Shares of iQiyi Inc. (IQ) plummeted 5.14% during Wednesday's trading session, as Chinese stocks faced a significant sell-off amid renewed concerns over US-China trade tensions.

The decline in iQiyi's stock price occurred in tandem with a broader downturn in Chinese ADRs and ETFs. Other major Chinese companies also experienced substantial losses, with JD.com, Li Auto, and NIO dropping over 4%, while Alibaba fell 3.8% and PDD Holdings declined more than 2%.

The market-wide sell-off was triggered by the Trump administration's new restrictions on Nvidia Corp.'s chip exports to China, reigniting fears of an escalating trade war. This move has raised concerns about potential impacts on chip-sector earnings and China's artificial intelligence ambitions. The restrictions are seen as a continuation of the US government's tough stance on Chinese tech development, further straining the already tense economic relationship between the two countries.