Super Micro Shares Are Trading Lower Monday: What's Going On?

Super Micro Computer, Inc. SMCI shares are trading lower Monday amid possible trade tensions. It was reported that the U.S. is planning to restrict shipments of AI chips to Malaysia and Thailand over China concerns.

What To Know: According to the Los Angeles Times, President Donald Trump’s administration is preparing new export controls that would limit the shipment of advanced AI chips to Malaysia and Thailand. The move aims to prevent sensitive technology from reaching China through intermediary countries.

The updated rules would require U.S. companies to obtain export licenses before shipping high-performance semiconductors to those countries, which have seen increased chip-related activity and investment. The restrictions are expected to be proposed as early as August.

The new rules are expected to include temporary exemptions, allowing companies based in the U.S. and select allied countries to continue shipping AI chips to Malaysia and Thailand for a limited time without a license. Additional carve-outs are also planned to minimize supply chain disruptions, according to people familiar with the matter.

Officials plan to pair the new restrictions on Malaysia and Thailand with a rollback of the broader AI diffusion rule. That rule had drawn criticism from U.S. allies and tech firms, including Nvidia.

Existing chip curbs targeting China and over 40 other countries will remain in place to address smuggling risks and monitor sensitive markets.

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SMCI Price Action: At the time of writing, Super Micro shares are trading 3.35% lower at $46.95, according to data from Benzinga Pro.

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