Semiconductor Manufacturing International Corporation (SMIC) saw its stock price plummet by 5.10% during Monday's trading session, as Hong Kong's technology sector faced significant pressure. The decline in SMIC's shares came as part of a broader sell-off in the Hong Kong stock market, with the Hang Seng Tech Index falling 3% and the main Hang Seng Index dropping 1.7% to a four-month low.

The sharp decline in Hong Kong stocks, particularly in the tech sector, was primarily driven by growing concerns over US President Donald Trump's impending reciprocal tariffs. Trump announced plans to start his tariff push with "all countries," dampening speculation that he might limit the initial scope of the tariffs set to be unveiled. This news, coupled with the possibility of "secondary tariffs" on Russian oil and its buyers, has significantly heightened investor anxiety about global trade tensions and their potential impact on tech companies like SMIC.

While the overall market sentiment was negative, there were some mitigating factors that prevented even steeper declines. A report from China's National Bureau of Statistics showed that the purchasing managers' index for the manufacturing industry rose to 50.5 this month, indicating expansion for a second consecutive month. Additionally, the Chinese government's plan to inject 520 billion yuan into the nation's four top state-owned banks to recapitalize the industry provided some support to the financial sector. However, these positive developments were not enough to offset the concerns surrounding international trade tensions, resulting in SMIC and other tech stocks experiencing significant losses during the trading session.