Shares of Tencent Holdings dropped nearly 8% in Hong Kong after being added to the U.S. Department of Defense's list of Chinese military companies. Tencent’s U.S. depository receipts mirrored the decline, falling 8%. The designation restricts U.S. procurement from listed entities starting in 2026, but Tencent and CATL have called the inclusion a mistake, denying military ties. Analysts suggest Tencent could secure removal from the list, citing its focus on social networking and gaming.
