Its stock price closed at almost one-tenth the value of its $10.49 peak price in December.
Beijing is moving to stop forced tech transfer, but significant loopholes may remain.
The incidence of reported transfers was as high as 30% in chemical and petroleum industries.
Chinese regulators are investigating complaints against Ericsson for breaking anti-trust rules in its licensing practices for 3G and 4G technology.
The newly approved law will take effect next year on Jan. 1.