BUZZ-European semiconductor stocks fall on Trump tariffs

Shares of European semiconductor companies fall amid a global selloff after U.S. President Donald Trump ordered sweeping tariffs against Mexico, Canada and China

Shares of chipmakers STMicroelectronics STMPA.PA and Soitec SOIT.PA fall between 3.5% and 4.3%, while equipment manufacturers ASML ASML.AS, ASMI ASMI.AS and BESI BESI.AS slide between 2.8% and 3.4%

German chip manufacturer Infineon IFXGn.DE and Swiss sensor maker ams OSRAM AMS.S fall 3.7% and 5.5%, respectively, with chip equipment suppliers Siltronic WAFGn.DE and Aixtron AIXGn.DE sliding 2.7% and 3.5%

"The European semis players are very exposed to automotive and industrial end markets, with some exposure also on personal electronics," Bernstein SG analyst Sara Russo says

Vehicles and machinery are major U.S. imports from China, Mexico and Canada, Russo says, adding that even if semiconductors aren't imported directly, they likely impact global trade in these segments

Abed Jarad from mwb-research notes that in the long term, European semiconductor companies might negotiate with suppliers, absorb costs, invest in domestic production and diversify their supply chain, especially for legacy products