Stock Track | Baidu Plummets 5% as US Escalates Trade War with Higher Tariffs on China

Stock Track

02-28

Baidu, the Chinese technology and AI company, saw its stock plummet 5.01% on Friday Feb 28, 2025 during intraday trading.

The sharp decline was likely triggered by escalating trade tensions between the US and China. On Friday, US President Donald Trump announced plans to double the tariff rate on Chinese imports, raising concerns about potential economic slowdowns in the two largest economies.

The increased trade frictions and tariffs weighed heavily on Chinese tech stocks like Baidu. Investors rotated out of equities amid fears that higher tariffs could disrupt China's exports and hurt the nation's economic growth prospects, especially in key industries like technology and AI.

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