Top Chinese Chipmaker Plunges After Reports Co-CEO Abruptly Quit

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China’s largest chipmaker said in a stock exchange filing it’s checking in with co-Chief Executive Officer Liang Mong Song after online media outlets circulated a resignation letter they said originated with the industry veteran. It said it was trying to reach Liang to clarify his intentions, without elaborating. Shares dropped 7.2% in Shanghai at 9:46 a.m. after trading as much as 9.8% lower. Its stock was suspended from trading in Hong Kong.

SMIC is at the heart of Beijing’s intention to build a world-class semiconductor industry and wean itself off a reliance on U.S. chip technology. Washington has imposed restrictions on exports after labeling the company a national security threat.

Read more: China Said to Plan Broad Chip Sector Support to Fight Trump

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