This could be serious... sharing from remisier

The USA will impose a full access blockade on Data Center chips in Malaysia 

MIDF view
We'll have to see what Trump will do when he takes office. Trump can immediately rescind this. One scenario is that US/Western MNCs in Malaysia will still be able to get the chips they require for the DCs in Malaysia, but for the rest may have to source from other countries like China. It could be a case where most of the DCs don't as yet require the advance AI chips. 

Geopoltically speaking, US is not doing any favours in terms of maintaining or building relations with global majority. This could further strengthen any alternative partnerships such as BRICS.

There might be selling pressure on DC exposed counters. But need to look deeper, as some will still have other core business that will moderate the impact and/or DC contribution is still small. E.g. Gamuda (BUY, TP: RM5.42) and Mah Sing (BUY, TP: RM2.08). This could be an opportunity to accumulate on these strong fundamental companies. Although not really relevant to our tech (OSAT) players, negative sentiment might prevail, so try to withold exposure in this sector for now.

 [%pQnc%] [%hOCN%] [%MVTG%]

This could be serious... sharing from remisier

The USA will impose a full access blockade on Data Center chips in Malaysia 

MIDF view
We'll have to see what Trump will do when he takes office. Trump can immediately rescind this. One scenario is that US/Western MNCs in Malaysia will still be able to get the chips they require for the DCs in Malaysia, but for the rest may have to source from other countries like China. It could be a case where most of the DCs don't as yet require the advance AI chips. 

Geopoltically speaking, US is not doing any favours in terms of maintaining or building relations with global majority. This could further strengthen any alternative partnerships such as BRICS.

There might be selling pressure on DC exposed counters. But need to look deeper, as some will still have other core business that will moderate the impact and/or DC contribution is still small. E.g. Gamuda (BUY, TP: RM5.42) and Mah Sing (BUY, TP: RM2.08). This could be an opportunity to accumulate on these strong fundamental companies. Although not really relevant to our tech (OSAT) players, negative sentiment might prevail, so try to withold exposure in this sector for now.

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