China Markets Drop Amid Profit Taking, BYD and Xiaomi In Focus

Li Chen
25 Mar, 2025
Hong Kong

Benchmark indexes in China and Hong Kong declined sharply amid profit-taking and lack of catalysts. 

The Hang Seng index dropped 2%, and the mainland-focused CSI 300 index declined a fraction, amid weakening confidence for the second week in a row. 

Investors are worried that the recent run-up in tech stocks may have stretched valuations and feared that the next round of U.S. tariffs could impact electric vehicle makers and renewable energy companies.

 

China Indexes and Stocks 

The Hang Seng index declined 2.2% to 23,360.79, and the mainland-focused CSI 300 index dropped 0.1% to 3,932.30. 

BYD Electronic International dropped nearly 10% to HK $42.45 after the company announced its annual results. 

The company announced a final cash dividend of 0.568 yen per share to be approved by shareholders on June 6. 

BYD declined 3.5% to HK $389.0, and the electric vehicle maker reported its quarterly results. 

Revenue in the latest quarter increased to $38.1 billion, and earnings per share rose to 5.16 yuan, and the company shipped 1.5 million vehicles in the period.

Of the total shipments, all-electric vehicles accounted for 595,000 units, surpassing Tesla's shipment of 496,000 in the fourth quarter. 

Xiaomi Corp. decreased 6.3% to HK $53.40, and the electric vehicle and smartphone maker completed its secondary offering. 

The company sold 800 million shares at HK $53.25 per share and raised $5.5 billion.

Nanshan Aluminium International Holdings Ltd. decreased 4% to HK $25.25 after the company listed its stock on the Hong Kong Stock Exchange. 

The company sold 88.23 million shares at a price of HK $26.60 per share and raised HK $2.35 billion, or about $302 million.