SMIC's stock plunged 5.03% during intraday trading on Friday, reflecting significant selling pressure on the semiconductor giant.

The decline was partly attributed to continued market concern over the National Integrated Circuit Industry Investment Fund (Big Fund) reducing its long position in SMIC H-shares. The fund's recent stake reductions in several semiconductor companies, part of its Phase 1 exit cycle, have weighed on the broader sector.

Furthermore, the selloff was exacerbated by a broad retreat in Asian technology stocks, triggered by U.S. chipmaker Broadcom's latest revenue guidance falling short of elevated investor expectations. This raised concerns about the sustainability of the AI investment boom and prompted profit-taking across semiconductor markets, with weakness spilling over from U.S. peers into Hong Kong and other Asian exchanges.