{"slug": "chip-stocks-are-getting-hammered-but-china-s-hottest-new-listing-is-holding-up", "title": "Chip stocks are getting hammered — but China's hottest new listing is holding up", "summary": "Asian chip stocks tumbled on Tuesday, with South Korea's Kospi falling as much as 11% and Samsung Electronics and SK Hynix losing up to 13% and 14%, respectively, as investors pulled back from AI trades. China's CXMT Corp., which surged 466% on its debut Monday, slipped just 1.6% by midday, holding onto most of its gains amid optimism over China's homegrown semiconductor push.", "body_md": "# Chip stocks are getting hammered — but China's hottest new listing is holding up\n\n[Business Insider](https://www.businessinsider.com)\n\nSouth Korean and Japanese semiconductor heavyweights lead a broad retreat as investors pulled back from big winners in the AI boom.\n\n- Asian chip stocks tumbled as investors pulled back from AI trades.\n- China's CXMT slipped but held on to most of its blockbuster debut gains.\n- China's memory-chip expansion is accelerating amid a push for self-reliance.\n\nChip stocks sold off across Asia on Tuesday, with South Korean and Japanese semiconductor heavyweights leading a broad retreat as investors pulled back from some of the biggest winners of the AI boom.\n\n[South Korea's Kospi](https://markets.businessinsider.com/index/kospi) fell as much as 11% by 12:15 p.m. local time after triggering the circuit breaker. Undex heavyweights [Samsung Electronics and SK Hynix](https://www.businessinsider.com/samsung-sk-hynix-have-an-edge-japan-cant-match-kioxia-dealmaker-2026-7) lost as much as 13% and 14%, respectively.\n\nIn Japan, the Nikkei 225 declined 5%. [Memory-chip maker Kioxia](https://www.businessinsider.com/best-performing-non-us-stocks-ai-boom-korea-taiwan-japan-2026-7) — one of the market's standout performers in the first half of the year — slumped 18%.\n\nTaiwan Semiconductor Manufacturing Co. fell over 3%, dragging the Taiex index down as much as 4.7%.\n\nEven [China's CXMT Corp.](https://www.businessinsider.com/cxmt-stock-price-ipo-688825-ticker-shanghai-changxin-ram-chip-2026-7) wasn't entirely spared.\n\nShares in China's hottest new chip stock fell as much as 7.7% at the open before recovering to trade 1.6% lower by midday. The pullback barely dented Monday's 466% debut surge, leaving the stock holding on to the vast majority of its gains.\n\nCXMT's first-day rally gave it a market value of roughly 3.3 trillion yuan, or about $487 billion, making it the most valuable company listed on a mainland Chinese exchange. The blockbuster debut underscored investor enthusiasm for China's efforts to build a homegrown semiconductor industry.\n\n**China's chip push**\n\nThat optimism is supported by expectations of a multiyear expansion in China's memory-chip industry.\n\nOfficial data released on Monday showed profits in the country's chipmaking sector surged more than 2,500% in the first half of the year.\n\nChinese memory-chip makers have significantly sped up their capacity-expansion plans for the next few years, Bernstein analyst Qingyuan Lin wrote in a Monday note.\n\n\"As the [AI demand](https://www.businessinsider.com/kimi-k3-ai-model-moonshot-investors-alibaba-cloud-tencent-stock-2026-7) continues to grow and [Nvidia](/glossary/nvidia) continues to be banned by both Chinese and US government from shipping to China, we believe the advanced logic capacity expansion could further accelerate as well,**\"** Lin wrote.\n\nThe latest weakness in chip stocks also followed a report from \"The Information\" that a Chinese state-backed company has begun producing chipmaking machines domestically.\n\nWhile the technology still trails the world's most advanced equipment, it marks another step in China's push to reduce its reliance on foreign suppliers and strengthen its semiconductor industry.\n\n## AI trade jitters\n\nThe broader chip selloff comes as investors grow more concerned about the huge amounts of money flowing into AI and the increasingly close financial ties among chipmakers, cloud providers, and AI developers.\n\nThe fear is that weakness in one part of the AI trade could quickly spread across the rest of the sector.\n\nThose concerns weighed on Nvidia on Monday. Its shares fell about 5%, allowing Apple to overtake it as the world's most valuable publicly traded company.\n\n[Business Insider](https://www.businessinsider.com/kospi-stock-index-sk-hynix-samsung-nikkei-kioxia-cxmt-2026-7)\n\nGet AI news in your inbox\n\nDaily digest of what matters in AI.", "url": "https://wpnews.pro/news/chip-stocks-are-getting-hammered-but-china-s-hottest-new-listing-is-holding-up", "canonical_source": "https://www.machinebrief.com/news/chip-stocks-are-getting-hammered-but-chinas-hottest-new-list-qb4b", "published_at": "2026-07-28 05:28:00+00:00", "updated_at": "2026-07-28 06:58:21.316563+00:00", "lang": "en", "topics": ["artificial-intelligence", "ai-chips", "ai-infrastructure"], "entities": ["Samsung Electronics", "SK Hynix", "Kioxia", "Taiwan Semiconductor Manufacturing Co.", "CXMT Corp.", "Nvidia", "Apple", "Bernstein"], "alternates": {"html": "https://wpnews.pro/news/chip-stocks-are-getting-hammered-but-china-s-hottest-new-listing-is-holding-up", "markdown": "https://wpnews.pro/news/chip-stocks-are-getting-hammered-but-china-s-hottest-new-listing-is-holding-up.md", "text": "https://wpnews.pro/news/chip-stocks-are-getting-hammered-but-china-s-hottest-new-listing-is-holding-up.txt", "jsonld": "https://wpnews.pro/news/chip-stocks-are-getting-hammered-but-china-s-hottest-new-listing-is-holding-up.jsonld"}}