Chinese chipmaker SMIC shares dove 23% on fears that it could become the victim of US-China tech war

Chinese chipmaker SMIC shares plunged about 23% in Hong Kong on Monday on fears that it could turn into the most recent victim of the US-China tech battle. The US Department of Defense and different US offices are supposedly considering restricting exports to Semiconductor Manufacturing International Corp. The company could be added to a rundown of organizations that the US government considers to sabotage American interests.

SMIC’s relationship to the Chinese military is under investigation. The dive in SMIC stock cleaned 31 billion Hong Kong dollars ($4 billion) off its reasonable worth. Organizations on the US list face huge difficulties acquiring essential innovation since American firms are prohibited from offering to them without first getting a permit to do as such. Heightening limitations on Chinese tech firm Huawei, which was added to the rundown a year ago, threaten to injure its worldwide business, for instance.