Taiwan's Stock Market Is Now Hostage to TSMC Supply Risk

TSMC accounts for 41.5% of Taiwan's benchmark TAIEX index, while Samsung and SK Hynix comprise 55% of South Korea's KOSPI. A geopolitical disruption to the Taiwan Strait — or slowdown in AI spending — would collapse both markets simultaneously. Asian equities have become structurally coupled to U.S. hyperscaler capex cycles, leaving little buffer for disappointment.