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Nvidia, Apple-Supplier TSMC Halts Production As 6.4 Magnitude Earthquake Strikes Taiwan

Kaustubh Bagalkote
January 20, 2025

A 6.4 magnitude earthquake struck southern Taiwan early Tuesday, forcing Taiwan Semiconductor Manufacturing Co. (NYSE:TSM) to evacuate facilities in a region critical to global chip supply, marking the second significant seismic event to impact semiconductor operations in recent months.

The quake’s epicenter was in Chiayi county’s Dapu township at a depth of 9.4 kilometers, according to Taiwan’s weather administration.

TSMC, which supplies chips to major tech companies including Apple Inc. (NASDAQ:AAPL) and NVIDIA Corp (NASDAQ:NVDA), confirmed staff evacuations at its central and southern Taiwan facilities, though initial reports indicate minimal structural damage, according to Reuters.

At least 15 people sustained minor injuries, including six rescued from a collapsed house in Tainan city, where TSMC operates major fabrication plants. The incident follows April 2024’s more severe 7.4 magnitude earthquake that killed 13 people and disrupted semiconductor operations.

Taiwan’s location along the Pacific “Ring of Fire” makes it susceptible to earthquakes, with previous major incidents in 2016 and 1999 causing significant casualties and industrial disruption, according to the Associated Press.

TSMC is trading at NT$ 1,115 ($34.15) on the Taiwan Exchange, down 0.45% as of 9:12 AM local time. Hon Hai Precision Industry Co. Ltd., also known as Foxconn, has rebounded from an early dip and is currently trading at NT$ 178.50 ($5.47), up 0.28%.

Meanwhile, the TAIEX index, which tracks companies on the Taiwan Stock Exchange, stands at 23,259.39, down 0.032% for the day.

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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