US Treasury Secretary Scott Bessent told Yahoo Finance on Tuesday that he was optimistic about "clarity" on tariffs and progress on key trade deals over the next 90 days, as President Trump simultaneously sought to ramp up pressure on China to come to the negotiating table.

But shares in TSMC, the world's largest contract chipmaker have slipped, after US President Donald Trump said he would announce a tariff rate on imported semiconductors over the next week. He did add however, that there would be flexibility on some companies in the sector.

Small factories with tiny profit margins have played a central role in China’s international competitiveness. Many could now face disaster.