TAIPEI (Taiwan News) — Taiwan’s stock market closed higher on Wednesday, supported by a rebound in major tech shares and strong gains in plastics and drone-related stocks.
The Taiwan Stock Exchange Capitalization Weighted Stock Index, or TAIEX, rose 260.2 points to close at 23,461.72. Turnover totaled NT$327 billion (US$11 billion), according to CNA and CTEE.
TSMC gained 1.76% to finish at NT$1,155. MediaTek advanced 1.47% to NT$1,380, while Foxconn fell 2.56% to NT$171.5.
Plastics stocks outperformed, led by Formosa Plastics, which rose 9.92% to NT$42.65 on trading volume of over 64 million shares. Its increase followed a 40% short-term rally in peer company Nan Ya Plastics.
Formosa Chemicals & Fibre gained 9.46%, and Formosa Petrochemical climbed 9.91%. Other companies in the sector, including Grand Pacific Petrochemical and China Petrochemical Development, also ended higher.
Stocks tied to Taiwan’s defense industry saw continued interest after the Ministry of National Defense announced a new round of commercial-grade military drone procurement worth up to NT$50 billion. Thunder Tiger rose 9.92% to NT$95.3, with 117,113 lots traded — ranking third in turnover across all listed companies.
Other firms in the sector, such as Coretronic, Brinno, Aerospace Industrial Development, Evergreen Aviation Technologies, and Parpro, also posted strong gains.
According to Fubon Research Deputy General Manager Tao Chih-wei (陶治瑋), market sentiment has stabilized ahead of the US tariff announcement on Friday. He added that artificial intelligence remains a key investment theme.
TSMC’s positive earnings outlook and recent easing of US chip export restrictions are expected to benefit related industries, including AI semiconductors, advanced packaging, integrated circuit design, and high-performance computing.
Tao also noted increased attention toward policy-driven sectors such as defense and infrastructure. These include military-industrial stocks, power grid developers, and reconstruction companies following recent typhoon damage in western Taiwan.
Traditional industries may also benefit from seasonal demand, with the summer holiday period expected to lift third-quarter earnings for airlines, tourism operators, hotels, and food distributors.
This information is not intended as personalized financial advice. Investors are encouraged to conduct their own research and analysis before making investment decisions.
