Tokyo Electron projects profit slump on U.S. chip export controls

TOKYO -- Tokyo Electron drastically downgraded its full-year earnings forecast Thursday, as the Japanese producer of chipmaking equipment warned that tougher U.S. trade restrictions against China's semiconductor industry will depress sales.

Consolidated net profit for the year through March 2023 will decline 8% to 400 billion yen ($2.78 billion), Tokyo Electron said, reversing previous guidance that predicted a 20% gain to 523 billion yen.