Hong Leong Asia (H22.SI) saw its stock price plummet by 3.97% in Tuesday's trading session, following news of executive detentions at a subsidiary of China Yuchai International Limited (CYD), a company closely associated with Hong Leong Asia.

China Yuchai International, which is majority-owned by Hong Leong Asia, announced that two key executives of its main operating subsidiary, Guangxi Yuchai Machinery Company Limited (Yuchai), have been detained by Chinese authorities. Wu Qiwei, a Company Director and President of Yuchai, and Qin Xiaohong, former Chief Accountant of Yuchai, were taken into custody for reasons that have not yet been disclosed.

The unexpected detentions have raised concerns about potential disruptions to Yuchai's operations, which could have a ripple effect on Hong Leong Asia's financial performance. While China Yuchai International assured that Yuchai's business operations continue under alternative leadership, investors appear to be reacting cautiously to the news. As Hong Leong Asia's fortunes are closely tied to the performance of China Yuchai International and its subsidiaries, the market's negative reaction reflects the uncertainty surrounding the situation and its potential impact on the company's future prospects.