China mainland stocks lose $2.4 trillion since May amid AI doubts
CIE News ·
Based on reporting by Decrypt; not yet independently confirmed.
Mainland Chinese equities have shed about $2.4 trillion since May as investors doubt the profitability of AI, with the CSI 300 index entering a bear market on October 22.
Stocks on China's mainland have lost roughly $2.4 trillion in total market value since May 2026, Decrypt reported. The CSI 300 index entered a bear market on October 22, 2026, dropping at least 20% from its peak. Analysts cited by Decrypt point to weak consumer spending and skepticism over whether massive investments in artificial intelligence can yield profits.
According to Goldman Sachs figures cited by Decrypt, AI companies represent 42% of the market value of shares listed in mainland China and Hong Kong, as well as 57% of total trading volume. The tech-focused STAR 50 index in Shanghai dropped 40% in under four months, wiping out roughly $480 billion in value while trading at around 100 times earnings.
The decline has also been pressured by U.S. regulatory actions and trade restrictions. In July 2026, the U.S. Federal Communications Commission prohibited imports of new foreign-made humanoid robots, while Washington has moved to bar Chinese optical components from domestic data centers.
Key facts
- $2.4T lost since May
- CSI 300 in bear market Oct 22
- AI firms are 42% of market value
- STAR 50 dropped 40%