Why Alibaba, Tencent, Baidu, Bilibili Shares Are Trading Lower Today

China's State Administration for Market Regulation launched a list of prohibited behaviors that could harm internet users and limit market competition, The Wall Street Journal reports. 

The banned actions include controlling user traffic, blocking competitors' products and discriminatory pricing.

The list highlights China's widely criticized tech sector practices, including forced exclusivity and blocking competitors' links.

The list forbids operators from using data, algorithms or other technical means to influence a user's choices or access another operator.

The operators cannot charge varying prices for a single product to different consumers based on their transaction history, shopping habits, credit or other personal data.

The Financial Times reports that China's market regulator demanded self-rectification from multiple internet companies, including  DiDi Global Inc DIDI. It penalized Alibaba Group Holding Ltd BABA for market dominance.

Alibaba, Tencent Holdings Ltd TCEHY, Bilibili Inc BILI, and Baidu Inc's BIDU share prices dropped on the update.

Price Action: BIDU shares were trading lower by 3.54% at $141.38, BABA shares were down 4.25% at $174.5, TCEHY shares were losing 2.38% to $56.15 and BILI shares traded lower by 2.59% at $67.66 at last check Tuesday.

Alibaba co-founder Jack Ma. Benzinga file photo by Dustin Blitchok.