Taiwan Stocks Plunge 1873 Points, Lai Ching-te Reportedly Sends Line Message to Inquire
Taiwan stocks plunged for consecutive days, falling to 3萬7837 points intraday on the 6th and closing down 1873 points, the 4th-largest single-day drop in history, leaving the market panicked. Hsieh Chin-ho, chairman of Wealth Media Group, revealed in the afternoon of the same day while attending the 2026 Kaohsiung International Financial Expo at the Kaohsiung Exhibition Center that President Lai Ching-te had sent him a Line message in the morning asking why the market was like this. He responded that Taiwan was caught in the tail of the typhoon, TSMC remains resilient, and this correction mainly stemmed from the impact of the U.S. midterm election results, with uncertainty over AI development policy, but the main track of the AI industry will not change.
Peng Jin-lung Rushes Back to Taipei to Hold the Fort, Vice Chairperson Fills In
FSC Chairman Peng Jin-lung, originally scheduled to attend the expo, rushed back to Taipei to hold the fort due to the violent volatility in Taiwan stocks, with FSC Vice Chairperson Chuang Hsiu-yuan attending on his behalf, while Kaohsiung Mayor Chen Chi-mai and Hsieh Chin-ho attended the opening event. Regarding the global stock sell-off triggered by the sharp fall in U.S. tech stocks, Hsieh Chin-ho noted that the U.S. midterm election results, in which the Democratic Party won a sweeping victory, have pushed U.S. President Trump into lame-duck status early, and the market has begun to worry about the Democratic Party's attitude toward AI data center development.
80% of Data Centers Concentrated in Three States, Policy to Sway Investment
Hsieh Chin-ho pointed out that about 80% of U.S. AI data center construction is concentrated in Texas, Georgia and Ohio, and the election results in these states and local governments' policy stance toward AI data centers could affect subsequent investment. The sharp fall in U.S. stocks has shrunk investors' wallets, and the Democratic Party is also facing considerable pressure, with the Texas governor-elect having changed his tone to say he does not reject AI data centers, and the Texas senator-elect expressing willingness to cooperate with Musk, showing there is still room for maneuver in related policies.
Taiwan Is AI Logistics Base, TSMC Resilient
He stressed that Taiwan has in recent years become an important logistics base in the AI arms race, and if obstacles emerge in U.S. AI data center construction, Taiwan's tech industry will inevitably be affected. However, the AI race has already started, and no one dares to give up on AI. Although there will be short-term twists, the main track of industry development will not change. He also believes TSMC, the sacred mountain protecting the country, remains resilient, and other markets may not necessarily fare better than Taiwan.
Called for 5萬 Points a Month Ago, Now Reads It as External Storm
Notably, Hsieh Chin-ho had posted on Facebook a month ago expressing optimism about the market, noting at the time that global stock markets were entering a new track, with TSMC ADR shares again approaching historic highs, potentially driving TSMC shares above 2535元 to new highs. He also estimated from TSMC's first-half net profit of 1.279兆元 that full-year profit could approach 3兆元, with EPS possibly around 110元, arguing TSMC could lead Taiwan stocks toward the 5萬-point target. Now facing consecutive-day plunges, he still reads it as an external storm triggered by U.S. political developments and AI policy uncertainty, stressing Taiwan was merely caught in the typhoon tail and the long-term trend is unchanged.