<div id="readability-page-1"><div><div>Alibaba Group Holding Ltd. BABA shares are trading lower Friday after a combination of political and legal developments reignited concerns over U.S.-China trade relations.What To Know: On Thursday, President Donald Trump stated that China had violated its trade agreements with the United States. While he did not specify which terms were broken, his comments come as he continues to push for stricter trade enforcement. Shortly after his remarks, a U.S. federal appeals court temporarily reinstated most of the tariffs Trump had previously enacted using the International Emergency Economic Powers Act.These tariffs had been struck down just a day earlier by a three-judge panel, which ruled that the International Emergency Economic Powers Act did not grant the president unlimited authority to impose tariffs. However, the Trump administration filed an appeal and the appellate court responded by putting the lower court's decision on hold, pending further review.For Alibaba and other U.S.-listed Chinese companies, this legal uncertainty adds pressure. The stock had previously seen upward movement when the court initially blocked the tariffs, but that optimism quickly reversed. Investors are now reassessing risk, especially as Alibaba and peers like PDD Holdings and Baidu operate in a geopolitical environment prone to sudden shifts.Earlier in May, China and the U.S. agreed to temporarily lower mutual tariffs for 90 days, with U.S. duties dropping from 145% to 30% and Chinese duties on American goods falling from 125% to 10%. That agreement provided short-term relief, but the recent court ruling and Trump's rhetoric suggest those reductions may be at risk if political dynamics change, especially with the upcoming election cycle.BABA Price Action: Alibaba shares were down 2.78% at $113.92 at the time of writing, according to Benzinga Pro.<ul> <li>Wall Street Slumps As Trump Reignites China Trade Tensions, Nvidia Wipes Out Earnings Rally: What’s Driving Markets Friday? </li> </ul>Image Via Shutterstock.</div></div></div>

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Alibaba shares fell 2.78% to $113.92 amid renewed concerns over U.S.-China trade relations following President Trump's comments about China's trade violations. A U.S. federal appeals court temporarily reinstated tariffs previously enacted by Trump, adding to the uncertainty for U.S.-listed Chinese companies like Alibaba. This comes after a brief period of optimism when tariffs were initially blocked. The geopolitical climate remains volatile, especially with the upcoming election cycle, raising risks for investors in these stocks.

- Alibaba Group Holding Ltd. shares are declining due to renewed concerns over U.S.-China trade relations following President Trump's comments on trade violations.  
- A U.S. federal appeals court temporarily reinstated tariffs that had been previously blocked, adding to the legal uncertainty for U.S.-listed Chinese companies.  
- The recent agreement to lower mutual tariffs is now at risk, impacting investor sentiment as political dynamics shift ahead of the upcoming election cycle.

What's Going On With Alibaba Shares Today?