ZTE Stock Declines Amid Reports of Potential $1 Billion Penalty from US Government
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 11 2025
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Source: NASDAQ.COM
Ongoing Investigation: ZTE Corp. is in communication with the U.S. Department of Justice regarding an investigation into its compliance with the Foreign Corrupt Practices Act (FCPA), focusing on allegations of foreign bribery to secure telecom deals.
Potential Financial Penalty: Reports indicate that ZTE may face a payment of over $1 billion to the U.S. government to resolve these long-standing bribery allegations.
Market Reaction: Following the news of the investigation, ZTE's shares fell by 12.33% on the Hong Kong Stock Exchange.
Company's Stance: Despite the allegations, ZTE maintains that its production and operations are normal and upholds a zero-tolerance policy towards corruption.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
