Shares of Chinese electric vehicle maker Li Auto Inc. plunged 5.05% in pre-market trading on Tuesday, as investors grew jittery over the potential outcome of the U.S. presidential election.
The sell-off in Li Auto's stock came amid a broader decline in Hong Kong-listed Chinese tech and consumer stocks on Monday. According to traders, there are concerns that a potential victory for former President Donald Trump could revive tensions between the U.S. and China and lead to new tariffs on Chinese companies.
While it remains uncertain whether Trump will prevail or follow through on threats of increased tariffs, the mere possibility of escalating trade frictions appears to be weighing on stocks like Li Auto that have significant exposure to U.S-China trade relations.
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