Food delivery giant, Meituan, fined

New York Times wrote that China’s recent imposition of a hefty $530 million fine on Meituan, a leading food-delivery giant, marks a significant escalation in Beijing’s ongoing efforts to regulate the country’s internet companies. This move, following a string of similar actions, underscores the Chinese government’s commitment to reining in the immense power and influence of its tech sector.

Meituan’s penalty is not an isolated case. The ride-hailing titan Didi (NYSE: DIDI), another of China’s tech jewels, faces its own set of challenges. Following its listing on the New York Stock Exchange, Didi encountered immediate regulatory hurdles. Chinese authorities ordered the suspension of new user registrations and the removal of its apps from mobile stores, citing concerns over cybersecurity and user privacy.

China slapping $530 million for antitrust violation is scary. It’s making me nervous about owning Chinese stocks. Meituan, likely Didi, is not in the US stock market.