Alibaba, Tencent and other Chinese technologies slipped into Hong Kong when Didi pressed New York to remove them from the list.

  • Chinese tech stocks fell in Hong Kong on Friday after Uber rival Didi said it would delist its New York shares.
  • Alibaba and Tencent lost when the ride healing giant succumbed to pressure from China to withdraw the US offer.
  • This is the latest development in the battle between the United States and China over the listing of the country’s major vaccines.

The app provider plans to take its offer from the New York Stock Exchange and list in Hong Kong, it said in a statement on Friday.

Didi has been under intense pressure from Chinese regulators for months, which began in June in the days following the company’s blockbuster IPO in New York.

The news weighed on Chinese technology stocks in Hong Kong. Shares of e-commerce company Alibaba fell 2.61% on Friday. Tencent, meanwhile, closed down 2.3 percent, and shopping platform provider Meituan fell 2.66 percent.

The Hang Seng Tech Index fell 1.3 percent, while the broader Hang Seng benchmark closed flat flat.

Beijing is unhappy with the number of domestic companies that have registered in the United States, and the move has escalated tensions between the two countries over the dissemination of information on such lists.

The US market regulator on Thursday issued a tough new rule that would keep Chinese companies out of the US stock market if they do not open their books for inspection.

The Nasdaq Golden Dragon Index, which tracks Chinese stocks listed in the United States, has fallen nearly 37% so far this year as the two sides compete, compared to the S&P 500 of the top US blue chips. The index has risen 22%.

Didi’s decision comes less than six months after her New York IPO – the largest in 10 years – when shares closed at. 14.14 on their first day of trading. The stock closed at 80 7.80 on Thursday.

Despite a request from China’s Internet regulator to block the offer, the app provider moved ahead with its US listing when it considered handling users’ personal data.

According to Reuters, China’s cyberspace administration has since stepped up pressure, and in November the Watchdog asked Didi to be removed from the list in the United States for fear of data leaks.

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