Chinese tycoons lose billions amid market crisis triggered by Trump tariffs

On April 6, 2025, significant turmoil occurred in China's financial markets as they faced sharp declines following escalating tensions between the United States and China over trade tariffs. Chinese stocks, particularly the CSI 300 index tracking shares from Shanghai and Shenzhen, experienced drastic reductions, falling as much as 7.5%. Concurrently, the Hang Seng Index in Hong Kong saw a more severe drop of 10.5%. Investors, returning to the market after a prolonged holiday break, reacted to the intensified tariff conflict, leading to a massive sell-off. The swift market decline resulted in considerable wealth erosion for some of China's wealthiest individuals. Chairman Ma Huateng of Tencent, considered one of China's richest billionaires, saw his net worth diminish by $4.5 billion, pushing him to a wealth level of $48 billion according to Forbes' Real-Time Billionaires List. Other notable figures in the financial fallout included Lei Jun, founder of Xiaomi, and Wang Chuanfu, co-founder of BYD, whose fortunes fell by $4.2 billion and $2.5 billion, respectively. The repercussions were not limited to China; Masayoshi Son's net worth also plummeted by $2.1 billion as Softbank stocks dropped significantly in Japan's markets. In India, magnates Mukesh Ambani and Gautam Adani similarly faced financial setbacks as their fortune shrank by $5.4 billion and $4.1 billion, respectively. In light of these developments, Chinese authorities articulated their intent to bolster the domestic economy amidst increasing pressures. It was suggested that forthcoming policy measures might help stabilize the markets within days. The People's Daily, a state-run publication, emphasized that China had the capacity for increasing its fiscal deficit while reducing interest rates, suggesting a robust plan to spur consumption and expedite previously announced policies, although specifics remained vague. Industry analysts observed that China has been preparing for trade conflicts with the U.S. for several years, indicating a level of resilience that could be advantageous in the current crisis. Despite the precarious situation, commentators noted that an end to the trade war seemed doubtful unless the U.S. administration changed its stance. While China's countermeasures were praised, some experts suggested that displaying unity with allies against the U.S. tariffs could be beneficial for the international trading landscape. Currently, the geopolitical climate remains tense with no meaningful negotiation plans between the two superpowers in sight.