Foxconn Shares Rise 3.4% as China’s Rare Earth Curbs Show Limited Impact
Foxconn Technology Co., Ltd. (2354.TW) gained 3.4% to close at TWD 66.90 after downplaying short-term risks from China’s expanded rare earth export controls. Chairman Young Liu acknowledged potential Ripple effects but emphasized manageable supply chain exposure. The electronics giant’s record Q3 revenue, fueled by AI server demand, continues to offset geopolitical pressures.
China tightened its grip on critical materials, adding five rare earth elements—holmium, erbium, thulium, europium, and ytterbium—to export restrictions. These components are vital for semiconductors and high-tech magnets, with China controlling 90% of global production. Foxconn’s global diversification efforts face structural challenges given China’s entrenched dominance in the sector.
