Rising toll of US-China trade, tech curbs in focus ahead of Xi-Trump summit

President Xi Jinping and US President Donald Trump are set to meet in Washington this week, with trade restrictions and technology curbs remaining a crucial discussion point. Over the past year, companies on both sides have suffered from the escalating rivalry, though some have managed to offset the losses through government support. The article examines the impact of these restrictions on 18 listed firms, drawing from their earnings reports.

Direct financial hits include lost revenue, reduced profits, cancelled orders, and inventory write-downs. For instance, US chipmaker Nvidia had to record a $400 million charge in the first half of its 2027 financial year for excess inventory and purchase obligations linked to the H200 graphics chip. In China, Bohai Automotive Systems saw its net loss grow to 3.09 million yuan (around $460,630) in the first half of the year, down from a profit of 301.5 million yuan a year earlier.

MotoMotion and Haier Smart Home, both smart-furniture makers, reported double-digit declines in first-half profits due to higher tariffs.

US semiconductor equipment makers Applied Materials and Lam Research reported that export restrictions on China limited their market for certain products and services while increasing competition from rivals. Qualcomm, despite revoking Huawei's licence to sell 4G and certain integrated circuit products, did not anticipate any revenue from the Chinese firm in its latest quarterly report and warned that Huawei's growing share of China's smartphone market could hurt its operations.

Super Micro Computer highlighted the complexity of complying with ever-changing US trade curbs on advanced processors, cautioning that licensing delays and compliance burdens could make technical support more difficult and encourage customers to seek alternatives.