Asian Chip Stocks Plunge Up to 7.5% as China's Lithography Breakthrough Shakes the Sector

A broad Asian semiconductor index fell as much as 7.5% on July 28, 2026 — its worst session since early March — after The Information reported that a Chinese state-backed firm began mass producing domestically developed immersion DUV lithography systems. Samsung dropped 13.4% and SK Hynix 14.7%. The tool narrows a key bottleneck for China's chipmaking self-sufficiency, pressuring rivals' competitive moats. Whether the equipment achieves commercial-grade yields remains unverified.