Investor Conferences of Taiwan's Four Major AI Server Manufacturers: Tariff Pressure, Appreciation of the New Taiwan Dollar, and Manufacturing Strategies in the U.S.

Taiwan • Business • 6h ago
Investor Conferences of Taiwan's Four Major AI Server Manufacturers: Tariff Pressure, Appreciation of the New Taiwan Dollar, and Manufacturing Strategies in the U.S.

Taiwan's four major AI server manufacturers, Foxconn, ASUS, Quanta, and Inventec, held earnings calls this week to discuss topics such as U.S. tariff policies, the appreciation of the New Taiwan dollar, and U.S. manufacturing strategies. Foxconn focused on product transformation and currency exchange risks, ASUS adopted a dynamic hedging strategy, Quanta highlighted the stability of AI server shipments, and Inventec began setting up factories in the U.S. These companies are adjusting their supply chains and financial strategies to navigate the uncertain international landscape and maintain competitiveness.

Key Updates

6h ago

Investor Conferences of Taiwan's Four Major AI Server Manufacturers: Tariff Pressure, Appreciation of the New Taiwan Dollar, and Manufacturing Strategies in the U.S.

Taiwan's four major AI server manufacturers, Foxconn, ASUS, Quanta, and Inventec, held earnings calls this week to discuss topics such as U.S. tariff policies, the appreciation of the New Taiwan dollar, and U.S. manufacturing strategies. Foxconn focused on product transformation and currency exchange risks, ASUS adopted a dynamic hedging strategy, Quanta highlighted the stability of AI server shipments, and Inventec began setting up factories in the U.S. These companies are adjusting their supply chains and financial strategies to navigate the uncertain international landscape and maintain competitiveness.

11h ago

In May 2025, the drop in fuel prices and the appreciation of the Taiwan dollar helped reduce operating costs for Taiwan's airline industry, leading to an upward revision of earnings per share.

In May 2025, Taiwan's aviation industry experienced a significant reduction in operating costs due to international aviation fuel prices dropping to a three-year low and the New Taiwan dollar appreciating against the US dollar. Companies such as EVA Air, China Airlines, Tigerair Taiwan, and Starlux Airlines are expected to increase their earnings per share (EPS). The demand for outbound travel has rebounded, resulting in increased passenger and cargo traffic at Taoyuan International Airport, boosting airline revenues. The Taoyuan Aerotropolis project is advancing, further increasing the airport's capacity.

14h ago

Ampo New's revenue in April 2025 fell by 34.52%, recording the largest decline in nearly a year.

Ampo New Co., Ltd. (6743) announced on May 10, 2025, that its consolidated revenue for April was NT$406 million (New Taiwan Dollars), a decrease of 34.52% compared to NT$620 million in the same period last year, hitting a two-month low. The cumulative revenue for the first four months of 2025 reached NT$1.571 billion, a decrease of 10.92% compared to the same period last year. This represents the largest year-on-year decline over the past year, indicating that the company is experiencing revenue pressure at the start of the second quarter.

23h ago

TSMC's record-breaking revenue and growth in exports are driving Taiwan's economic growth, while exchange rate fluctuations and policy adjustments are influencing future directions.

In April 2025, Taiwan's economy saw several significant developments: TSMC achieved a record monthly revenue of NT$349.5 billion due to strong demand for AI chips; the country's exports grew by 29.9% compared to the previous year, with exports of ICT products surpassing those of electronic components for the first time; the New Taiwan dollar underwent significant fluctuations, with the central bank emphasizing policy independence; the Legislative Yuan passed a bill to add five national holidays, which could be implemented as early as September 28th, beginning with Teacher's Day; Wistron increased its investment in its U.S. subsidiary by $455 million, expanding its operations in Texas. These developments highlight Taiwan's evolving role in the restructuring of the global supply chain.

05/09 15:03

Delta Electronics' Revenue in April Reaches a New High: Driven by Tariff Exemption Period, Year-on-Year Growth Reaches 21.6%, Optimistic Outlook for the Second Quarter

Delta Electronics, Inc. announced on May 9, 2025, that its consolidated revenue for April reached NT$407.82 billion, marking a year-on-year increase of 21.6% and achieving the second-highest monthly record in history. Although there was a 6.1% decrease compared to March, the 90-day tariff exemption period in the United States prompted customers to advance their orders, driving revenue growth. Chairman Ping Cheng expects second-quarter revenue to surpass that of the first quarter and mentioned that the company will adapt its strategies in response to market and policy shifts.

05/08 10:01

In April, Taiwan's exports reached USD 48.66 billion, the second highest on record, with information and communication technology products surpassing electronic components for the first time.

In April 2025, Taiwan's exports reached 48.66 billion USD, representing a 29.9% increase from the previous year, the second highest monthly figure ever recorded, marking 18 consecutive months of growth. Imports were 41.46 billion USD, showing a 33.0% increase from the previous year. The United States' temporary 90-day tariff suspension led to early shipments, along with increased demand for AI and high-performance computing, exports of information and communication technology products surpassed those of electronic components for the first time. From January to April, exports totaled 178.23 billion USD, and imports reached 147.38 billion USD, both setting new records for the same period in past years.

05/07 01:01

China Airlines (CAL)'s new chairman and CEO, Hsing-Huang Kao, tackles the challenges posed by U.S. tariffs to secure Taiwan's top position in the air cargo industry.

By the end of March 2025, China Airlines' newly appointed chairman, Kao Hsing-huang, faced the challenge of the increased import tariffs imposed by U.S. President Trump. He quickly adjusted the airline's network and cargo strategy, shifting cargo routes from China to Southeast Asia, maintaining China Airlines' leadership as Taiwan's top air cargo carrier. Kao Hsing-huang's crisis management skills are rooted in his experience during the pandemic, when he successfully led China Airlines to profitability against the odds. In 2024, China Airlines reported a record profit of 14.3 billion NTD and continued its investments in fleet upgrades and sustainable fuels, demonstrating both resilience and adaptability.

Hon Hai: Focusing on Product Transition Period and Exchange Rate Risks

Hon Hai (2317) will hold an investor conference on May 14, with the public is eyeing its first-quarter financial performance and second-quarter outlook. The company stated that its cloud network product division will maintain growth momentum. However, due to the current traditional off-season and the transition phase of major products, it is expected that the second-quarter operations will show growth both quarter-over-quarter and year-over-year.

In response to the recent rapid appreciation of the New Taiwan Dollar and changes in US-China trade policies, Hon Hai will further explain its strategies at the investor conference. The market is also interested in the shipment progress of its new product GB300 and whether there are plans to relocate Apple product capacities. Additionally, Hon Hai's manufacturing layout and supply chain adjustments in the US will be key points of interest for investors.

ASUS: Diversified Markets and Dynamic Hedging Strategies to Address Exchange Rate Fluctuations

ASUS (2357) held an investor conference on May 13, releasing its first-quarter financial report. According to company data, ASUS's consolidated revenue for the first four months reached NT$203.912 billion, an annual increase of 24.85%, with brand revenue growing over 20% annually, indicating continued growth in its laptop, motherboard, graphics card, and AI server product lines.

Facing US reciprocal tariff policies and the appreciation of the New Taiwan Dollar, ASUS Co-CEO Hu Shubin stated that the company has adopted dynamic hedging strategies to cope with short-term exchange rate fluctuations and has reduced its reliance on the US dollar market through diversified market layouts, with non-US dollar market revenue now accounting for over 50%. Additionally, ASUS continues to increase the proportion of high-end products to strengthen its gross profit structure.

Chairman Jonney Shih admitted that the uncertainty of international tariff policies is indeed concerning and emphasized that the company will continue to expand in the AI field, promoting the "Ubiquitous AI" strategy to enhance the AI capabilities of its products and services.

Quanta: Stable AI Server Shipments, US Manufacturing Layout Under Scrutiny

Quanta (2382) will hold an investor conference on May 14 and release its first-quarter financial report. According to the company's announcement, April revenue reached NT$154 billion, a 20% monthly decrease but a 58.2% annual increase, setting a new record for the same period in previous years; cumulative revenue for the first four months reached NT$639.7 billion, an annual increase of 79.5%. The company noted that stable AI server shipments are the main driver of revenue growth.

Chairman Barry Lam recently stated that this year's orders have surpassed last year's levels, with stable demand from the four major US cloud service providers (CSPs), and growth is expected to continue this year and next. Regarding the appreciation of the New Taiwan Dollar and US manufacturing issues, Quanta stated it is currently in a quiet period and will release the latest outlook at the investor conference.

Investors expect that in the second quarter, Quanta will benefit from continued AI investment by clients like Microsoft and Meta, with GB200 server shipments expected to exceed a thousand cabinets, pushing revenue to new highs.

Inventec: US Plant Construction Initiated, Stockpiling in Advance to Address Tariff Uncertainty

Inventec (2356) held an investor conference on May 13, releasing its first-quarter financial report and third-quarter outlook. The company's board approved an investment plan in the US at the end of April, authorizing its US subsidiary to seek a server production plant in Texas with an investment not exceeding US$85 million to strengthen local manufacturing capabilities.

Facing the uncertainty of US reciprocal tariff policies, Inventec noted that there has been a trend of clients stockpiling in advance in the second quarter, with urgent orders increasing, and laptop and server product shipments exceeding expectations. Regarding the appreciation of the New Taiwan Dollar, the company stated that the actual impact needs to be assessed based on regional and client conditions.

Inventec's US manufacturing layout and global capacity adjustment strategy will be key focuses of this investor conference. Investors are also interested in how the company can reduce tariff risks through local production and enhance supply flexibility for the North American market.

US Tariffs and New Taiwan Dollar Appreciation as Common Industry Challenges

According to the recent US-UK "Economic Prosperity Agreement," the US maintains a 10% base tariff and sets quotas and alternative arrangements for products such as automobiles, steel, and aluminum. Although AI servers are not directly included in the high-tariff list, the overall uncertainty in the trade environment has prompted Taiwanese manufacturers to accelerate localized production in the US.

On the other hand, the New Taiwan Dollar has rapidly appreciated since early April, with a cumulative appreciation of over 11%, putting pressure on the export-oriented electronics industry. Although most companies have adopted hedging measures, severe exchange rate fluctuations may still affect gross margins and pricing strategies.

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