What's Going On With Alibaba Stock Wednesday?

Alibaba Group Holding Limited BABA stock is trading lower Wednesday in line with the broader index KraneShares CSI China Internet ETF KWEB after the U.S. slapped stricter restrictions on China's access to advanced artificial intelligence chips from American technology companies like Nvidia Corp NVDA.

The embargo is a double whammy for China, already battling a weak economy and softness in the initial public offering market.

Meanwhile, the logistics arm of Alibaba's arch-rival JD.Com, Inc JD launched four-hour express delivery in Hong Kong, fueling competition against Alibaba's logistics arm Cainiao Smart Logistics Network, SCMP reports.

The new services under the JD Express program will also include free door-to-door delivery in Hong Kong and Macau, with evening delivery hours in Hong Kong extended to 10 p.m. 

Macau customers can receive parcels shipped within the city as early as the following day after placing an order.

In July, Cainiao announced a similar plan to boost its logistics network in Hong Kong.

Alibaba's international online wholesale arm Alibaba.com is amid efforts to court merchants from ByteDance-owned TikTok catering to Southeast Asia after suspending e-commerce activities in Indonesia. 

Alibaba.com offers a "one-button relocation" service for merchants to open new stores on Alibaba.com and to move their online presence, including translation and smart-sorting tools. For newly-opened stores, Alibaba.com committed three to six months of traffic support.

In September, Indonesia banned e-commerce transactions via social media apps to protect the country's small businesses.

Price Action: BABA shares traded lower by 0.88% at $83.17 premarket on the last check Wednesday.