China ADRs and ETFs fell on Wednesday as renewed fears of an expanding US-China trade war weigh on sentiment.

YINN down 6%; JD.com, Li Auto, NIO down over 4%; Alibaba down 3.8%; PDD Holdings down over 2%.

The declines came after the Trump administration imposed new restrictions on Nvidia Corp.’s chip exports to China, a move that’s raised concerns about how the curbs may escalate trade tensions beyond import taxes. The fallout could weigh on chip-sector earnings and set back China’s ambitions to compete on the global artificial intelligence stage.

The curbs on Nvidia are a sign the Trump administration will stay the course on the US government’s approach to Chinese tech development. DeepSeek’s emergence in January helped crystallize the threat posed by China’s rapid strides in artificial intelligence, considered a key long-term geopolitical battleground.