lumentum, and semiconductor firm Qorvo have been hit the worst. NeoPhotonics relies on Huawei for 47% of its revenue, Lumentum and Qorvo for 11%, according to Goldman Sachs data analyzed by Reuters.

 

Huawei’s American chip suppliers in blue and red; those which depend on Huawei for more than 10% of their revenue in red. In green, Huawei’s international competitors. The semiconductor composite index in purple. (Image credit: TechNode/Eugene Tang)

South Korean electronics giant Samsung has seen its shares increase the most, exceeding 5%. Share prices for other non-Chinese telecom equipment companies have also gained: Finland-based Nokia and Swedish telecom firm Ericsson both rose around 3%. China’s other smartphone and telecom equipment makers, Xiaomi and ZTE, have both lost share value.

 

Huawei’s American chip suppliers in blue and red; those which depend on Huawei for more than 10% of their revenue in red. The semiconductor composite index in purple. (Image credit: TechNode/Eugene Tang)

Nearly all American chipmakers which supply Huawei with electronic components have seen share prices fall. The composite index for the semiconductor industry declined about 5%.

 

(Image credit: TechNode/Eugene Tang)

Chinese phone makers have also lost share value, whereas Huawei’s international competitors have seen a steady rise.