Tech cushions Hang Seng Index drop

Hong Kong stocks edged down 0.14 percent with the turnover slashed, following US President Donald Trump's recently announced tariff hike plans.

The benchmark Hang Seng Index closed 32 points lower to 22,944 on Wednesday. The main board turnover decreased to HK$262.56 billion, dropping more than 34 percent from Monday.

The blue-chip index once hit a low of 22,649 points but rallied sharply to a high of 22,975 in the morning. The rebound was propelled in part by the Tech Index, which rose 0.59 percent to 5,672 points.

Chinese chip giant Semiconductor Manufacturing International Corp (0981) jumped more than 8 percent to HK$51.80 while Hua Hong Semiconductor (1347) surged about 23 percent to HK$38.30.

Shenzhen-based telecom device manufacturer ZTE (0763) also advanced by around 7.5 percent. Ubtech Robotics (9880) leaped 13.5 percent.

Trump earlier said he intends to impose auto tariffs "in the neighborhood of 25 percent" and similar duties on semiconductors and pharmaceutical imports, the latest in a series of measures threatening to upend international trade. On Friday, Trump said levies on automobiles would come as soon as April 2.

Mainland markets ended the day higher, with gains also driven by robotics firms and chipmakers. The Shanghai Composite Index closed at 3,351 points, up by 27 points or 0.81 percent, while the Shenzhen Component Index rose 155 points or 1.46 percent to 10,772.

STAFF REPORTER and REUTERS