DiDi Global (NYSE:DIDI) — the Uber of China — may soon remove itself from the US stock exchange.

What’s the big deal? On May 23, DiDi will vote on whether to delist its stock from the New York Stock Exchange.

DiDi was one of the biggest targets in China’s crackdown on the private sector — with China launching an investigation into DiDi for “national security concerns.”

• Shortly after going public in the US, Chinese officials asked DiDi to delist on concerns sensitive data could leak.
• In mid-2021, DiDi was forced off Chinese app stores for the alleged illegal collection of personal user data.

Since going public,DIDI

is down over 86%. Chinese stocks saw a wave of momentum in March — as China announced new favorable market policies.

• China is reportedly working on a framework to keep Chinese firms listed on the US exchanges by providing audit access.
• Rest assured: On Saturday, the Chinese Securities and Regulatory Commission said DiDi’s case would not affect talks on audit access.

Unfortunately for DiDi, this might not be the case. DiDi also reported its fourth-quarter report with sales declining 13% and net loss widening by 95% from a year ago.

Three New York’s under lockdown: Despite positive regulatory developments, China’s growth is at risk from COVID lockdowns.

• Shanghai, one of China’s most economically important cities, has been under a strict lockdown since March 28.
• Shanghai has a population of 24.9M in 2020 (~3x New York’s), houses the world’s busiest port and has the world’s third-largest stock exchange (by market cap).

A lockdown of this size will significantly impact China’s growth — who’s targeted a 5.5% growth rate for 2022.