Gigabyte loses $ 550 million, claiming that Chinese goods are poor quality


The shares of Gigabyte, a Taiwan-based computer equipment manufacturer, went down due to a blog post that pointed out that Chinese goods are of poor quality. 

Gigabyte loses $ 550 million, claiming that Chinese goods are poor quality - AronBoss

Shares of the Taiwanese Gigabyte company , which is at the center of an international scandal, fell 10% on the Taiwanese stock market on Wednesday, Bloomberg reported . The market value of the manufacturer of motherboards , monitors , graphics cards and other computer components fell by $ 550 million , and this was due to testimony to Chinese manufacturers.

The Taiwanese company published a blog post on Monday stating that the quality level of Chinese goods is not finding good . Gigabyte stated that Taiwan-made electronics (including its own products) were of higher quality . With this statement, the company tried to influence its competitors who ordered products from Chinese OEMs .

Gigabyte loses $ 550 million, claiming that Chinese goods are poor quality - AronBoss

Gigabyte took a step back

The reaction to such an event came without delay. The post quickly spread to Chinese social media , where users urged everyone to boycott the Taiwanese brand’s products . Soon after, Chinese online marketplaces JD.com and Suning.com joined the protest. Since Wednesday, searches for products using the keywords ” Gigabyte ” and ” Jijia ” (the company’s Chinese brand) on these sites have shown no results .

Bloomberg tried to get information from JD.com and Suning.com , but both companies declined to comment . Gigabyte removed the original post from its blog on Tuesday and posted a replacement with an apology . In particular, the Taiwanese manufacturer said that the previous statement was ” very seriously unrealistic ” and the company is proud of the quality of products labeled “Made in China” .

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