Fitch Flags Trouble Ahead—APAC Tech Sector Outlook Turns ‘Deteriorating’ Amid Demand & Tariff Turmoil

Fitch Ratings has downgraded its 2025 outlook for the AsiaPacific (APAC) technology sector from neutral to deteriorating, citing mounting risks from global tariff tensions and sluggish consumer demand. The region, a global hub for tech hardware manufacturing, is now facing a perfect storm of economic uncertainty, supply chain disruptions, and weakened discretionary spending.

 

Key Highlights:

Despite the headwinds, larger, diversified firms may weather the storm better. But for many, 2025 could be a year of tight margins, cautious spending, and strategic recalibration.

 

Sources: Fitch Ratings, Forrester, Daily FT.