KE Holdings Inc. (NYSE: BEKE), a leading integrated online and offline platform for housing transactions and services in China, saw its stock plunge 8.44% in pre-market trading on Friday. This sharp decline comes as China announced new tariffs and export controls on U.S. goods, escalating trade tensions between the two economic giants.

The Chinese government declared it would impose additional tariffs of 34% on all U.S. goods starting April 10, in retaliation to sweeping tariffs imposed by U.S. President Donald Trump. Moreover, Beijing announced export controls on certain rare earth elements to the United States and added 11 entities to its "unreliable entity" list, allowing for punitive actions against foreign entities.

This news has sent shockwaves through the market, with U.S. stock index futures extending losses and Chinese ADRs experiencing significant declines. KE Holdings, as a major Chinese company listed on the New York Stock Exchange, is particularly vulnerable to these geopolitical tensions. The company's stock movement reflects the broader market sentiment, with investors seeking to reduce exposure to Chinese stocks amid escalating trade conflicts. As the situation continues to develop, market participants will closely monitor further developments in U.S.-China relations and their potential impact on companies like KE Holdings.