The company that pushed Uber out of China has already been kicked out of the country’s app stores and warned that it violated data collection laws. Regulatory pressures turned its early days as a publicly traded company in New York on its head, with stocks plummeting nearly 20% on Tuesday and falling even more sharply on Wednesday. All in all, Didi has lost around $ 29 billion in market value since its peak.
Didi is not the only one Chinese Company is now in Beijing’s line of fire. Two other companies recently listed in New York – truck hailing company Full Truck Alliance and recruitment company Kanzhun – were selected by Chinese regulators as the target of an investigation “to prevent national data security risks”. Your stocks are down 11% and 12%, respectively, this week.
The focus on Didi and other US-listed Chinese firms suggests that China’s tech crackdown has entered a “new phase,” according to Alex Capri, a Singapore-based research fellow with the Hinrich Foundation.
“Data have …