Shares of Bilibili, the popular Chinese video-sharing and gaming platform, plummeted 9.4% on Tuesday, underperforming the broader market due to investors' jitters over potential investment restrictions imposed by former U.S. President Donald Trump.
The sell-off in Bilibili's stock came after a White House official announced on Friday that Trump had signed a memorandum directing the Committee on Foreign Investment in the United States (CFIUS) to restrict Chinese investments in strategic areas. This move has raised concerns about the potential impact on Chinese companies listed on U.S. stock exchanges, known as American Depositary Receipts (ADRs).
Bilibili, along with other prominent Chinese tech firms like Alibaba, JD.com, and Baidu, witnessed significant declines in their U.S.-listed shares following the announcement. The news has reignited fears about potential regulatory challenges and investment restrictions faced by Chinese companies operating in the United States.
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