Chip stocks dropped further Monday as European Union officials prepared potential countermeasures in response to U.S. President Donald Trump's escalating tariff policy.
The 27-member EU bloc is weighing targeted duties on up to $28 billion worth of U.S. goods, ranging from meat and wine to tech-related products like semiconductors. A vote on the first round of measures is expected Wednesday.
Among European chipmakers, ASML (ASML, Financial) fell nearly 3% premarket, STMicroelectronics (STM, Financial) dropped 4%, and U.S.-listed NXP Semiconductors (NXPI, Financial) dipped about 2%. Broader U.S. chip names also slumped.
Nvidia (NVDA, Financial) fell roughly 5%, Advanced Micro Devices (AMD, Financial) slid 4%, and Marvell Technology (MRVL, Financial) was off nearly 5%. Broadcom (AVGO, Financial) and Qualcomm (QCOM, Financial) each declined 2% to 3%.
Elsewhere, Taiwan Semiconductor Manufacturing (TSM, Financial) dropped nearly 8%, Lattice Semiconductor (LSCC, Financial) fell 5%, and both Analog Devices (ADI, Financial) and Intel (INTC, Financial) slipped around 2%. GlobalFoundries (GFS, Financial) and Micron (MU, Financial) dipped 1%, while Texas Instruments (TXN, Financial) was largely unchanged.
EU Commission President Ursula von der Leyen said the bloc is prepared to protect its businesses if talks fail, while internal debate continues over the scale and scope of the response.
