The lofty tariffs imposed by US President Donald Trump's administration are already hitting the global economy hard. Nvidia, the world's largest chip manufacturer, is no exception. Its shares went under strong selling pressure. Recently, Nvidia's stock instantly plummeted by 9%. The plunge came after the implementation of import tariffs on goods from Canada and Mexico.
President Trump’s decision to slap 25% tariffs on nearly all imports from Mexico and Canada, along with raising tariffs on Chinese goods to 20%, has triggered shockwaves across stock markets. As a result, Nvidia’s stock—a key player in the global semiconductor industry—tumbled nearly 9%, making it one of the hardest-hit companies. Besides, Nvidia’s troubles are worsened by reports that Chinese clients are bypassing US export controls to acquire the company’s latest chips. According to investigative reports by journalists, Chinese firms are allegedly ordering Blackwell processors through third-party countries. However, Nvidia’s board has promised to examine each case and take appropriate measures.
The Ministry of Justice of Singapore has already launched an investigation into similar incidents. Recently, local police arrested several individuals suspected of purchasing Nvidia chips while circumventing US sanctions.
Earlier, after Nvidia’s latest corporate report was released, the company’s shares slumped by 13%. Although its earnings report exceeded Wall Street's expectations, it was not enough to improve investor confidence. One of the biggest concerns remains uncertainty over the US trade policy. Nvidia’s board fears that new customs measures could weaken its competitiveness and hinder innovation development.
