Taiwan is facing its worst drought in 10 years and beginning Wednesday, water supplies to about 3 million residents of Taoyuan and certain districts of New Taipei City will be cut. This includes restaurants, fire departments, hospitals and even Taoyuan’s International Airport.
There are concerns about whether the water rationing will impact Taiwan’s semi-conductor and other key industries as well as the stock market.
Financial Supervisory Commission (FSC) Chairperson William Tseng
said on Wednesday that the water rationing has not had much of an impact on the stock market so far.
"The Securities and Futures Bureau has checked with the Taiwan Stock Exchange. The companies have so far used measures such as buying water from water trucks or recycling water to minimize losses. But we will have to see what happens if the situation continues long term; for now, there has not been much of an impact."
But Tseng also said that he will have to examine how tech industries and the stock market might be affected if water rationing spreads southward.