China’s Attack On Its Biggest Stock Wipes Out Record $25 Billion
- People’s Daily criticises liquor maker for high prices
- Moutai had risen about 50% this year before Thursday’s plunge
This article is for subscribers only.
Kweichow Moutai Co. fell the most in nearly two years after the influential People’s Daily took aim at the high price of the liquor it makes, saying the alcohol was often used in corruption cases.
Moutai, China’s biggest domestically listed company, tumbled 7.9% in its worst decline since October 2018, wiping out a record $25 billion of value. Moutai’s products are often involved in the country’s official corruption cases and used for bribery given their high prices, according to a commentary carried by a WeChat account owned by the People’s Daily.