Technology stocks took a significant hit on Thursday due to President Donald Trump’s latest tariff policies, prompting widespread panic in the markets. Apple emerged as the biggest loser among the “Magnificent Seven” tech giants, plummeting nearly 10%. The iPhone manufacturer, which produces its devices in China and other Asian countries, is on track for its steepest stock drop since 2020. Suppliers such as Qorvo and Skyworks Solutions also saw sharp declines, each plummeting by at least 12%.
The tech-heavy Nasdaq Composite index dropped nearly 6%, heading toward its worst trading session in over five years. Year-to-date, the index has declined by 14%. Other major tech companies were not spared either, with Meta Platforms and Amazon each falling around 9%, while Nvidia and Tesla dropped more than 6%. Nvidia, which produces chips in Taiwan and relies on Mexico for assembling its AI systems, was particularly vulnerable. Microsoft and Alphabet recorded declines of about 2% and 4%, respectively.
The semiconductor sector felt a significant impact as well, with Arm Holdings, Marvell Technology, Broadcom, and Lam Research each falling around 10%. Micron Technology suffered a staggering drop of more than 15%, and Advanced Micro Devices (AMD) decreased by more than 8%. Personal computer manufacturers Dell and HP experienced declines exceeding 14%, with Dell poised for its worst session since 2018.
This wave of declines in technology stocks coincided with a broader market selloff triggered by fears of a global trade war following Trump’s announcement of a 10% blanket tariff on all imported goods, along with increased duties on specific nations. He characterized these tariffs as a “declaration of economic independence” for the United States.
In reaction to the sweeping policy changes, countries and companies worldwide have begun to voice their concerns. The Chinese Ministry of Commerce has urged the U.S. to “immediately cancel” the unilateral tariff measures, warning of “resolute counter-measures.” The new tariffs include a substantial 34% levy on China, stacked on top of a previous 20% tax, a 46% duty on Vietnam, and a 20% levy on imports from the European Union.
The announcement comes on the heels of a challenging quarter for the tech-heavy Nasdaq, marking the worst performance for the index since 2022. Stock prices across various sectors have been under pressure amid growing concerns about a weakening U.S. economy. In his address, Trump highlighted some megacap tech companies for their investments in the U.S., specifically noting Apple’s commitment to spend $500 billion over the next four years.
