On August 18, Hong Kong semiconductor stocks weakened, with HUA HONG SEMI falling more than 10% during trading sessions. Shanghai Fudan declined over 3%, while Naokong Technology dropped more than 2%.

On August 15, U.S. President Trump announced that he would impose tariffs on semiconductors within the next two weeks, marking the latest indication of his plans to significantly expand the tariff system. Speaking aboard Air Force One while en route to Alaska for a summit with Russian President Putin on Friday, Trump stated: "I will determine tariffs on steel and chips next week and the week after. What I mean is chips and semiconductors - we will determine this next week or sometime in the weeks following." It remains unclear whether Trump misspoke regarding steel tariffs, as he had already raised import tariffs on steel and aluminum to 50% in June. The President has repeatedly promised to impose tariffs on chips and pharmaceuticals within weeks but has yet to make a formal announcement. Additionally, Trump hinted that tariffs on imported semiconductors could be even higher, stating: "The tax rate I intend to set might be 200%, or perhaps 300%?"

Furthermore, Hua Hong Company (688347.SH) announced that to resolve IPO-related same-industry competition commitments, the company is planning to acquire controlling interest in Shanghai Huali Microelectronics Co., Ltd. through a combination of stock issuance and cash payment, along with supporting fundraising. The target asset for this acquisition is the equity corresponding to assets operated by Shanghai Huali Microelectronics that compete with Hua Hong Company in the 65/55nm and 40nm sectors (Hua Hong Fab 5). Currently, the target asset is in the process of separation.