CMBI's report mentioned that US President Donald Trump announced plans to levy a 100% tariff on semiconductor imports but promised exemptions for companies making large-scale investments in the US. Trump indicated that Apple's (AAPL.US) commitment to ramp up its investment in the US to US$600 billion over the next four years will exempt its products from tariffs. Several tech companies, such as Samsung and SK Hynix, will also receive tariff exemptions due to their investment commitments in the US.

Although official details have yet to be released, CMBI assumed that this exemption policy will have a positive impact on the following sectors: 1) Smartphone/ iPad/ TWS-related companies, as the exemptions for Apple/ Samsung will relieve market concerns over Section 232 tariffs; 2) Server/ AI server companies, as server assembly in Mexico (according to the USMCA agreement) and NVIDIA's (NVDA.US) commitment to invest US$500 billion in AI infrastructure in the US will maintain tariff exemptions.

Overall, the broker considered that companies with a high sales proportion of Apple/ Samsung/ AI servers will benefit, such as AAC TECH (02018.HK), BYD ELECTRONIC (00285.HK), LUXSHARE PRECISION (002475.SZ), FIT HON TENG (06088.HK), and LENS (06613.HK).
~



AASTOCKS Financial News
Website: www.aastocks.com

SG Top Picks
Stock & Type	Code	Strike(Call Level)	Last	Effective Gearing
AAC (C)	17227	54.04 (-)	0.154	3.1 X
AAC (C)	13937	52.88 (-)	0.083	4.8 X
APPLE (C)	10758	243 (-)	0.330	5.6 X
APPLE (C)	10614	236 (-)	0.129	12.1 X
APPLE (P)	10678	170 (-)	0.039	7.7 X
Nvidia (C)	10721	175 (-)	0.440	4.2 X
Nvidia (P)	10714	125 (-)	0.069	4.5 X