Japanese Stocks Tumble: Nikkei Down 0.48%, Lasertec Semiconductors Plunge Over 5%

The Nikkei 225 index fell by 0.48% and the Tokyo Stock Exchange index dropped by 0.27%. Lasertec semiconductors declined over 5%, while Mercari software rose over 6%. Other stocks like Disco, SoftBank Group, Tokyo Electron, and 7& I Holdings fell by over 3%. Mitsubishi Heavy Industries increased by over 4%.

The Nikkei 225 index closed down by 0.48%, and the Tokyo Stock Exchange index fell by 0.27% on July 2, 2025. This decline was largely driven by the ongoing investigation into the theft of chip technology at Taiwan Semiconductor Manufacturing Co. (TSMC), which has led to the arrest of six individuals, including a former employee of Tokyo Electron Ltd. [1].

Tokyo Electron, a key supplier of manufacturing tools to TSMC, has fired the employee involved in the case and is cooperating with authorities. The company has not confirmed any evidence of confidential information being shared with third parties [1]. The incident has raised questions about Tokyo Electron's involvement and potential motivations for stealing trade secrets.

The theft of TSMC's 2-nanometer chip technology, set to debut in 2025, could have significant implications for the company's lead in advanced nodes and national security for Taiwan. The tightened legislation in Taiwan, which raised penalties for the theft of core technologies and banned their use in foreign countries, has been in response to years of incidents involving Chinese companies obtaining chip manufacturing know-how by poaching Taiwanese engineers [1].

Among the stocks with high transaction volume, Lasertec semiconductors declined over 5%, while Mercari software rose over 6%. Other stocks like Disco, SoftBank Group, Tokyo Electron, and 7& I Holdings fell by over 3%. Mitsubishi Heavy Industries increased by over 4% [3].

The fallout from the case has already been felt in the markets, with Tokyo Electron's shares falling by 2.5% on the news. The company's decision to fire the employee and cooperate with the investigation marks its first public acknowledgment of the affair, following days of speculation in Taiwanese media [1].

Looking ahead, the case may influence policy and prompt enhanced cybersecurity measures and international collaboration to protect semiconductor intellectual property. TSMC has pledged to bolster its defenses, while Taiwanese officials treat the matter as a national security issue [1].

References:
[1] https://www.ainvest.com/news/tokyo-electron-faces-scrutiny-tsmc-trade-secrets-leak-2508/
[2] https://www.cnbc.com/2025/08/08/asia-stock-markets-today-live-updates-nikkei-225-asx-200-kospi-hang-seng-csi-300-sensex-nifty-50.html
[3] https://www.moomoo.com/news/post/92985910/record-tr4cking-news-us-morning-news-call-elon-musk-says-grok-5-will