'Tariff-free' stocks see market cap gains, Chinese firms suffer

AI and software companies outperform, while energy giants take hit

20250505N tariff free stocks

The market cap of AI systems developer Palantir Technologies grew 43% in a month, with Nintendo's market cap increasing 19%. (Source photos by Reuters and Nikkei)

NOZOMI OKUBO

TOKYO -- Investors worldwide are becoming more selective because of U.S. President Donald Trump's tariff policies, with those stocks considered to be "tariff-free" gaining big.

About one month after the U.S. announced "reciprocal" tariffs on many countries, companies regarded as less affected by the levies -- like those working on artificial intelligence and content development -- have seen notable increases in market capitalization. In contrast, investors are shifting away from China-related stocks and energy companies, which are seen as more vulnerable to the tariffs.

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