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Apple Inc has said the moves could hit a "wide range" of its products. The iPhone maker's shares were down 1.8 percent, providing the biggest drag on the Dow. The stock pared its losses following reports that the United States would spare some of its products in the latest round of tariff actions.

Apps that offer services such as ordering food and help with health issues, navigation or car hailing are the main targets in the campaign, which will last to the end of December, according to a statement by the Cyberspace Administration of China, the Ministry of Public Security, the Ministry of Industry and Information Technology and the State Administration for Market Regulation.

As Baidu Inc, Alibaba Group Holding Ltd and Tencent Holdings Ltd are making their forays into the automotive sector, conventional auto makers are also actively strengthening their capabilities in software, Zou added.

As Congress will close for the holidays on Dec. 16, final confirmation may not take place until 2020.

Apple, which took the crown in the first quarter, shipped 2.8 million smart wearables in the second quarter and slipped to the third spot.