Near-term downside risk seen for chip industry

TA Securities, in the report yesterday, maintained its “neutral” stance on the semiconductor sector with a “buy” recommendations on Unisem, “hold” on Inari Amertron and Malaysian Pacific Industries and a “sell” on Elsoft Research. (Filepic shows a UNISEM factory.)

PETALING JAYA: While global semiconductor sales are predicted to resume growth next year, TA Securities Research warns of a downside risk in the near-term.

The research house said it sees a near-term downside risk for the sector if the US proceeds to impose tariffs on the remaining imports from China, with the next wave of tariffs covering major consumer items like laptops, smartphones, and television sets.