ZTE (Hong Kong stock code 0763) plunges 8.63% to HK$21.70 in the afternoon session. The selling started at ZTE A-shares, which fall by the 10% limit to CNY 15.03. The selloff is likely triggered by a profit warning from Shenzhen Tat Fook Technology, which is a supplier to ZTE’s competitor Huawei. There are also chatters about huge compensation for Huawei’s lawsuit with Ericsson and forex loss. Tat Fook tumbles 7.8% to CNY 12.97. ZTE peers are suffering some collateral damage, with Comba Telecom (Hong Kong stock code 2342) falling 4.5% to HK$5.52.