TAIPEI (TVBS News) — Chicony Electronics (群光電子), one of the Taiwan's foremost keyboard manufacturers, revealed Tuesday (April 8) that American clients have suspended shipments in response to newly implemented reciprocal tariffs imposed by the United States. Company officials indicated that these U.S. customers are currently drawing from existing inventory reserves to fulfill their immediate market requirements while navigating the uncertain trade landscape.
According to a Chicony executive, the tariff rates announced by U.S. President Donald Trump exceeded market expectations, introducing significant volatility into global supply chains. The executive explained that numerous American clients have temporarily suspended shipments, preferring to wait for potential diplomatic negotiations that might result in tariff reductions. While the majority of Chicony's business — supplying components to Original Design Manufacturer (ODM) factories — remains relatively sheltered from direct impact, the company acknowledged that finished products shipped directly to American markets are encountering substantial headwinds.
The Taiwanese electronics manufacturer indicated it would maintain vigilant oversight of the tariffs' evolving effects while adapting its strategies to accommodate client requirements. Financial disclosures for March 2025 showed Chicony generated revenue of NT$8.473 billion (around US$256.8 million), representing a marginal year-on-year decline of 0.4% but a robust monthly growth of 16%. The company's first-quarter performance yielded revenue of NT$23.281 billion (around US$705.5 million), achieving a 2% annual improvement and securing the third-strongest first-quarter result in the company's history.
Chicony's financial resilience was evident in its previous year's performance, when the company posted an unprecedented earnings per share of NT$12.43 (around US$0.38). The board of directors subsequently authorized a substantial cash dividend of NT$10 (around US$0.30) per share for investors. Market reaction to the tariff developments was swift, with Chicony's stock closing at NT$141.5 (around US$4.29) on Tuesday's trading session, reflecting a significant decline of NT$9.5 (around US$0.29) or 6.29% from the previous close.
