TAL Education Group, an online education company listed on the New York Stock Exchange, saw its shares plummet by 7.27% on Monday morning. The steep decline came amid broader sell-off in Chinese stocks trading in the US market, fueled by concerns over potential investment restrictions imposed by the Trump administration.
According to reports, the White House announced on Friday that President Trump has signed a memorandum directing the Committee on Foreign Investment in the United States (CFIUS) to restrict Chinese investments in strategic areas. The move is seen as a further escalation of the ongoing trade tensions between the US and China.
TAL Education Group, along with other Chinese tech companies like Alibaba, Baidu, and JD.com, faced heavy selling pressure as investors weighed the potential impact of the new investment restrictions. The education sector was hit particularly hard, with TAL's peers Gaotu Techedu and New Oriental Education & Technology Group also experiencing significant declines.
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