20250324 TA Challenges Malaysian tech stocks face img

The emergence of DeepSeek along with changes in U.S. trade policy have dealt a blow to Malaysian tech stocks, but investors say they can see opportunities. (Nikkei montage)

Malaysian tech stocks slammed by Trump, then by DeepSeek

After knee-jerk fall, new opportunities emerge with AI disruption

KUALA LUMPUR -- Malaysia's semiconductor sector finds itself in the midst of significant upheaval, grappling with two challenges: the rapid rise of DeepSeek -- China's artificial intelligence model -- and the reintroduction of U.S. protectionist trade policies.

While U.S. President Donald Trump's policies are expected to remain as a drag, investors are starting to see opportunities for Malaysian tech stocks in the global shift to cheaper AI models like DeepSeek, if the country's industry can maintain its competitiveness in the market.

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