The benchmark Shanghai Composite Index fell 1.99 percent or 37.64 points to 1856.97. The smaller Shezhen Composite Index lost 144.62 points or 2.14 percent to 6619.35.
Manufacturing fell in regions including the U.S. China, Eurozone and Russia, indicating the financial crisis has begun to impact the real economy.
The Dow Jones Industrial Average fell 679.95 points, or 7.70 percent, to 8,149.09. The Standard & Poor's 500 Index fell 80.03 points, or 8.93 percent to end at 816.21. The Nasdaq Composite Index was down 137.50, or 8.95 percent to finish at 1,398.07.
The stocks in ceramic industry, glass industry, electricity and agriculture sectors fell slightly, while stocks in the medical devices industry, environmental protection, non-ferrous metals, coal, finance and real estate sectors relatively fell heavily.