China’s Largest Chipmaker Sinks After U.S. Restrictions (2)

Semiconductor Manufacturing International Corp. retreated to a four-month low in Hong Kong after the U.S. imposed export restrictions on China’s largest chipmaker.

The shares declined 3.9% on Monday, adding to their 25% loss for the month. Also listed in Shanghai, SMIC’s stock there slumped 7% to the lowest level since its July debut. U.S. firms must now apply for a license to export certain products to the chipmaker, the Commerce Dept. said in a letter dated Sept. 25, reviewed by Bloomberg News. SMIC and its subsidiaries present “an unacceptable risk of diversion to a military end use,” the department’s Bureau ...