The Hang Seng Index dropped 2.35 percent, or 647.12 points, to 26,918.58.

The benchmark Shanghai Composite Index tumbled 1.41 percent, or 40.93 points, to close at 2,867.84. The Shenzhen Composite Index, which tracks stocks on China's second exchange, ended 1.48 percent, or 23.20 points lower, at 1,539.86.