NVDA, INTC, TSMS and AMD stock surges as China Pause Tariff

China just made a big move. It decided to pause some tariffs on U.S. tech products. This news shook the stock market in a good way. Right after the update, on May 13 big tech names like NVIDIA (NVDA), Intel (INTC), TSMC, and AMD jumped up in price. We’re talking about sharp rises in just a few hours. 

Why? Because the tech world runs on global trade, and any break in tension is a green light for growth. We’re now seeing fresh hope in the market. This move may mean smoother chip supply, lower costs, and more sales. 

Let’s  break down what’s going on, how it helps, and what we should watch next.

Technology Sector Surges as China Pauses Tariffs: NVDA, INTC, TSMC, and AMD Rally

What Happened: China’s Pause on Technology Tariffs

Last week, China made a big announcement. It said it will pause some tariffs on U.S. tech goods. This decision is temporary but powerful. It includes high-value items like semiconductors and chipmaking tools. These are key parts of computers, phones, and smart machines.

The pause starts right away and is expected to last at least a few months. China’s leaders didn’t give an exact end date. But they say it’s a move to support peace in trade talks and to help local tech industries.

China depends on advanced chips from U.S. companies. But it also wants to build its own tech faster. This tariff pause helps them do both. It gives China time to build better ties with global partners while also boosting its economy. Many experts think this is part of China’s plan to attract more tech imports and support its growing electronics sector.

This pause doesn’t solve everything. But it’s a step toward better trade between two major powers.

Market Reaction: Stock Surge Overview

The stock market didn’t wait to cheer. As soon as China shared the news, tech stocks jumped on May 13, 2025.

NVIDIA (NVDA) saw a big rise of nearly 6%. The stock had high trading volume as investors rushed to buy. People believe NVIDIA’s AI chips will sell more now with fewer export risks.

Intel (INTC) also gained over 4%. Intel has many business links in China, especially for PC and server parts. The company’s value jumped as traders saw this as a chance for better global sales.

TSMC (Taiwan Semiconductor Manufacturing Company) saw a strong reaction too. As a leading chip maker for the world, including many Chinese brands, TSMC gained around 5%. This shows how important smooth trade is for the chip supply chain.

AMD shares rose by 3.5%. Investors like AMD's position in the GPU and CPU market. The pause may help AMD keep up with rivals like NVIDIA and Intel.

Tech indexes also rose. The NASDAQ was up 1.8%. The SOXX index, which tracks semiconductor companies, surged over 3%.

Why These Companies Benefited the Most?

These four companies NVIDIA, Intel, TSMC, and AMD stood out for a reason.

NVIDIA leads in making AI chips and GPUs. These chips power everything from smart cars to big AI models. China uses many NVIDIA products, and fewer tariffs mean faster sales.

Intel is a big name in traditional chips for personal computers and data centers. China is one of its largest markets. Intel also has long ties with Chinese manufacturers.

TSMC is the biggest chip maker in the world. Many U.S. tech companies use TSMC to make their designs. China buys chips made by TSMC for phones, computers, and smart devices. Any break in trade pressure helps TSMC stay strong.

AMD creates high-performance CPUs and GPUs. Its products compete directly with NVIDIA and Intel. A clear path for exports gives AMD more room to grow in Asia.

All four companies depend on global supply chains and cross-border sales. This tariff pause makes business easier for them, at least for now.

Implications for the Technology Sector

This pause is more than just good news for a few stocks. It may signal a better path for the tech industry.

The U.S. and China have had a tense relationship. Trade has been a big problem, especially around chips. A pause like this shows that things may calm down for now.

Fewer tariffs mean less cost for moving parts and products. That could bring more supply and better prices in the chip market. It also gives tech companies time to plan long-term deals.

Investors are watching closely. The rally shows people feel more confident in global tech. Export orders may go up. Revenue reports could show stronger results in the next quarters.

This event might be a sign of a wider recovery. Or at least a strong rally for chipmakers and tech exporters. But risks still exist. Tariffs could return if talks break down.

Expert Opinions and Analyst Takes

Analysts are offering mixed views.

A Goldman Sachs report said this is “a welcome sign for global chipmakers,” especially as demand for AI and cloud hardware rises.

Bloomberg reported that the move “could help cool trade tensions” but warned the pause is not permanent. If relations turn cold again, tariffs might return.

Some experts think this is a smart move by China. Others believe it's a short-term fix to a long-term problem. 

Most agree on one point: the tech sector needed a break, and this was it.

What to Watch Going Forward

We should keep an eye on trade talks. Will this pause lead to a new deal between China and the U.S.? Or is it just a delay?

Watch for more announcements from both countries. Also, check how companies like NVIDIA and TSMC handle exports and supply chain updates in the next earnings calls.

Other industries may benefit too. Electric vehicles, smartphones, and smart home tech all use chips. This could be the start of more open trade or just a calm before another storm.

Wrap Up

China’s pause on tech tariffs gave the market a big push in May 2025. NVIDIA, Intel, TSMC, and AMD all saw big gains. It’s a good sign, but we’re not in the clear yet.

The tech world runs on global deals. Any break in tension helps but how long it lasts, no one knows. We’ll keep watching policy changes, stock moves, and business reports. The story isn’t over.

Frequently Asked Questions (FAQs)

Why is AMD stock surging?

AMD stock is rising due to strong chip demand, AI growth, and China pausing tariffs. Investors also liked recent earnings, which showed more sales and better profit margins.

Why is Nvidia stock surging?

Nvidia stock is up because of high demand for AI chips. China’s pause on tech tariffs also helped. The company posted strong earnings and got new orders from cloud companies.

Why are AMD and Nvidia going down?

Sometimes AMD and Nvidia stocks fall after strong rallies. Investors may sell for profit. Worries about new trade rules or weak demand can also bring their stock prices down.

Why did Intel stock jump?

Intel stock jumped after China paused tariffs on U.S. tech goods. The company may gain more sales from China. Investors also hope Intel’s new chips will boost future growth.

Disclaimer:

This content is for informational purposes only and not financial advice. Always conduct your research.