Samsung Electronics shares plunge 7% on global chip selloff

Samsung Electronics shares fell 7.0% to ₩187,400 on Thursday, driven by a broad selloff in global semiconductor stocks triggered by fears of stricter AI infrastructure regulation following the US Democratic Party's election victory. The decline followed a 12% crash in the Philadelphia Semiconductor Index on Wall Street, as investors worried the new Congress could impose tighter data center regulations, threatening demand for Samsung's high-bandwidth memory and server chips. The KOSPI fell over 8%, triggering a Level 1 circuit breaker. Samsung's losses were compounded by its inability to execute significant share buybacks due to Korean industry-finance separation rules, leaving it without the support mechanism rival SK Hynix has used. Foreign investors continued heavy net selling for a second consecutive session.