Baidu (BIDU) stock plummeted 5.85% in the latest trading session, caught in a broader tech sell-off triggered by President Donald Trump's announcement of sweeping new tariffs. The Chinese tech giant's decline comes as part of a larger trend affecting both US and Chinese technology stocks.
The sell-off was primarily driven by Trump's declaration of a new round of tariffs, with China facing a staggering 34% tax on imports to the United States. This move, described by Wedbush analysts as "worse than the worst-case scenario," has sent shockwaves through the tech industry, particularly impacting companies with significant exposure to US-China trade.
Adding to the pressure on Chinese stocks, the White House announced the end of De Minimis tariff exemptions, which previously allowed packages worth $800 or less from China and Hong Kong to enter the US duty-free. This change, set to take effect on May 2, is expected to severely impact Chinese e-commerce platforms and further strain US-China trade relations. The combination of these factors has led to a broad decline in Chinese ADRs and ETFs, with Baidu joining other major players like Alibaba and JD.com in the downward trend.
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