The year 2018 was chaotic for global equity markets, but Chinese bourses led the worldwide slide, largely because of the U.S. trade tensions, a cooling economy and a crackdown on shadow banking.

China’s stock market lost $2.3 trillion in 2018, or about a quarter of its value, making it the world’s worst-performing major market, according to the Financial Times.

Bloomberg data show that China’s CSI 300 index of major listed companies in Shenzhen and Shanghai declined more than 25% from the 2018 starting point, far outpacing losses in the Japanese, U.S. and U.K. markets. In Hong Kong, the benchmark Hang Seng Index closed Monday down 13.6% for 2018, representing the worst year since 2011, according to market data provider CEIC.

In comparison, Japan's Nikkei 225 slid about 14% over the year. The Dow Jones Industrial Average started the final day of 2018 down 6.7% for 2018 following a three-month slide. But the benchmark index also gained on the year’s final day after President Donald Trump tweeted that China and the U.S. were making progress on trade talks.

Analysts say the government’s efforts to deleverage China’s financial system contributed to the market declines despite being overshadowed by trade-war headlines much of the year. Stocks may benefit as both the Chinese and U.S. governments hint at progress in the trade talks.