TAIPEI (Taiwan News) — China’s new wave of lockdowns are taking a toll on demand for consumer electronics, according to Mark Liu (劉德音), CEO of Taiwan Semiconductor Manufacturing Co. (TSMC).

While demand for semiconductors used in automobiles, internet-of-things devices, and high performance computing remained strong, Liu said, demand for products like smartphones, personal computers, and televisions is slowing, per a Bloomberg report. The Taiwanese chipmaker will recalibrate its priorities to adjust to the changing market trends, Liu added.

Liu’s comments come as authorities in China enforce a lockdown in Shanghai. The coastal city’s eastern half shutdown on Monday (March 28) and on Friday (April 1) the western half is due to do the same.

TSMC announced it would comply with pandemic prevention measures but would not be halting production at its foundries in the city. Liu also called on the Taiwanese government to quickly come to a decision about reopening its own borders.

Shanghai’s lockdown is predicted to be even more destablizing for the global economy than China’s previous shutdowns of other large cities, such as tech hub Shenzhen, according to analysis by Bloomberg Intelligence.