Lloyd’s of London underwriters, recognized as leaders in the insurance industry, are taking proactive measures to mitigate potential risks associated with Taiwan. They are reportedly increasing insurance rates and reducing the amount of coverage offered for risks related to Taiwan, as concerns over the possibility of military action by China continue to grow. This move follows a similar response by insurers after Russia’s unexpected invasion of Ukraine last year, which led to insurers excluding Russia and Ukraine from policies or imposing higher rates due to heightened geopolitical risks.

Shares in China’s major lithium producers took a sharp hit on Tuesday after three of the country’s biggest players, Tianqi Lithium, Ganfeng Lithium, and Chengxin Lithium, issued stark profit warnings for the first half of the year, highlighting how deeply the prolonged slump in battery-metal prices is cutting into the sector.

Tianqi Lithium Corp., one of the world’s top lithium producers, forecast a negligible net profit of up to 155 million yuan ($21.6 million) for the first six months of 2025, down dramatically from prior periods. Ganfeng Lithium, which is heavily invested across the lithium supply chain from mining to battery production, warned of an outright net loss between 300 million yuan and 550 million yuan for the period. Meanwhile, Chengxin Lithium flagged a possible net loss as high as 850 million yuan.

Taiwan is preparing to support its companies in relocating production out of China in response to the high tariffs promised by newly elected U.S. President Donald Trump. These tariffs, potentially up to 60% on Chinese imports, could seriously impact the profitability of Taiwanese firms with extensive operations in China…