Afleveringen
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Hi everyone. I’m Stephanie LI.
Coming up on today’s program
China will further advance the opening-up of its financial sector and capital markets, with Shanghai spearheading the efforts;
Guangdong Week at Osaka Expo kicks off next Friday, celebrating Lingnan’s cultural vitality.
Here’s what you need to know about China in the past 24 hours
China's Shanghai will basically evolve into an international financial center that matches the country's overall strength and global influence over the next five to ten years, according to a guideline released by China's Central Finance Commission, Xinhua reported Wednesday.
Six key measures to solidify Shanghai's role as a global financial hub are developing Shanghai's financial market, boosting financial institutions' capabilities, building a globally leading financial infrastructure system, expanding two-way financial opening-up, improving the quality and efficiency of serving the real economy, and ensuring financial security amid its opening-up efforts.
To implement the guideline, the National Financial Regulatory Administration and the Shanghai municipal government have issued an action plan, which introduced a series of measures aimed at enhancing the competitiveness and influence of Shanghai as an international financial center. These measures encompass areas such as improving financial services, expanding institutional opening up, and strengthening financial regulations.
At the Lujiazui Forum held in Shanghai on Wednesday, Pan Gongsheng, governor of the People's Bank of China (PBOC), the country's central bank, announced eight new financial measures, in a bid to further promote the construction of Shanghai as an international financial center.
Among these eight measures, four were aimed at strengthening financial infrastructure to facilitate the opening-up and yuan internationalization, including setting up an international operation center for the digital yuan.
Three measures were announced to enrich financial products and services in the China (Shanghai) Pilot Free Trade Zone. The last one was dedicated to enhancing Shanghai's role as a financial center. Shanghai will pilot measures including cross-border financing, carbon reduction and sci-tech bonds, Pan said.
China’s securities regulator also announced plans to relax listing requirements on Shanghai's Star market to allow easier entry for emerging technology companies with high potential but no profits yet.
The CSRC said that participants in the "qualified foreign institutional investors" (QFII) program will be allowed to invest in exchange-traded fund options on domestic markets, starting October 9.
At the Lujiazui Forum, which is held from Wednesday to Thursday, under the theme "Financial Opening-Up and Cooperation for High-Quality Development in a Changing Global Economy," China's financial regulators also announced a raft of financial policies aimed at broadening China's opening-up in the financial sector.
GBA express
Guangdong will hold a three-day event at the China Pavilion in Japan’s Osaka Expo from June 27-29 under the theme "Green Guangdong, Smart Innovation for the Future,” China’s trade promotion commission told a press briefing today. Xie Huirong, Vice President of CCPIT Guangdong Committee, said the event will showcase Guangdong's intangible cultural heritages like Yingge Dance, Cantonese opera, and lion dance through innovative performances, presenting the vibrant blend of traditional and modern Lingnan culture to the world.
Zhuhai’s Hengqin promoted its latest cross-border tourism offerings at the 39th International Travel Expo (ITE) Hong Kong, highlighting new joint tour routes with Macao aimed at international travelers. The special zone unveiled a 72-square-meter pavilion featuring local tourism brands such as Chimelong Group and Starry Town. The Hengqin delegation also engaged with Hong Kong tourism stakeholders to explore opportunities for cross-border travel cooperation within the Greater Bay Area. The four-day ITE attracted over 500 exhibitors from around 50 countries and regions and featured over 110 events.
Five Hong Kong universities secured positions in the top 100 of the 2026 QS World University Rankings released on Thursday, with the University of Hong Kong (HKU) rising to 11th globally — the highest place obtained by a Chinese university in the ranking’s history. In the Chinese mainland, Peking University ranked 14th, Tsinghua University climbed to 17th, and Fudan University jumped nine spots to 30th.
Industry and company news
BYD has sold more than 1.5 million Yuan models under the Dynasty lineup globally, the Chinese automaker said on Weibo. The subcompact SUV family includes the Yuan Up, Yuan Plus, and Yuan Pro, priced at CNY100,000 to CNY150,000.
JD.Com plans to launch hotel and travel services, providing supply chain services to the hospitality industry, the Chinese e-commerce giant said in an open letter to hoteliers yesterday. JD is offering hotel operators up to three years of zero commission if they join its "JD Hotel PLUS Membership Program.” JD aims to reduce operational costs for hotels and restaurants by two-thirds through supply chain services, said founder Liu Qiangdong.
Foshan Haitian Flavoring & Food Company rose on its Hong Kong “A+H” listing debut today. The company opened 3 percent higher before dropping to below the offering price of HKD36.3 midday, and ended up 0.55 percent. The company successfully raised a net amount of HKD10.1 billion by issuing a total of 279 million H shares.
Alibaba-backed MiniMax is considering an IPO in Hong Kong, people familiar with the situation said, in what would be a landmark industry debut for a Chinese mainland AI startup valued at about USD3 billion. MiniMax, one of the country’s so-called AI Dragons or Tigers, could aim to list as soon as this year, according to the people.
Hong Kong-based US insurance company AIA and Dutch life insurance giant Aegon have got regulatory approval to become the first wholly foreign-owned insurers to set up asset management subsidiaries in Shanghai, Li Yunze, head of the NFRA, said at the Lujiazui Forum yesterday.
The Exim Bank of China released on Thursday a CNY10 billion bond to stabilize foreign trade. With one-year maturity, the bond will be used to support Shanghai-based foreign trade companies. The product has already received much subscription from investors.
Pop Mart's popular Labubu 3.0 series debuted its first-ever online pre-sale on Wednesday, leading to a sharp drop in resale prices of the dolls. Last night, the Labubu vinyl plush doll 3.0 series restocked across multiple channels, and Pop Mart's official mini-program also introduced a pre-sale option for the first time. On some secondary platforms, a full set of six Labubu 3.0 blind boxes that previously listed at over CNY1,500, has dropped significantly to between CNY650 and CNY800, media reports.
Asia-Pacific highlights
JD Logistics launched an express delivery service called JoyExpress in Saudi Arabia yesterday. JoyExpress covers most regions of the kingdom and offers doorstep delivery options, including cash-on-delivery and same or next-day delivery.
Alibaba Cloud announced today it will open its second data center in South Korea by the end of June, three years after launching its first. The move aims to meet rising demand for AI infrastructure amid the growing adoption of generative AI services.
China Eastern Airlines signed a MoU with Auckland Airport yesterday to launch a new route connecting Shanghai, Auckland, and Buenos Aires in December. This will be the airline’s first entry into South America, creating the only direct air link between China and Argentina.
Shanghai signed a sister-city agreement with Almaty, Kazakhstan, during the second China-Central Asia Summit in Astana that ended yesterday. With this addition, the number of sister-city partnerships between China and the five Central Asian countries surpassed 100.
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Hi everyone. I’m Stephanie LI.
Coming up on today’s program
HKEX is absolutely confident in having mainland giants, said CEO Bonnie Chan;
China's central bank unveils eight major financial opening-up measures at 2025 Lujiazui Forum in Shanghai.
Here’s what you need to know about China in the past 24 hours
Since Hong Kong Exchanges and Clearing (HKEX) reformed its listing rules in 2018, 33 Chinese firms listed in the U.S. have debuted in Hong Kong, accounting for over 70 percent of the total market value of all U.S.-listed Chinese equities.
In 2025, Hong Kong’s IPO market is booming, with geopolitical tensions driving more leading firms from the Chinese mainland to seek secondary listings in Hong Kong.
In an exclusive interview with the 21st Century Business Herald, Bonnie Chan, CEO of HKEX, underscored the exchange’s readiness to accommodate mega-listings, categorically dismissing liquidity concerns.
“The HKEX is absolutely confident in having these mainland giants," she said. "Quality enterprises attract capital naturally, and our market’s depth is proven."
The numbers speak for themselves: Hong Kong’s average daily trading volume hit HK$242.3 billion in the first five months of 2025, double the 2024 figure.
Last year, the market set a record HK$650 billion daily turnover, while 2025’s IPO proceeds of HK$773.46 billion in the first five months nearly matched 2024’s full-year total.
Notable debuts include CATL’s H-share listing, which became the world’s largest IPO of the year, attracting top global investors like Kuwait’s sovereign wealth fund.
Market focus now centers on whether HKEX will relax dual-class share restrictions. Of 27 U.S.-listed Chinese firms with over $1 billion in market cap, 22 currently fail to meet the exchange’s ownership rules.
Chan vowed more flexibility, stating HKEX reviews listing rules regularly "to serve the real economy," citing the "Technology Enterprises Channel" that has so far guided over 20 innovative firms through pre-listing processes.
The A+H listing model is gaining steam, fueled by policy support. China has optimized overseas listing procedures, while a new rule allowing Greater Bay Area firms listed in Hong Kong to dual-list in Shenzhen (H+A) promises stronger cross-market synergy.
"Liquidity begets more liquidity," Chan noted, highlighting CATL’s listing as a case where Hong Kong and A-share markets boosted each other’s trading activity.
Driven by economic resilience in the Chinese mainland and the intensifying trend of "de-dollarization" in the global market, Hong Kong has seen robust capital inflows. International placements for CATL’s H-share IPO accounted for 92.5 percent, with 23 global corner investors joining the offering.
"Investors are rediscovering Chinese assets as they reassess their portfolio," Chan said, emphasizing Hong Kong’s role as a gateway for global capital eyeing non-U.S. markets.
At the opening ceremony of the 2025 Lujiazui Forum held in Shanghai on Wednesday, People's Bank of China (PBOC) Governor Pan Gongsheng introduced a package of financial reforms aimed at modernizing China's markets and enhancing global integration. These include improved interbank market monitoring, international expansion of the digital yuan, and further development of offshore finance, credit systems, and monetary policy tools. A digital yuan international operation center will be set up to advance the currency's global usage and facilitate development of digital currency innovation, the PBOC head said. The central bank is also working with regulators to explore yuan-based foreign exchange futures trading. It will also support Shanghai in piloting innovative structural monetary policy tools.
GBA express
Shanghai and Hong Kong inked a joint action plan on the occasion of the opening of the Lujiazui Forum today, aimed at promoting the coordinated development of the two financial hubs, enhancing their respective strengths and increasing China’s influence in the global financial system. The action plan outlines 38 measures across six main areas. These include better linking of their financial infrastructure, co-developing financial products and services, and strategically complementing each other in offshore finance. The two cities plan to keep improving cross-border investment channels such as the Bond Connect and Swap Connect. They will also explore new areas of cooperation such as cross-border clearing, interconnection of gold trading, new application scenarios for the digital yuan in cross-border payments, and helping Shanghai financial firms to expand into the reinsurance sector through Hong Kong.
JD.Com will launch six innovative projects in the short term, including the issuance of stablecoins, according to the chairman of the Chinese e-commerce giant. JD aims to apply for stablecoin licenses in major global currencies to facilitate currency exchanges between enterprises, reduce cross-border payment costs by 90 percent, and shorten transborder payments to within 10 seconds, Richard Liu said at a media briefing yesterday, without disclosing any details about the other projects.
A Juneyao Airlines jetliner with Legoland livery flew on its maiden flight to Guangzhou from Shanghai on Monday. The Airbus A321 craft operated by the Chinese airline also carries the theme in interior décor. The airline is promoting China's first Legoland theme park, due to open in Shanghai next month.
Industry and company news
The Chinese yuan has become the world’s second-largest trade financing currency, governor of the PBOC said today. On a full-scale basis, the yuan is now the third payment currency globally, holding the highest weighting in the IMF’s Special Drawing Rights currency basket.
China National Chemical Engineering Group signed an agreement on the first coal-to-gas project in Kazakhstan with QazaqGaz Scientific and Technical Center at the China-Central Asia Summit in Astana yesterday. QazaqGaz operates Kazakhstan’s largest natural gas pipeline network, with an annual capacity of 255 billion cubic meters.
Cainiao today launched a new budget L4 unmanned express vehicle, the GT-Lite, which has started pre-sales at only 16,800 yuan after time-limited discounts, Alibaba’s logistics arm said today. GT-Lite is designed for short-distance transportation between express delivery spots, with a cargo-carrying range of 100 km.
China's online literature readership has swelled to 575 million, with those born after the year 2000 accounting for nearly a quarter of the total, according to a report released by the China Writers Association today. Around 2 million online literary works were added last year.
As of yesterday, the Harbin-Dalian high-speed railway (Harbin-Dalian HSR), China’s first high-speed railway built for extreme cold, has safely handled more than 1 billion passenger trips, the railway’s operator said.
The 2025 Summer Davos forum will be held from June 24 to 26 in China's northern Tianjin Municipality, with all preparations for the meeting finalized, the organizers said yesterday. The event expects around 1,800 participants from over 90 countries and regions.
The Western Tramway Project, Colombia's first regional railway connecting the capital Bogotá with nearby satellite cities, broke ground on Tuesday (local time), Chinese infrastructure giant CCECC said on Wednesday. The project is also the first large-scale infrastructure project launched in Colombia since it joined the Belt and Road Initiative in May.
Pop Mart’s inaugural global live‑stream on AliExpress today drew an audience of 240,000 from the UK, Canada, Australia, New Zealand, and other countries, with more than 10 best-selling items, including the hugely popular Labubu dolls, sold out within seconds.
Asia-Pacific highlights
China and five Central Asian countries, Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan reaffirmed yesterday their firm support for each country's independence, sovereignty, territorial integrity as well as the principles of sovereign equality and the inviolability of borders, Xinhua reported.
China’s Cross-Border Interbank Payment System signed agreements with six foreign lenders to become direct participants of the Chinese payment system offering clearing and settlement services in yuan. CIPS will cover offshore yuan centers in Africa, the Middle East, Central Asia, and Singapore through foreign direct participants for the first time, further facilitating cross-border yuan use, CCTV reported.
China plans to add 11 more freight train runs for the China-Laos Railway, China-Europe freight train service as well as China-Central Asia train service to ensure a stable international supply and industrial chain between Asia and Europe, the State Railway Group said Tuesday.
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Zijn er afleveringen die ontbreken?
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Hi everyone. I’m Stephanie LI.
Coming up on today’s program
As China-Central Asia tourism heats up, travel agencies are launching more products amid growing visitor numbers;
Nvidia will debut at this year’s CISCE, with US firms’ participation up 15%.
Here’s what you need to know about China in the past 24 hours
On Monday, China Southern Airlines flight CZ6051, with 173 passengers on board, departed from Beijing for Dushanbe, the capital of Tajikistan, the debut of the first direct air route connecting the two capitals, which will be serviced twice a week, on Tuesdays and Saturdays, CCTV reported.
Increased connectivity along with visa-free policies is contributing to the growing tourism exchanges between China and Central Asia, according to data from Chinese travel agencies, part of a broader trend of burgeoning ties.
This year marks the China tourism year in Kazakhstan and Uzbekistan's year of tourism in China. More and more Chinese tourists enjoy the convenience provided by visa-free travel agreements between China and Central Asian countries, including Kazakhstan and Uzbekistan, according to Xinhua.
Trip.com data showed that since the start of this year, inbound bookings from Central Asian tourists have risen by 106 percent year-on-year, with the number of bookings from Uzbekistan seeing a 164-percent increase.
Cities such as Guangzhou, Hangzhou, and Beijing are among the top destinations for these travelers. Outbound travel from China to Central Asia has also increased 74 percent, with a 60-percent rise in bookings to Uzbekistan, per the Trip.com data.
Travel platform Utour reported that the number of Chinese tourists traveling to Central Asia so far this year has doubled year-on-year. On the Fliggy platform, bookings for flights to Kazakhstan and Uzbekistan have increased by 60 percent and 47 percent, respectively.
In response to these trends, tourism firms are making arrangements to launch more products this summer. Shanghai-based Spring Travel is set to launch two Central Asia-themed tourism products, the In-depth Kazakhstan Tour and the Kazakhstan-Uzbekistan dual-country tour.
Leveraging a new visa-free policy enacted on June 1, Uzbekistan intends to attract 1 million Chinese tourists in the medium term, according to Laziz Kudratov, Uzbekistan's minister of investment, industry and trade.
"We are establishing ourselves as a primary destination for tourists from around the world, and Chinese tourism is a useful index of this industry's recent growth. In 2024, we recorded an increase of 75 percent in the number of Chinese tourists visiting Uzbekistan," Kudratov said.
China is one of the most important sources of tourists for Kazakhstan too. Data from the Ministry of Tourism and Sports of Kazakhstan showed that in 2024, visits by Chinese tourists reached 655,000, up 78 percent year-on-year.
GBA express
Hong Kong is a strong contender for the number one position in the global initial public offering market in 2025. Edward Au, southern region managing partner of Deloitte China said the firm maintains its full-year forecast of around 80 new listings in the city, raising funds between HKD130 billion and 150 billion. Louis Lau, partner and head of Hong Kong capital markets group at KPMG China, said the Hong Kong stock market hosted 27 IPOs in total in the first five months of this year, raising approximately HKD77.7 billion. This figure represents an increase of more than eight times that of the same period last year.
Shenzhen Stock Exchange announced on Monday that CATL has been added to the Southbound Stock Connect eligible securities list, with the adjustment taking effect immediately. CATL was added to Shanghai-Hong Kong Stock Connect on June 14. The exchange also adjusted the constituents for major indices including the Shenzhen Component Index and ChiNext Index, adding more companies from emerging and high-tech industries.
Foshan Haitian Flavouring & Food Co has raised HKD10.1 billion after robust demand for its shares to be listed in Hong Kong that allowed the Chinese mainland’s biggest soy sauce maker to increase the deal size. The company sold 279 million shares at HKD36.30 each, the top end of the marketed price range. The fund-raising ends on Monday, oversubscribing by nearly 700 times.
Geely-backed ride-hailing firm Caocao announced today it will go public on the Hong Kong Stock Exchange on June 25. Caocao plans to issue 44.17 million shares at an offering price of HKD41.94 apiece, aiming to raise about HKD1.9 billion.
Reitar Logtech, an Hong Kong logistics technology firm, said on Monday it plans to apply for a stablecoin issuer license once the city’s new regulations take effect on August 1. Reitar aims to launch its own Hong Kong dollar-pegged stablecoin, RHKD, which will mainly be used for payments and settlements in cross-border e-commerce, logistics, and supply chains.
Hong Kong welcomed about 4.08 million visitor arrivals in May, a 20 percent year-on-year increase, primarily driven by the Chinese mainland’s May Day break, and major local events such as concerts and exhibitions. The Hong Kong Tourism Board said on Monday that tourist arrivals over the first five months of 2025 amounted to over 20 million, up 12 percent from the same period last year. Meanwhile, a total of 100 million inbound and outbound passenger trips were recorded in 2025 via checkpoints in Zhuhai connecting to Macao and Hong Kong by Sunday, 22 days earlier than last year.
The People's Bank of China will issue this year's fourth batch of central bank bills worth CNY30 billion with a maturity of six months in Hong Kong, with the SAR becoming the world's largest offshore yuan center.
Industry and company news
The 3rd China International Supply Chain Expo (CISCE) is scheduled to be held in Beijing from July 16-20, with participation already beating expectations. The number of US exhibitors has increased by 15 percent compared with last year, while chip giant Nvidia will debut at the expo this year, said Yu Jianlong, vice chairman of the China Council for the Promotion of International Trade, on Tuesday. Over 650 Chinese and foreign enterprises and institutions from 75 countries and regions will participate in the expo. Fortune Global 500 companies and leading enterprisesaccount for over 65 percent of all the participants.
China's COMAC penned MoUs with French aircraft engine maker Safran and US industrial products maker Crane on C929, the Airbus A330neo and Boeing 787 Dreamliner's competitor, at the Paris Air Show yesterday, where the Chinese planemaker showcased the basic models of C909, C919 and C929.
Tencent has launched a global algorithm competition aimed at attracting new professional talent, offering a prize pool of CNY3.6 million. The contest challenges teams of contestants to develop AI model recommendations using image, text and behavioral tools. The top team will win CNY2 million, and members of the top 10 teams will be eligible for full-time jobs.
China will roll out its departure tax refund policy in Dalian, northeastern Liaoning province, and central Hubei province from July 1, the finance ministry said yesterday. Overseas tourists can claim back value-added tax on eligible purchases made at designated tax refund stores before leaving the country.
China's cross-border e-commerce exports exceeded CNY2 trillion for the first time last year, up 16.9 percent from the previous year, China’s customs said yesterday. The US was China's largest export market, accounting for 36 percent.
Goldman Sachs issued a list of China's top private companies, dubbed the "Prominent 10," which it called a counterpart to the "Magnificent Seven" in the US. They are Tencent, Alibaba, Xiaomi, BYD, Meituan, NetEase, Midea, Hengrui Pharmaceuticals, Ctrip, and Anta, which collectively represent USD1.6 trillion in market cap and make up 42 percent of the MSCI China Index. Goldman projects the "Prominent 10" will show 13 percent compound annual earnings growth in the next two years.
Asia-Pacific highlights
The opening ceremony of Kazakhstan's "China Tourism Year" was held on Monday at the National Museum of Kazakhstan, with around 300 guests from China and Kazakhstan attending. As a major highlight of the event, the exhibition titled "Silk and the Silk Road: From China to Kazakhstan" also opened on the same day at the National Museum.
Meitu, a Chinese photo and video editing app, has topped the App Store download chart in Cambodia, Laos, and Brunei within a week and the Photo & Video category on the App Store in 11 Southeast Asian and European countries.
The Labubu fever is now sweeping Australia, with customers forming long lines at stores for the toys in major cities, per media reports. The quirky monster dolls from Chin'a Pop Mart are drawing huge crowds, including many adult shoppers, to stores in Sydney, Melbourne and Brisbane.
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Hi everyone. I’m Stephanie LI.
Coming up on today’s program
China’s economy displays resilience in May, bolstered by government’s pro-growth policy package;
China and Central Asia see robust trade this year.
Here’s what you need to know about China in the past 24 hours
China’s economy withstood pressures, maintaining stable growth momentum in May, as its resilience is bolstered by the government’s latest package of stimulus policies, official data showed on Monday.
In May, the total value added of industrial enterprises above the designated size grew by 5.8 percent year-on-year, while from January to May, it increased by 6.3 percent, according to latest data released by the National Bureau of Statistics (NBS).
Notably, the value-added of equipment manufacturing sector rose by 9.0 percent, and that of high-tech manufacturing grew by 8.6 percent, both outpacing the overall industrial growth rate, indicating a strong development momentum.
On domestic consumption, market sales rebounded significantly in May, with rapid growth in goods related to the trade-in programs, the spokesperson told a press conference on Monday.
NBS data showed that total retail sales of consumer goods reached 413.26 billion yuan, up 6.4 percent year-on-year, accelerating by 1.3 percentage points from a month earlier.
The services sector growth has gained pace, with modern services maintaining strong momentum. In May, the national services production index increased by 6.2 percent year-on-year.
Fixed asset investment continued to expand, with manufacturing sector investment growing rapidly. From January to May, national fixed asset investment (excluding rural households) rose by 3.7 percent year-on-year.
Investment in the information service sector rose 41.4 percent, while investment in aviation, aerospace, and equipment manufacturing grew by 24.2 percent year-on-year.
The average surveyed urban unemployment rate in the first five months stood at 5.2 percent. In May, the rate was 5.0 percent, down 0.1 percentage points from April.
With the continued release of policy effects and the visible results of macro measures to stabilize economic development, China’s economy has maintained generally stable performance with steady progress seen in May, which demonstrated its resilience and vitality, said NBS spokesperson Fu Linghui .
However, Fu cautioned that external uncertainties remain abundant, while domestic demand still requires stronger internal momentum, and the foundation for sustained economic recovery needs further consolidation.
China's yuan-denominated foreign trade with the five Central Asian countries of Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan, and Uzbekistan jumped a record 10.4 percent to 286.4 billion yuan in the first five months from a year earlier, according to China's General Administration of Customs on Sunday. The data came as the second China-Central Asia Summit is scheduled to take place in Astana, Kazakhstan from June 16 to 18, according to Xinhua. China's trade with the five Central Asian countries expanded from 312.04 billion yuan in 2013 to 674.15 billion yuan in 2024, up 116 percent. The average annual growth rate reached 7.3 percent, 2.3 percentage points higher than the average rate of China's overall trade during the same period.
GBA express
Macao will implement a new visa policy to allow citizens from Saudi Arabia, Qatar, Kuwait, Bahrain, and Oman to enter the special administrative region of China without a visa or with pre-entry permission, CCTV News reported.
Hong Kong Chief Executive John Lee Ka-chiu announced the start of public consultation for his fourth Policy Address, set to be delivered in September. The government will gather input from residents and stakeholders to shape policies aimed at driving reform, enhancing competitiveness, and improving livelihoods, he said. In a social media post, the Hong Kong leader emphasized that reform and innovation remain key priorities for Hong Kong’s development.
InvestHK and the Hong Kong Science and Technology Parks will lead a delegation on Monday to showcase the city’s unrivaled advantages and opportunities as a global biotech hub during a major international convention in the United States. The delegation comprises of 16 life science and health technology companies and will attend the BIO International Convention 2025 in Boston.
Industry and company news
The 4th China-Africa Economic and Trade Expo wrapped up with fruitful results, as the event, after review by the organizing committee, announced 176 signed projects with a total value of USD11.39 billion, up 45.8 percent in project numbers and up 10.6 percent in project value compared with the previous edition, the organizers said on Sunday.
Baidu announced its largest-ever AI talent hiring program to recruit top AI professionals, with a 60-percent increase in positions compared with last year, media reported on Sunday. The program covers 23 core businesses and 11 research areas, focusing on cutting-edge AI fields such as large language model algorithms, machine learning and speech technology. To recruit top campus talent, the program offers salaries with no upper limit.
Pop Mart has opened the first store of its jewelry brand Popop in Shanghai. The store features accessories inspired by the Chinese toymaker’s most popular characters, including Labubu, Molly, and Crybaby, with prices ranging from 319 to 2,699 yuan.
Beijing has become the first Chinese mainland city to support contactless fare payments for foreign American Express, MasterCard, JCB, Visa, and UnionPay card holders, on all of its 29 metro lines, the local metro authority said today.
The overseas box office revenue of “Ne Zha 2” is projected to exceed USD100 million, setting a new record for Chinese films’ international releases in the past two decades, said Wang Changtian, chairman of Enlight Media, the distributor of the Ne Zha franchise. Wang also estimated that the derivative merchandise of the blockbuster could surpass 100 billion yuan.
The 27th Shanghai International Film Festival opened in a glittering ceremony that paid tribute to the 120th anniversary of Chinese cinema, the 130th anniversary of world cinema and Shanghai's long contribution to the movie industry. The opening of the 10-day event on Saturday saw a record number of tickets sold.
Asia-Pacific highlights
New Zealand yesterday announced a 12-month visa waiver policy starting from November that will allow Chinese citizens with a valid Australian visa to stay in the country for up to three months with only a New Zealand Electronic Travel Authority. The visa policy doesn't apply to people transiting through Australia.
Singapore recorded 1.37 million visitor arrivals in May, marking a 7.6 percent year-on-year increase, with China remaining the top source of tourists from January to May, according to data released by the Singapore Tourism Board on Monday.
WeRide announced today it signed an MoU with Dubai’s Roads and Transport Authority and Uber to pilot autonomous vehicle operations in the city. During the initial phase, the vehicles will operate with a safety driver onboard, laying the groundwork for the full-scale commercial launch of driverless services next year.
Marking the 50th anniversary of diplomatic relations between Thailand and China, Parnpree Bahiddha-Nukara, former Thai deputy prime minister and foreign minister, said bilateral ties have developed into a strategic partnership founded on mutual trust and common values. Parnpree highlighted several major achievements in recent years, including the launch of a foreign ministerial dialogue mechanism and a mutual visa exemption agreement. He said China plays a crucial role in the development of Global South countries. In a world facing turbulence and uncertainties, Parnpree believed Thailand-China collaboration will contribute to regional peace and development.
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Host: Stephanie LI
Guest: Jack Zhang, SFC Hong Kong Correspondent
Stephanie: Hello, everyone! Welcome to CBN Correspondent. Today, we’re diving into the world of stablecoins and the regulatory race heating up between Hong Kong and the U.S. Joining me is Jack Zhang, our reporter in Hong Kong who has recently been covering the stablecoins regulation in the city. Jack, thanks for being here!
Jack: Thanks for having me, Stephanie. Excited to talk about this pivotal moment in digital finance.
Hong Kong’s Race to Regulate: Why Now?
Stephanie: Let’s start with the big news: Hong Kong recently passed the Stablecoins Ordinance, becoming the first jurisdiction to fully regulate fiat-backed stablecoins. Why is this a big deal, and why did Hong Kong move so quickly?
Jack: Great question. Think of it as a battle for financial dominance in the digital age. The global stablecoin market hit US$250 billion in 2025, approximately the amount of M2 money supply in the U.S., and countries realize whoever masters regulation will shape the future of payments and finance. Hong Kong’s move is strategic—they want to solidify their role as an international financial center.
But it’s not just about status. Stablecoins like USDT have faced scrutiny over opaque reserves—remember, only 83% of Tether’s reserves meet the U.S. GENIUS Act’s standards.
Hong Kong saw a gap: by mandating strict reserve separation, regular audits, and 1:1 redemption guarantees, they’re creating a trust framework that could attract global issuers tired of regulatory ambiguity.
Stephanie: So it’s both a defensive and offensive play—protecting their market while positioning for growth. How does this fit into Hong Kong’s broader Web 3.0 strategy?
Jack: Exactly. Since 2023, Hong Kong has rolled out policies like the Virtual Asset Trading Platform regime. The stablecoin ordinance complements that, creating a full-stack regulatory ecosystem. As Jeffrey Ding, Chief Analyst of HashKey Group said, it’s about balancing innovation and risk—giving businesses a clear “playbook” while preventing another TerraUSD collapse.
HashKey Exchange is the largest licensed virtual asset exchange in Hong Kong. During the legislative process of stablecoins, as an industry representative, it actively participates in policy consultation and promotes the implementation of the compliance framework.
Hong Kong vs. U.S.: Regulatory Frameworks Compared
Stephanie: Speaking of the U.S., their GENIUS Act is also making waves. How does Hong Kong’s framework differ from what’s happening in the U.S.?
Jack: Let’s break it down. Both focus on fiat-backed stablecoins, but the how differs. The U.S. uses a dual regulatory system—federal laws plus state oversight.
Hong Kong, though, centralizes regulation under the Monetary Authority (HKMA). That’s simpler, but they also stay flexible. For instance, they welcome non-HKD stablecoins (like USD or offshore yuan), whereas the U.S. leans more toward dollar-centric rules. Hong Kong’s approach is about being a “neutral hub”—open to global issuers but with tight controls on reserves and transparency.
Stephanie: Are there similarities?
Jack: Absolutely. Both stress “same risk, same regulation”—meaning stablecoin activities should be regulated like similar financial services. But in Hong Kong’s regulation, it explicitly targets cross-border promotion. If a stablecoin markets to Hong Kong users, even from overseas, it needs a license. That’s a smart move to curb regulatory arbitrage.
Hong Kong’s Regulatory Edge: Flexibility and Strategic Positioning
Stephanie: You mentioned flexibility. How does Hong Kong balance strict rules with innovation?
Jack: Look at their sandbox approach. Companies like JD Coinlink are testing stablecoins in phases—first with B2B cross-border payment, then expanding to retail. The HKMA isn’t shutting down experimentation; it’s guiding it. For example, they allow issuers to hold a mix of cash and high-quality liquid assets (like government bonds), as long as they’re segregated and audited monthly. That’s more pragmatic than the U.S., which leans toward stricter cash-only reserves.
Also, Hong Kong’s geographic edge can’t be ignored. Sitting at the crossroads of Chinese mainland and Southeast Asia, it’s ideally placed to test cross-border use cases. Imagine a Hong Kong-issued stablecoin settling trades between a Shenzhen manufacturer and a Singaporean buyer—fast, cheap, and blockchain-based. That’s the future they’re betting on.
Hong Kong’s openness to multi-currency stablecoins gives it a unique angle. If a Hong Kong issuer can offer USD, HKD, and CNY stablecoins under one license, that’s a one-stop shop for global businesses—a huge selling point.
Stablecoins and the Yuan: Implications for RMB Internationalization
Stephanie: Let’s shift to the bigger picture. How could Hong Kong’s stablecoin framework impact the yuan’s global role?
Jack: This is where it gets really interesting. China has long wanted to reduce reliance on the SWIFT system, and stablecoins offer a potential workaround. Hong Kong’s ordinance doesn’t mention RMB directly, but issuers like JD Coinlink are eyeing offshore yuan stablecoins. Imagine a digital yuan proxy—regulated in Hong Kong, backed by yuan reserves, and used for trade settlements across Asia.
Now, there are hurdles. Offshore yuan stablecoins need careful coordination. But thanks to the “one country, two systems” policy, Hong Kong is able to do the experimentation.
As the yuan is increasingly being accepted by more economies and market players, driving its internationalization, stablecoins could become tools for monetary sovereignty, said Sha Jun, a legal expert from Yingke Law Firm.
Stephanie: Could this challenge SWIFT?
Jack: Maybe not overnight, but consider the stats: traditional cross-border payments cost 6.4% in fees and take days. Stablecoins do it in minutes for pennies. If Hong Kong can onboard enough businesses (like the 30,000+ cross-border firms in their ecosystem), the network effect could grow exponentially.
OKG Research predicts stablecoins could handle USD100 trillion in transactions by 2030—that’s twice the current global GDP. SWIFT isn’t going away, but stablecoins might carve out a significant niche, especially in Asia.
Challenges Ahead: Trust, Adoption, and Competition
Stephanie: Sounds promising, but what are the risks?
Jack: Trust is the biggest hurdle. USDT has dominated for years, despite its controversies. Convincing users and institutions to switch to a Hong Kong-regulated stablecoin requires time and marketing. Also, retail adoption is tricky—consumers won’t switch payment methods unless there’s a killer app. Right now, stablecoins shine in businesses and crypto trading, but customers use is lagging.
Competition is another factor. The EU is drafting its own stablecoin rules, and Singapore is watching closely. Hong Kong needs to keep innovating—maybe by linking stablecoins to its digital yuan pilot or integrating with ASEAN’s payment systems.
A New Era for Global Finance
Stephanie: To wrap up, how do you see Hong Kong’s role evolving in this space?
Jack: Hong Kong is creating a template for how to regulate digital assets without stifling innovation. This could be a blueprint for other jurisdictions, especially in emerging markets.
For China, it’s a crucial step to push for yuan internationalization in digital form. For the world, it’s a sign that the financial landscape is shifting—away from traditional banking systems and toward a more decentralized, blockchain-driven future. Whether Hong Kong can maintain this edge depends on execution, but so far, they’ve thrown down the gauntlet.
Stephanie: Fascinating. Thanks for breaking it down, Jack. For our listeners, if you want to dive deeper, we’ll link to Jack’s full report on the Hong Kong Stablecoins Ordinance. Until next time.
Jack: Thanks for having me, Stephanie. Stay curious, everyone!
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Hi everyone. I’m Stephanie LI.
Coming up on today’s program
Guangdong plans to boost supply chain cooperation with ASEAN;
Ant Group plans to file for stablecoins permits in Hong Kong as soon as August.
Here’s what you need to know about China in the past 24 hours
Guangdong plans to further strengthen cross-border cooperation with the Association of Southeast Asian Nations, the Chinese province’s largest trading partner, to drive two-way trade and investment growth, according to a conference to promote trade and supply chain collaboration between the pair.
In terms of transborder e-commerce cooperation, the two regions enjoy clear advantages in industrial synergy and digital empowerment, effectively driving the deep integration of “Guangdong manufacturing” with “ASEAN demand” and injecting strong momentum into the regional economy, Cui Shuang, vice president of the Guangdong committee of the China Council for the Promotion of International Trade, said at the conference yesterday.
ASEAN has been Guangdong’s largest trading partner for five consecutive years, Cui noted. Guangdong-ASEAN trade rose 8 percent to 1.5 trillion yuan last year from 2023, accounting for a fifth of China’s foreign trade with the regional bloc.
The pair will hopefully strengthen policy exchange, create an efficient and convenient regional supply chain environment, and promote the coordinated upgrading of key supply chains and further deepen platform cooperation, Pov Somnang, special assistant to the secretary-general of ASEAN and president of the ASEAN Economic and Trade Promotion Association, told the conference.
Going forward, Guangdong and Thailand can deepen cooperation in five areas, according to Li Wenli, president of the Thai Chamber of Commerce in China. They are supply-chain synergy to boost efficiency; smart upgrades to logistics systems; optimized bilateral tax collaboration mechanisms; joint talent and culture promotion; and strengthened, standardized cross-border payments.
Cambodia welcomes enterprises from Guangdong to build production bases in the country and invest in agricultural processing, electronics assembly, garment manufacturing, logistics, and other areas, said Swinali, a deputy secretary of state at Cambodia’s commerce ministry.
Also at the conference, the CCPIT Guangdong inked memoranda of understanding with business organizations from ASEAN member countries, and the Guangdong-ASEAN enterprise service platform was launched, aimed at helping Chinese firms expand in ASEAN countries and vice versa.
Moreover, seven projects were signed, including an Indonesian coal mine investment deal between Guangdong Import and Export and China Qinfa Group, as well as a USD3.1 billion tie-up between Guangdong Provincial Tourism Holdings and New Hua Sheng 2022.
Additionally at the conference, Guangdong’s first five overseas trade and investment service centers were set up in Cambodia, Malaysia, Singapore, Indonesia, and Vietnam.
The United States should resolve trade disputes with China through equal dialogue and mutually beneficial cooperation, Chinese Vice Premier He Lifeng has said, Xinhua reported yesterday. China reiterates that the United States should work with China to honor their words with actions, and demonstrate sincerity in keeping commitments and concrete efforts to implement consensus, so as to jointly safeguard the hard-won outcomes of dialogue, He said. He made the remarks during the first meeting of the China-U.S. economic and trade consultation mechanism held in London from Monday to Tuesday. China hopes U.S. will jointly implement consensus reached in two presidents' phone call, Chinese Foreign Ministry Spokesperson Lin Jian said on Thursday.
Chinese and African government officials and businesses are gathering in Changsha, Central China's Hunan Province, for the fourth China-Africa Economic and Trade Expo that kicks off today. Themed "China and Africa: Together Toward Modernization," the event will feature 30 economic and trade activities in fields including China-Africa industrial chain collaboration, green minerals, infrastructure, traditional medicine, cultural industries and youth entrepreneurship, according to the organizer. As of Wednesday, more than 30,000 participants from home and abroad, and more than 4,700 Chinese and African businesses have registered to attend the conference and the exhibition.
GBA express
Ant International today confirmed media reports that it plans to apply for stablecoin issuer licenses in Hong Kong immediately when the city's Stablecoins Ordinance becomes effective in August. The Singapore-based unit of Ant Group is also targeting permits in Singapore and Luxembourg as part of a broader blockchain expansion strategy, media reported on Tuesday. The move represents a significant entry into the crypto space for Ant International, which processed over USD1 trillion in global transactions last year.
A new institution for higher learning, the Great Bay University, a key initiative under the Outline Development Plan for the Greater Bay Area, will soon open its doors for undergraduate enrollment. This follows an announcement by the Ministry of Education of a list of 10 newly approved universities, including GBU, on its website on Wednesday. Located in Dongguan, Guangdong province, GBU is a publicly funded university, which will initially offer five undergraduate programs: mathematics and applied mathematics, physics, computer science and technology, materials science and engineering, and industrial engineering.
Chinese EV startup Leapmotor has opened its first store in Hong Kong, launching the right-hand drive versions of the two main models it uses in global markets, the C10 and the T03, in the city. The two models have been sold in 13 European countries since last September and entered some Middle Eastern, African, Asia-Pacific, and South American markets.
Industry and company news
China's massive transport system consisting of rail, road, air and water ways handled 640 million inter-regional passenger trips, averaging 180 million trips per day, marking a 5.4 percent growth year-on-year, according to data released by China's Ministry of Transport on Thursday. In 2024, the total passenger volume reached 730 million, an increase of 17.9 percent from a year earlier. The total passenger turnover amounted to 1,291.5 billion person-kilometers, a growth of 25.3 percent.
China added around 91,000 public EV charging piles in May, up 34 percent from the same period last year, according to official data released today. The number of public charging piles rose 45 percent to 14 million as of May 31 from a year earlier.
GAC Toyota announced today a new partnership with Xiaomi, officially joining the Chinese tech giant’s ‘Human x Car x Home’ smart ecosystem. The Bozhi 7 will be GAC Toyota’s first model to feature the integrated system. Going forward, more of the JV’s vehicles will adopt Xiaomi ecosystem devices, such as smart intercoms and phone holders.
After becoming Henan province's richest person, Wang Ning, founder of Chinese toymaker Pop Mart, was the world's 92nd richest person yesterday, with a net worth of USD22.6 billion, according to Forbes Real Time Billionaire List. Pop Mart's revenue from The Monsters blind box series, including the best-selling Labubu, exceeded 3 billion yuan last year, up 727 percent from the previous year.
Online quotas of the three-year and five-year electronic Chinese government savings bonds that were launched yesterday sold out instantly on some banks’ mobile apps, media reports. Fifty billion yuan of bonds sold like hot cakes despite interest rates being trimmed 30 bps to 1.63 percent for the three-year bond and 1.7 percent for the five-year one. Yet they still offer a better return than fixed deposits at state-owned banks.
Asia-Pacific highlights
China today added Indonesia to its 240-hour visa-free transit program, bringing the total number of countries eligible for the policy to 55, immigration authorities announced today. Eligible Indonesian travelers can enter China and stay up to 10 days without a visa before heading to a third destination.
Growth in the ASEAN region could slip below 4 percent by 2026 as trade policy uncertainty in the United States reaches unprecedented levels, economists warned at a seminar organized by the ASEAN+3 Macroeconomic Research Office on Wednesday. The bloc, which includes economies in ASEAN, China, Japan and South Korea, will see growth slip to 3.8 percent this year and 3.4 percent in 2026 in the worst-case scenario.
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Hi everyone. I’m Stephanie LI.
Coming up on today’s program
Global markets rallied on optimism over China-U.S. trade talks;
China unveils new guidelines to deepen reforms in Shenzhen.
Here’s what you need to know about China in the past 24 hours
China and the United States have over the past two days conducted professional, rational, in-depth and candid exchanges, said a senior Chinese official on Tuesday.
Li Chenggang, China international trade representative with the Ministry of Commerce and vice minister of commerce, made the remarks when briefing the press following the first meeting of the China-U.S. economic and trade consultation mechanism held in London, Xinhua reported.
The two sides have agreed in principle the framework for implementing consensus between the two heads of state during their phone talks on June 5, as well as those reached at Geneva talks, Li said.
It is hoped that progress made at the London meeting will be conducive to strengthening trust between China and the United States, and to further promoting the steady and healthy development of economic and trade ties between the two countries, he said, adding that the meeting also adds positive energy to global economic growth.
Asian stocks mostly advanced on Wednesday, led by gains in Chinese markets, as optimism grew over news on a China-U.S. trade framework.
China's benchmark Shanghai Composite Index opened higher, led by gains in consumer products and battery stocks. The Shanghai Composite ended 0.52 percent higher to stand above the 3,400-point mark, the Shenzhen Component rose 0.83 percent, and the ChiNext board rallied 1.21 percent.
In Hong Kong, the benchmark Hang Seng Index advanced 0.84 percent and the TECH Index added 1.09 percent.
South Korea’s KOSPI rose 0.6 percent to an 11-month high. Japan’s Nikkei 225 climbed 0.4 percent, while the broader TOPIX was flat amid concerns on Bank of Japan rate policy.
Australia’s ASX 200 rose 0.3 percent after hitting a record intraday high early on.
U.S. stocks also closed higher on Tuesday, with the Dow Jones rising by 0.25 percent. The S&P 500 closed up 0.55 percent, and the Nasdaq climbed 0.63 percent.
China will implement zero-tariff measures for 100 percent of tariff items for 53 African countries with diplomatic ties, providing more convenience for exports from Africa's least developed countries to China, Foreign Ministry Spokesperson Lin Jian said today. China’s total imports and exports with African countries increased from less than 100 billion yuan in 2000 to 2.1 trillion yuan in 2024, marking an average annual growth of 14.2 percent, according to data released by the General Administration of Customs (GAC) on Wednesday ahead of the fourth China-Africa Economic and Trade Expo.
GBA express
China will further advance comprehensive reforms in the vibrant southern city of Shenzhen, and push for greater innovation and opening-up in the city, according to a set of guidelines unveiled on Tuesday, according to Xinhua. They emphasize strengthening the integration of innovation, industrial, capital, and talent chains, while exploring new pathways, scenarios, and platforms for the GBA cooperation. Specifically, the guidelines call for a coordinated push to integrate reforms in education, science and technology, and talent development systems and mechanisms. This includes reinforcing the central role of enterprises in technological innovation and improving effective pathways for leading tech companies to serve as "problem setters" in R&D. Universities and enterprises are also encouraged to jointly cultivate high-caliber, interdisciplinary engineering talent and foster a pool of innovative entrepreneurs proficient in cutting-edge technologies. In addition, the guidelines propose measures to enable the high-quality development of the real economy through finance, technology, and data integration. This includes supporting Shenzhen in launching a pilot program for the integration of finance and the tech industry. They also support reforms in unmanned aerial vehicle flight management, improvement of low-altitude flight regulations, and exploration of general aviation services such as cross-border helicopter flights and public service missions.
Foshan Haitian Flavouring & Food Co began taking investor orders for a Hong Kong listing that could raise as much as HKD9.56 billion, the latest deal of its kind powering the city’s share-sale recovery this year. The Chinese maker of soy sauce and other condiments is offering 263 million shares at HKD35 to HKD36.30 each, according to a listing document on Wednesday.
The organizing committee of the 15th National Games on Tuesday unveiled the designs of the gold, silver and bronze medals. The medals are named Tongxinyue — meaning “united leaps” — which symbolizes the collaborative spirit and development pulse of the Hong Kong and Macao SARs, and Guangdong province. Ticket sales for the games will kick off in August with the trio using the same ticketing platform.
Industry and company news
A total of 13 Chinese automakers made a statement on Wednesday, promising to unify their supplier payment time to within 60 days, in a move to ensure the stability of the automobile sector supply chain, according to a post released by China's Ministry of Industry and Information Technology (MIIT) on Wednesday. Companies including BYD, Chang'an Automobile, FAW Group, Xiaomi Auto, Li Auto, and Xpeng, along with other domestic automakers, have issued the initiative so far this week.
Tencent Music Entertainment announced late Tuesday that it will acquire leading audio platform Ximalaya for approximately USD1.3 billion in cash plus the issuance of shares. Upon completion of the transaction, Ximalaya will become a wholly owned subsidiary of the Chinese music platform. In response to news of the merger, Ximalaya said it will continue to operate under its existing brand and will maintain independent management of its current products, core leadership team, and overall strategic direction.
China's domestically developed AG600 "Kunlong" amphibious aircraft has officially entered mass production after receiving the production certificate from the Civil Aviation Administration of China on Wednesday.
The number of departure tax refund transactions processed by China’s tax authorities surged 116 percent from a year ago, while sales at tax refund shops rose 56 percent between April 27 and May 26 since the refined tax-refund-upon-departure policy rolled out, the State Taxation Administration said.
ByteDance today released its latest generation of AI model, Doubao 1.6, which includes Doubao-Seed-1.6-thinking, Doubao-Seed-1.6, and Doubao-Seed-1.6-flash, cutting the price by 63 percent compared with Doubao 1.5 to as low as 2.6 yuan per million tokens.
Midea Energy today unveiled its three-dimensional growth strategy focused on energy storage, heat pumps, and AI. The Chinese home appliance giant aims to develop the energy sector into a core pillar of its overall business, said Wei Chang, VP and CTO of Midea Group.
Arashi Vision soared 274 percent on its trading debut in Shanghai today. The Chinese maker of the Insta360 action camera issued 41 million shares in its IPO, raising 1.9 billion yuan.
A mint green, 130cm-tall Labubu figurine was sold for 1.08 million yuan in a Labubu-themed auction in Beijing yesterday. Another brown limited-edition Labubu was auctioned for 820,000 yuan. The ugly-cute monster created by Hong Kong artist Kasing Lung and exclusively sold by Pop Mart has sparked a global buying frenzy. Stock price in Pop Mart continued to hit new high today, climbing over 4 percent to HKD270, with a market cap reaching HKD362.3 billion.
Asia-Pacific highlights
Singapore-based budget airline Jetstar Asia will close at the end of next month after over 20 years of operation, its Australian owner Qantas announced today. The airline is expected to log an AUD35 million (USD22.8 million) underlying EBIT loss this fiscal year. Its closure will not impact Australia-based Jetstar Airways or Jetstar Japan.
JD Logistics has reportedly set up a team of nearly 1,000 employees in Saudi Arabia and started providing delivery services in Riyadh. The express delivery arm of JD.Com declined to comment on the media report.
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Hi everyone. I’m Stephanie LI.
Coming up on today’s program
Huawei’s Ren Zhengfei speaks to People’s Daily on hot topics of public interest including its advance chip technology;
China's NEV retail sales and exports both surged in May.
Here’s what you need to know about China in the past 24 hours
In a recent interview with People’s Daily published on Tuesday, Huawei Technologies' founder, Ren Zhengfei, shared insights on Huawei’s ability to produce advanced chips despite stringent sanctions, acknowledging a technological gap with Western competitors but expressing determination to bridge it.
Ren said Huawei’s Ascend chip, the main rival to Nvidia’s products in China, “still lags behind the US by one generation”. He added that the “US has exaggerated Huawei’s capabilities — we’re not that strong yet”.
However, the firm is finding ways to improve performance. Ren hinted the company could “compensate” for poorer performance through cluster computing, which involves linking multiple chips to boost AI server power.
“Using clustering and stacking, our computing results are comparable to the world’s best,” he said.
The public comments are the first from Ren or Huawei about the firm's advanced chip manufacturing efforts. Despite external blockades and suppression, Ren said that he never dwell on difficulties, just take action and move forward step by step.
China has opportunities in low- and mid-range chips, with dozens or even hundreds of chip companies working hard, Ren said, adding that China will have hundreds or thousands of operating systems in the future, supporting progress in Chinese industry, agriculture, healthcare, and more.
Ren also shared his thoughts on China’s basic research, saying that the country must attach importance to theoretical research, especially basic theoretical research, as purchasing foreign products is expensive because the price includes their investment in basic research.
“Basic research takes more than five to 10 years; it generally requires 10 years, 20 years, or even longer. If we do not engage in basic research, it is akin to having no roots,” Ren was quoted as saying in the interview.
Ren revealed that Huawei invests 180 billion yuan in research annually and sees promise in compound chips - or chips made from multiple elements.
When asked about his view on openness and development, Ren said, “The more open the country becomes, the more it will drive our progress. Under the leadership of the Party, with unified administration and clear policies, it is possible to gradually form a unified national market. This will surely break through all blockades and achieve great rejuvenation.”
GBA express
Hong Kong is gearing up to warmly welcome the 2,300 athletes and over 100,000 spectators expected to attend two major national sporting events taking place in the city late this year. Government officials on Monday outlined various preparations aimed at enhancing reception, publicity and infrastructure for the games. The Hong Kong SAR will team up with the Macao SAR and Guangdong province to host the 15th National Games in November. Hong Kong will also consider joint promotional campaigns for the 15th National Games and the Legislative Council elections to maximize public engagement and economic benefits.
Hong Kong will organize more than 100 events, with businesses and government entities providing discounts covering public transportation, leisure facilities, dining and shopping, to mark the 28th anniversary of the city’s return to the motherland on July 1, said Chief Executive John Lee Ka-chiu on Tuesday. Lee noted the increased number of businesses joining the celebrations, with more than 1,000 dining establishments offering discounts. He also announced that this year’s Policy Address will be delivered earlier than usual in September, compared with the normal mid-to-late October period in the past three years.
Industry and company news
China's retail sales of new energy passenger vehicles jumped 28 percent to 1.02 million units last month from a year earlier, the China Passenger Car Association said yesterday. The figure rose 34 percent to 4.35 million units in the first five months. NEV exports reached 200,000 units in May, surging 80.9 percent year-on-year and accounting for 44.5 percent of all cars exported. For the January-May period, the increase was 37.1 percent as the total number of exports reached 789,000 units.
The 110,000th China-Europe freight train departed today from Qingdao in China's eastern Shandong province and will arrive in Europe in 17 days, Xinhua reported. The China-Europe freight train service has so far reached 229 cities in 26 European countries and over 100 cities in 11 Asian countries.
China Eastern Airlines will open a new direct route between China's Xi'an and Istanbul on June 24, becoming the airline's second direct flight to Türkiye, CCTV News reported.
GAC aims to enter the Argentine market by the second half of this year and open showrooms in major cities in South America over the next three years, the Chinese auto giant said today. GAC is also accelerating its plans to expand in Chile and Bolivia.
Didi Global today released Xiaodi, the Chinese ride-hailing service provider's first AI agent designed to streamline business travel. The milestone also makes Xiaodi China's first AI agent with a closed-loop experience for hotel and flight reservations, media reports.
TikTok plans to add 500 new jobs in the UK this year to bring its local staff to a total of 3,000 employees, the short-video platform announced yesterday. Moreover, TikTok will invest around GBP140 million in UK infrastructure, including a new office in London, expected to open next year.
Apple unveiled new AppleIntelligence features, such as Live Translation, Image Playground, Genmoji, and Visual Intelligence, at the WWDC2025. Also, Apple CEO Tim Cook said the firm will launch its first original film in cinemas, F1TheMovie, on June 27, starring Brad Pitt and co-produced by seven-time F1 champion Lewis Hamilton.
Ping An Bank has been offering clients who deposit a certain amount of money Pop Mart’s most popular collectible plush toy, Labubu, as Chinese lenders’ practice of gifting physical items to attract depositors has hit new highs. Clients depositing over 50,000 yuan for a term of no less than three months can receive a Labubu 3.0 blind box or a gift package, according to Ping An Bank’s customer service. Prices for the mischievous-looking vinyl figure have soared to around 35,000 yuan on some e-commerce platforms, three times the original price, media reports.
Asia-Pacific highlights
ASEAN continued to be Guangdong's largest trading partner, serving as a key driver for the province's foreign trade growth, according to the China Council for the Promotion of International Trade Guangdong Committee on Tuesday. In 2024, Guangdong's total import-export volume with the 10-member bloc reached 1.45 trillion yuan, up 8 percent year on year. From January to April this year, Guangdong's trade volume with ASEAN amounted to 488.57 billion yuan, growing by 7.5 percent compared with the same period last year.
China Southern Airlines and Vietnam Airlines will launch a joint venture on August 1, 2025, marking the first partnership of its kind between carriers from China and Vietnam. Approved by both governments, the agreement aims to streamline air travel and expand route networks between the two countries.
Pov Somnang, Special Advisor to Secretary-General of ASEAN and President of ASEAN Economic and Trade Promotion Association, said at an event on Tuesday that deepening economic and trade ties and promoting supply chain collaboration between ASEAN and China, especially Guangdong, is both timely and a strategic opportunity against the backdrop of complex and volatile global economic conditions. Speaking at the 2025 China (Guangdong)-ASEAN Trade Promotion and Supply Chain Cooperation Mechanism Development Coordination and Exchange Conference, Pov Somnang said Guangdong enterprises have achieved fruitful results in ASEAN through investment in factory setups, cooperative park construction, green energy, and the digital economy. Meanwhile, more ASEAN companies view Guangdong as the primary gateway to the Chinese market. He added that facing global supply chain restructuring, ASEAN and Guangdong are fully capable and responsible for leading regional supply chain cooperation, which should encompass multi-dimensional coordination in industries, technology, rules, standards, and talent.
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Hi everyone. I’m Stephanie LI.
Coming up on today’s program
Asian stocks gained on Monday as investors pin hope on China-US trade talks in London;
China’s foreign trade increased 2.5% in Jan-May.
Here’s what you need to know about China in the past 24 hours
Stock markets across Asia climbed Monday, helped by the renewed China-US trade talks in London.
China's A-share market opened on a positive note, with the benchmark Shanghai Composite Index once reclaiming the 3,400-point mark in the morning session. Hong Kong’s benchmark Hang Seng Index also surpassed the 24,000 points in early tradings, hitting a new high in over two months.
The Shanghai Composite closed 0.4 percent higher today, while the Shenzhen Component gained 0.65 percent. The ChiNext Index surged by 1.1 percent. The Hang Seng Index ended up 1.6 percent and the Tech Index rallied 2.8 percent.
The trading volume of the Shanghai and Shenzhen stock markets exceeded 1.29 trillion yuan, an increase of more than 134 billion yuan compared to the previous trading day.
Sectors such as pharmaceuticals, rare-earth magnets, securities, defense, and solid-state batteries led the market gains, with nearly 4,100 listed companies rising across the Shanghai, Shenzhen, and Beijing stock exchanges.
As for the other Asian markets, Japan’s benchmark Nikkei 225 advanced 1.1 percent, while the broader Topix index rose 0.6 percent. In South Korea, the Kospi index climbed 1.9 percent.
Chinese foreign ministry spokesperson announced on Saturday that Chinese Vice-Premier He Lifeng would visit the UK from yesterday to June 13 at the invitation of the local government, Xinhua reported yesterday. A diplomatic schedule published by the foreign ministry showed that the Chinese side will hold the first meeting of the economic and trade consultation mechanism with the US side in London.
China's foreign trade has maintained resilience and stable growth since the beginning of this year despite challenges from external environment, official data showed on Monday. Total goods imports and exports in yuan-denominated terms expanded 2.5 percent year-on-year to 17.94 trillion yuan in first five months this year, according to the General Administration of Customs (GAC). Between January and May, the country's total exports rose 7.2 percent year-on-year to 10.67 trillion yuan, while imports slid 3.8 percent year-on-year to 7.27 trillion yuan. Meanwhile, the GAC said over 73,000 foreign-invested firms in China were involved in export and import activities in the first five months, with their combined trade volume rising 2.3 percent to 5.21 trillion yuan, accounting for 29 percent of the country's total.
China's consumer price index (CPI), a main gauge of inflation, edged down in May, data from the National Bureau of Statistics (NBS) showed on Monday. The CPI dropped by 0.1 percent year-on-year last month, matching the decline rate seen in April. NBS attributed the year-on-year CPI decrease primarily to a 6.1-percent drop in energy prices. The NBS data also showed the country’s producer price index (PPI), which measures costs for goods at the factory gate, fell by 3.3 percent year-on-year in May, with the decline widening by 0.6 percentage points from April.
GBA express
The number of visitors to Hong Kong has continued to increase, as the city attracted about 20 million tourist trips in the first five months of this year, of which Chinese mainland tourists accounted for about three-quarters, with about 10-percent growth year-on-year. Hong Kong Financial Secretary Paul Chan Mo-po wrote in an official post on Sunday that the growth to a series of activities with different themes that were held in Hong Kong since the beginning of this year has brought a continuous increase in the number of tourists visiting Hong Kong. It is estimated that the events held in Hong Kong in the first half of this year will attract about 840,000 tourists to participate, and bring HKD3.3 billion in consumption and HKD1.8 billion in economic added value.
The People's Bank of China and the Hong Kong Monetary Authority are promoting the interconnectivity between the quick payment systems of the Chinese mainland and Hong Kong, with some services likely to be launched mid this year, media reported yesterday. The pair signed an MOU on cross-border payment interconnectivity last August.
Macao launched a PopMart tourism event to attract global fans, bringing the Chinese toy maker’s most popular character lines, including Baby Molly, Crybaby Dimoo, and Labubu, to four iconic locations across the SAR, from June 6 to September 21. A seven-meter-high Labubu was unveiled.
The two-day International Science, Technology and Innovation Forum of the Boao Forum for Asia 2025 Hong Kong Conference ended June 7, attracting over 800 government officials, representatives from international organizations, entrepreneurs, and experts from over 20 countries and regions to focus on global tech innovations and sci-tech governance.
Industry and company news
Pop Mart's founder and Chairman Wang Ning had a net worth of USD20.3 billion yesterday, surpassing Muyuan Foods' founder Qin Yinglin to become the richest person in China's Henan province, according to the Forbes Real Time Billionaires List. Wang's wealth growth was fueled by Labubu's global craze.
Boeing resumed aircraft deliveries to China as a Boeing 737 MAX took off from Seattle, the US, headed to China on Saturday. This aircraft was made at Boeing's Zhoushan factory in China but was sent back to the US in April.
Alibaba’s open-source AI model Qwen3 has garnered 12.5 million downloads globally in just one month, media reported today. On major LLM platforms, such as Hugging Face, ModelScope, and Ollama, each version of Qwen3 has surpassed one million downloads.
Shares of China Rare Earth Holdings closed up 60 percent in Hong Kong today after China approved some export license applications for rare earth-related items amid rising global demand for medium and heavy rare earth elements, fueled by the robotics, NEV, and other industries.
China has added 19 bases to its cold-chain logistics network, bringing the total to 105 distribution centers for ultra-low temperature delivery, which are now under construction, CCTV News reported.
China's forex reserves stood at USD3.2853 trillion at the end of May, up from USD3.2817 trillion a month earlier, data from the State Administration of Foreign Exchange showed. Gold reserves topped 73.83 million ounces.
Starbucks will launch a new summer promotion for its three major non-coffee beverage categories -- Frappuccino, Shaken Iced Tea, and Tea Latte -- in the Chinese market from tomorrow. The average price cut for a grande-sized drink will be around 5 yuan.
Asia-Pacific highlights
Thailand's durian exports to China have enjoyed stable growth thanks to the China-Laos Railway. So far this year, China's import volume of Thai durian and other tropical fruits through the Mohan border checkpoint in Southwest China's Yunnan Province has increased by 25 percent from the same period last year, according to China State Railway Group on Sunday.
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Hello! Welcome to this edition of CBN Perspective. I’m Stephanie Li.
I still remember the first time I tasted coffee from southwest China’s Yunnan province. It was a crisp, sunny morning in Dali, a historic city with stunning natural scenery and colorful Bai ethnic culture.
At a random coffee stand, I bought a simple Americano with local blend. As I took my first sip, I paused. There was something different, something special about this coffee. It had a delicate sweetness, a hint of florals, and a depth I hadn’t quite experienced before. That was the moment I knew: Yunnan coffee wasn’t just good, it was world-class.
But there’s a problem. When you think of the world’s biggest coffee-growing regions, Yunnan might not immediately spring to mind.
As more and more people in Chinese cities are starting their day with a freshly brewed cup, it is their compatriots on the other end of the country who are growing, washing, and drying the beans needed to make China’s coffee boom possible.
In the undulating highlands of southwest China, Yunnan’s distinctive natural environment, characterized by low latitudes, high altitudes, large day-night temperature fluctuations, and fertile, slightly acidic soils, creates conditions reminiscent of the world’s renowned coffee-growing regions. These attributes have allowed small-grain coffee to flourish, earning the province a growing reputation among coffee connoisseurs.
Little did one know, the history of coffee cultivation in Yunnan actually dates back 130 years. Now its coffee-growing regions span six prefectures and cities, including Pu'er, Baoshan, Lincang, Dehong, Xishuangbanna, and Nujiang. By 2024, the province's coffee plantations covered 1.27 million mu, yielding an annual output of 146,000 tons - both accounting for over 98 percent of China's total coffee cultivation area and production.
For decades, however, Yunnan’s coffee was primarily sold as low-cost raw material to international brands.
The turning point came with the harsh reality of shrinking profit margins. Prices for the most basic type of coffee have dropped so steeply in recent years that many Yunnan farmers have found it isn’t worth the effort. Since peaking in 2014, the total area of farmland devoted to coffee cultivation in the province has shrunk considerably.
Forced to find a way to make a profit, some farmers in the province have instead turned to growing beans for specialty coffees, which have more flavor — and higher prices. They have done so with remarkable success.
Yunnan’s revival hinges on three pillars: quality, policy, and innovation. Now the province has designated 1.05 million mu of land as optimal growing zones for specialty coffee, promoting the cultivation of premium varieties such as Geisha and Typica.
New products, such as freeze-dried powder and cold brew concentrates, are gaining popularity, particularly in Vietnam’s ready-to-drink market, where consumers applaud the coffee’s smooth, richly nuanced flavor accented by a hint of fruity acidity.
Advances in processing technology have further bolstered Yunnan’s coffee industry. The specialty coffee ratio in Yunnan has risen from 8% in 2021 to 31.6% by 2024, while the deep-processing rate for coffee beans has surged from 20% in 2021 to 80% in 2024.
Crucially, strong policy support has also driven up Yunnan coffee's sustained growth. For instance, Baoshan has launched a project called the “Thousand, Hundred and Ten thousand Project,” aiming to create 100 coffee estates, connecting 1,000 coffee shops on one end and 10,000 coffee farmers on the other. The local government believes this approach will nurture a strong and sustainable industry chain.
Yunnan is also ramping up efforts to train coffee professionals across the entire industrial chain. In 2024, Yunnan Agricultural University launched China's first undergraduate program in coffee science and engineering.
With the joint efforts of the government, growers and entrepreneurs, Yunnan's coffee industry is on a fast track to high-quality development, putting China's coffee on the map among international players.
For years, coffee lovers have looked to Latin America and Africa for the best beans. And Yunnan coffee remained a well-kept secret, enjoyed mainly by locals and specialty coffee enthusiasts.
Now Yunnan coffee has started appearing in cafes from New York to London, often featured in single-origin espresso shots or delicate pour-overs.
A report by the International Coffee Organization believes that China has the potential to have a bright and formative future in coffee, noting its firm integration into the global coffee value chain and its own unique place within the global coffee industry.
Data from Kunming Customs show that in 2024, Yunnan exported 32,500 tons of coffee – a remarkable year-on-year increase of 358 percent. The coffee was shipped to 29 countries and regions — including the Netherlands, the United States, and Vietnam.
The province’s expanding global presence is further bolstered by efficient logistics, such as the China-Europe freight train service, which ensures European consumers receive their coffee orders in as little as 15 days.
Pu’er, often dubbed “China’s coffee capital,” plays a pivotal role in the supply chain, providing raw beans for industry giants such as Nestle, Starbucks, and Luckin Coffee.
According to Starbucks’ website, since establishing a farmer support center in Yunnan in 2012, the company has worked closely with local growers to refine cultivation techniques and improve bean quality, expanding the reach of Yunnan coffee internationally. In addition to meeting Chinese domestic demand, the premium beans are exported to markets across Asia, Europe, and the U.S., with Starbucks even offering a Yunnan single-origin coffee in its Chinese product lineup.
The online marketplace has taken notice as well. Some have begun sourcing Yunnan beans for their specialty blends, recognizing the region’s potential to stand alongside the greats.
On Amazon, Yunnan coffee varieties are selling briskly, with many customers commending the beans’ exceptional quality and distinct character. It’s no longer just a hidden gem, but a rising star in global coffee market.
From humble beginnings with commercial beans to a thriving specialty coffee scene, Yunnan's coffee industry is brewing success after decades of exploration.
Back in Dali, that first cup of Yunnan coffee now feels like a prologue. What was once a local secret is emerging as a global narrative—one of resilience, innovation, and terroir.
From the hands of Bai farmers meticulously handpicking cherries to the precision of roasters in Kunming, every step reflects a commitment to quality that’s rewriting China’s role in the coffee world. With China's coffee culture thriving, the best is yet to come.
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Hi everyone. I’m Stephanie LI.
Coming up on today’s program
Legislation on stablecoins is a milestone for Hong Kong, paving way for RMB’s cross-border use;
China's finance ministry issues 12.5 billion yuan of treasury bonds in Hong Kong.
Here’s what you need to know about China in the past 24 hours
Hong Kong's introduction of the world's first dedicated legislation on fiat-referenced stablecoins — a type of cryptocurrency — marks a significant milestone in the city's push to solidify its status as a global financial hub that pioneers in virtual asset regulation, financial experts said.
The move also reflects China's broader strategic ambition to strengthen its financial heft in the digital age, the experts said. They added that the legislation may open up new possibilities for cross-border use of the digital yuan, or e-CNY, while providing a reference for any potential adoption of stablecoins in other parts of the country.
A stablecoin is a digital currency that is built on blockchain technology and pegged to fiat currencies or other assets at a designated exchange rate to maintain a stable value. Fiat-referenced stablecoins are backed by fiat currencies, which are government-issued money not backed by a physical asset such as gold.
In late May, the Legislative Council of the Hong Kong SAR passed the Stablecoins Bill, establishing a licensing regime for fiat-referenced stablecoins issuers. The bill became law on May 30 when it was gazetted as the Stablecoins Ordinance.
While the commencement date of the ordinance is currently unknown, the Hong Kong Monetary Authority said it expects the ordinance to take effect this year.
"Hong Kong's Stablecoins Ordinance marks the world's first official legislation targeting stablecoins, setting a policy benchmark globally," said Song Ke, executive vice-president of Renmin University of China's Shenzhen Research Institute.
The legislation opens new possibilities for the cross-border use of the e-CNY, representing a positive factory for the internationalization of the Chinese currency. Such synergy may allow China to explore innovations for cross-border payments, improve efficiency and reduce reliance on SWIFT, the world's leading system of secure financial messaging services, Song added.
Stablecoins have drawn regulatory attention globally. On May 19, the United States Senate advanced its own bill to regulate stablecoins, called the GENIUS Act.
Circle Internet, the issuer of regulated stablecoin USDC, may raise USD1.1 billion through an IPO on the NYSE, bringing its market value to USD6.8 billion.
Yuan Shuai, deputy secretary-general of Z-Park Internet of Things Industry Alliance, said Hong Kong's Stablecoins Ordinance has significant importance for the global financial hub amid intensifying global competition over stablecoin leadership.
"Hong Kong's more open regulatory environment for the crypto industry will present opportunities for the subsidiaries of mainland banks to gain experience in the market," Moody's Investors Service said in its research report.
GBA express
China's Ministry of Finance issued this year's third batch of yuan-denominated treasury bonds worth 12.5 billion yuan in Hong Kong yesterday, including 3.5 billion yuan of two-year bonds and 3 billion yuan of each of three-year, five-year, and 10-year bonds.
Hong Kong announced the pricing of approximately HKD27 billion worth of green bonds and infrastructure bonds denominated in Hong Kong dollars, renminbi, US dollars and euro. According to the government, the offering attracted participation from over 30 markets across Asia, Europe, the Middle East and the Americas, with the total order amounting around HKD237 billion.
Southeast Asian business veterans participating in an opportunity-discovery tour of the Greater Bay Area said on Wednesday they hope to harness the region’s development opportunities and institutional advantages as a springboard into the broader Chinese market. They were part of a delegation of more than 70 consular officials and business chamber heads from Hong Kong, with Shenzhen being their first stop. On the second day, the delegation traveled to Guangzhou, with an itinerary that included stops at smart agriculture company XAG and EV manufacturer XPeng. The group also toured Guangzhou International Financial City. The day concluded with a policy promotion session hosted by the Guangzhou municipal government, offering further insights into the city’s development strategies.
Cathay Pacific announced that it has partnered with Sinopec to refuel select departures from Hong Kong International Airport using sustainable aviation fuel blended by the Chinese state-owned energy giant.
Shanghai-based Jinjiang International Hotels, which is listed on the city's stock exchange, announced on Wednesday it is seeking a secondary listing in Hong Kong. Funds raised through the IPO will be used to repay loans, strengthen overseas expansion and replenish working capital. The group plans to open more hotels in Asia, including Malaysia.
Industry and company news
Shares in Changan Automobile advanced today after the Chinese vehicle manufacturer said that it will be spun off from its parent company China South Industries Group to become a standalone central state-owned enterprise, putting an end to long-standing rumors of a potential merger with Dongfeng Motor. Changan’s auto business will be calved off into an independent central enterprise, the firm said today, citing a notice that China South Industries received from the State-owned Assets Supervision and Administration Commission, which has received approval from the State Council.
XPeng Motors announced it partnered with Huawei to equip the Chinese tech giant’s cutting-edge augmented reality heads-up display on its upcoming G7 electric SUV. The new AR HUD technology will be unveiled at a launch event today.
China Southern Airlines flight CZ3383, carrying 139 passengers, became the first commercial flight on the China-made C919 to fly to a regional airport after landing at Nanyang Airport in Henan province from Guangzhou yesterday.
Chinese wind power giant Sany Renewable Energy has signed a clean energy supply agreement in Serbia to construct a wind power plant in the eastern European country. The wind farm will be located in the northeastern city of Alibunar and generate 480 million kilowatt-hours a year, Sany said yesterday.
May deliveries of China-made Tesla Model 3 and Model Y electric cars, both domestically and for export, fell 15 percent from a year earlier to 61,662 vehicles, following a 6 percent drop in April, according to the China Passenger Car Association on Wednesday.
Zhejiang has become the first province in China to issue special government bonds for the purpose of buying unsold homes and converting them into affordable housing. The province sold three bonds worth nearly 1.7 billion yuan, according to an official announcement.
China's finance ministry unveiled a list of 20 Chinese cities, including Beijing, Tianjin, Dalian, Harbin, Suzhou, Guangzhou, and Urumqi, eligible for central budget support for urban renewal actions. The subsidies are limited to 800 million yuan for eastern cities, 1 billion yuan for the central cities, and 1.2 billion yuan for the western cities and municipalities.
Asia-Pacific highlights
Chinese carmakers took center stage at an exhibition on Wednesday during the Road Safety Week events organized by the United Nations Economic and Social Commission for Asia and the Pacific (UNESCAP) in Bangkok. Several leading Chinese carmakers in Thailand -- Changan Automobile, GAC Group, BYD, and Great Wall Motor -- joined global peers like Mercedes-Benz and Land Rover to showcase advanced driver-assistance systems, including features such as adaptive cruise control and automatic parking.
China announced an "ASEAN visa" for business executives from the 10 ASEAN members and ASEAN observer Timor-Leste. Chinese Foreign Ministry spokesman Lin Jian told a news conference on Tuesday that the new program offers five-year multiple-entry visas to eligible applicants visiting China for business. It allows them, their spouses and their children a maximum stay of 180 days. Lin said this will further facilitate cross-border travel in the region following the visa-free arrangements between China and Singapore, Thailand and Malaysia, plus China's "Lancang-Mekong visas" program for Mekong River nations.
Executive Editor: Sonia YU
Editor: LI Yanxia
Host: Stephanie LI
Writer: Stephanie LI
Sound Editor: Stephanie LI
Graphic Designer: ZHENG Wenjing, LIAO Yuanni
Produced by 21st Century Business Herald Dept. of Overseas News.
Presented by SFC
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Hi everyone. I’m Stephanie LI.
Coming up on today’s program
Chinese stocks continued to gain on Wednesday, enchanting global investors on more supportive moves;
High-profile Hong Kong delegation tours GBA for growth opportunities.
Here’s what you need to know about China in the past 24 hours
China's A-share market has remained steadfast despite headwinds in major Asian markets at the start of the month, and is likely to provide more structural opportunities as the nation rolls out more supportive measures and its economic fundamentals stabilize further, experts said.
The benchmark Shanghai Composite Index continued to gain 0.42 percent today, while the Shenzhen Component Index jumped 0.87 percent, with the ChiNext board rallying 1.1 percent. Combined trading value at the Shanghai and Shenzhen exchanges exceeded 1.15 trillion yuan, with over 3,900 stocks in the rise.
Boosted by the Dragon Boat Festival consumption boom, shares related to consumption gained the most. Moreover, jewelry and accessories companies reported the biggest daily increase of 5.21 percent on average on Tuesday, partly due to the return of benchmark COMEX gold futures to above the $3,400 per ounce level.
"Recently, the rollout of a package of fresh policy measures in early May further stabilized expectations and markets. Stepped-up policies and stable economic growth will bring more opportunities to China's capital market in 2025," said Yang Delong, chief economist at Shenzhen-based First Seafront Fund.
Yang said that the overall valuation of the A-share market is less than one-third of the US stock market, which means great investment opportunities. "With the emergence of sci-tech innovative fields represented by artificial intelligence and humanoid robots, China's capital market is expected to attract inflow of more overseas capital," he said.
As the IPO market in China is starting to recover, three main stock exchanges accepted more applications in May than they did in the first four months combined.
The Shanghai Stock Exchange, Shenzhen Stock Exchange and Beijing Stock Exchange accepted 16 IPO applications last month, compared with 11 from January to April, according to Wind Information data. In all, 27 companies had their filings accepted in the first five months, a big jump from just two in the same period last year.
The improved quality of IPO applicants means we can expect more vibrant investment and fundraising activities from companies listed on the Beijing bourse going forward, analysts noted.
GBA express
A high-profile delegation of consular officials and business leaders from Hong Kong are on a tour of the Greater Bay Area on Tuesday, aiming to explore the region’s rapid development. With the theme “Revisiting the Greater Bay Area to Embrace New Opportunities”, the four-day trip will take the delegation through Shenzhen, Guangzhou, and Zhuhai, with stops at key development platforms such as Qianhai, Nansha, and Hengqin. Participants will also visit leading firms such as Tencent and Medprin Biotech, and attend policy briefings by Guangdong officials.
Guangdong has launched a 10 billion yuan intelligent industry fund in its capital city, Guangzhou, aimed at accelerating the development of AI, robotics, and semiconductor technologies. The fund's initial phase will raise two billion yuan.
Douyin's monthly active users in Hong Kong exceeded 3 million, up 147 percent from the end of 2022 and over 60 percent from a year earlier, according to the Chinese short video platform. Its parent firm ByteDance is also accelerating its AI deployment in the city, with its cloud computing provider BytePlus launching a data center there last October.
Industry and company news
China has launched a campaign to promote new energy vehicles in rural areas where the NEV penetration is low but consumption potential is high, according to a circular released by the MIIT and four other authorities. 124 NEV models from BYD, Geely Auto, GAC Aion, Xpeng Motors, Tesla, and other carmakers are included in the campaign.
French President Emmanuel Macron and Envision CEO Zhang Lei attended the opening of its subsidiary AESC’s lithium-ion battery gigafactory in the northern French city of Douai yesterday. The plant can provide batteries for 200,000 EVs a year, Envision said today.
Nio said it plans to expand into Austria, Belgium, Czech Republic, Hungary, Luxembourg, Poland, and Romania in 2025 and 2026 as the next step in its European growth journey. The Chinese NEV startup will bring cars under both the Nio and Firefly brands to these new markets. Meanwhile, Nio is still expected to achieve its profitability target in the fourth quarter, its chief executive officer said after its net loss expanded by more than 30 percent in the first quarter. Revenue rose 21 percent to 12 billion yuan.
Tencent is ramping up efforts to recruit young talent through its largest-ever campus hiring project, aiming to offer 28,000 internship positions over the next three years. More than 60 percent of the new positions in its campus hiring are technical roles. The company has also launched a recruitment program named Qingyun, targeting elite students for AI research and leadership development through mentorship from senior executives and participation in cutting-edge projects.
Asia-Pacific highlights
Chinese cookware maker Aishida plans to invest no more than 150 million yuan to build a cookware, small appliances, and industrial robots production base in Vietnam. Aishida's unit Aishida Hong Kong will invest in the plant located in Dong Nai province, which will help expand its business in Vietnam and Southeast Asia, it said yesterday.
Air China and Emirates have signed an MOU to expand their reciprocal interline cooperation. The two carriers will explore reciprocal codeshare arrangements and collaborate on cargo operations and their frequent flyer loyalty programs.
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Hi everyone. I’m Stephanie LI.
Coming up on today’s program
China saw 3% increase in cross-regional trips during Dragon Boat Festival, with folklore tours spurring consumption;
BYD retains electric car crown in May.
Here’s what you need to know about China in the past 24 hours
China saw a robust growth in travel and tourism-related consumption during the just-concluded Dragon Boat Festival holiday, as the country's cultural appeal and spending momentum continued to draw crowds across major cities and provinces, official data released on Tuesday revealed.
According to China's Ministry of Transport, an estimated 657 million inter-provincial trips were recorded during the three-day holiday, averaging 219 million trips per day, up 3 percent year-on-year.
Railways played a central role, which handled 47.1 million passenger trips during the holiday, marking a 2.3 percent increase year-on-year.
During the holiday, robust consumption growth in the culture and tourism market was highlighted by a surge in domestic folklore tourism bookings to short-distance destinations, amusement parks and other cultural attractions.
From traditional dragon boat races and zongzi-making (sticky rice dumplings) workshops to immersive cultural experiences, these folklore events are empowering consumption scenarios with cultural elements.
Data from online travel agency Qunar showed a spike of 2.5 times month-on-month in searches for "dragon boat," "Dragon Boat Festival" and "zongzi" as of Monday. The report showed significant 40 percent year-on-year growth for folk experience destinations.
Bookings for cities with dragon boat traditions also saw significant surges. In Foshan, South China's Guangdong Province, total travel orders rose 167 percent, while in Miluo, Central China's Hunan Province, considered by many to be the birthplace of dragon boat culture, bookings jumped 85 percent, according to Trip.com. Strong demand for short-distance travel during the festival led to bookings increasing 23 percent year-on-year.
Data from another travel agency Tongcheng Travel showed that in the first two days of the Dragon Boat Festival holiday, search for keywords related to "Dragon Boat Festival" and "intangible cultural heritage" nearly doubled year-on-year.
Meanwhile, during the three-day holiday, the number of visits to travel tips related to domestic intangible cultural heritage markets increased by more than 300 percent year-on-year, per Tongcheng Travel.
Experts attributed the boom to the heightened spending vigor spurred by the economic revival and government push for high-quality services consumption, highlighting the shift toward a more sophisticated consumption structure and diverse consumer needs, driven by overall industry upgrades.
Global GDP growth is projected to slow from 3.3 percent in 2024 to 2.9 percent this year and the next year, the Organization for Economic Cooperation and Development (OECD) said on Tuesday.
China on Sunday began implementing a trial policy that unilaterally grants visa-free entry to citizens of Brazil, Argentina, Chile, Peru and Uruguay. Under the policy, which will remain in effect through May 31, 2026, holders of ordinary passports from these five countries can enter China without a visa for up to 30 days.
GBA express
The Guangdong-Hong Kong-Macao Greater Bay Area International Auto Show is expected to welcome a record number of visitors this year, according to the event's organizer. In the first three days, which coincided with the Dragon Boat Festival holiday, the GBA Auto Show attracted 450,000 visitors, an increase of 28 percent from a year earlier, according to data disclosed by the Shenzhen United Auto Show Management. The GBA Auto Show is held at the Shenzhen World Exhibition and Convention Center from May 31 to June 8, with over 110 car brands and 1,039 car models showcasing in the event. Some 4 billion yuan worth of transactions were completed at the GBA Auto Show between May 31 and yesterday, up 8 percent from a year earlier.
Hong Kong logged an increase in tourist arrivals from the Chinese mainland during the first two days of the Dragon Boat Festival break, official data show. On Saturday and Sunday, the number of inbound passenger trips through all checkpoints exceeded 1.17 million. Among them, over 270,000 were made by mainland visitors, a surge of more than 7 percent compared to the same period last year.
Industry and company news
Multiple Chinese carmakers reported year-on-year growth in their monthly sales in May. BYD’s sales reached 382,476 units, a year-on-year increase of 15.27 percent. Chery's car sales hit 205,732 in May, with NEV sales standing at 63,169, a surge of 47.7 percent year-on-year. Geely Auto’s Zeekr led Chinese NEV startups with 46,538 car deliveries last month, followed by Leapmotor, Li Auto, and Xpeng Motors. Xpeng deliveries surged 230 percent to 33,525 units from a year earlier. Xiaomi Auto’s deliveries exceeded 28,000 units in May.
Huawei will release its new flagship Pura 80 series at a launch event on June 11, according to a teaser poster. The new phones will feature powerful camera capabilities and the tech giant's Harmony OS 5 operating system. Meanwhile, Vivo will release its next-gen foldable phone, the X Fold5, late this month, which will be lighter than the previous X Fold3, according to sources.
Etihad Cargo, the cargo and logistics arm of the United Arab Emirates' Etihad Airways signed a strategic cooperation agreement with Ezhou Huahu Airport in Central China's Hubei Province on Monday. The partnership will focus on increasing flight frequencies, opening new routes and building joint solutions for cross-border e-commerce, cold chain logistics and high-value manufacturing.
China's consumer goods trade-in program has generated 1.1 trillion yuan in sales in the first five months this year, the Ministry of Commerce said on Sunday. As of Saturday, nationwide trade-ins had fueled a surge in transactions, including 4.12 million vehicles, 77.62 million units of household appliances and 56.63 million units of digital products.
China's box office earnings reached 459 million yuan during the three-day Dragon Boat Festival break as of 9 p.m. yesterday, according to movie data platform Beacon. “Mission: Impossible - The Final Reckoning” topped the chart with about 190 million yuan.
Asia-Pacific highlights
China and Bangladesh on Sunday signed a memorandum of understanding on strengthening economic cooperation in industrial chain and supply chain between the Ministry of Commerce of China and the Ministry of Finance of Bangladesh.
Stock markets in Asia slipped on Monday amid investors' concerns over Washington's hike in steel and aluminum tariffs to 50 percent. In South Korea, steelmaker POSCO Holdings saw its shares sink 2.4 percent, while Hyundai Steel fell 2.66 percent.Vietnamese steelmakers Hoa Sen Group and Nam Kim Steel tumbled 2.8 percent and 3.4 percent, respectively. Japan's benchmark Nikkei 225 ended down 1.3 percent and the Topix index dropped 0.87 percent.
The total net profit of airlines from Asia Pacific, of which China accounts for 40 percent of the total traffic, is expected to expand 23 percent to USD4.9 billion this year, according to data from the IATA. Global airlines’ net profit will likely grow 11 percent to USD36 billion, and their revenue may reach a record USD979 billion in the period.
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Hello! Welcome to this edition of CBN Perspective. I’m Stephanie Li.
China’s new energy battery bigwig Contemporary Amperex Technology Limited (CATL) has made headlines again – this time for its USD4.6 billion debut on the Hong Kong stock exchange, the world’s largest initial public offering this year.
CATL’s shares surged as much as 18% on its debut, a signal of both investor confidence and the company’s carefully orchestrated industrial dominance. CATL commands 38% of the global electric vehicle battery market, comfortably ahead of rivals BYD and LG Energy Solution. That kind of dominance doesn’t happen by accident. CATL has cultivated long-term relationships with industry titans such as Tesla, BMW and Volkswagen.
But CATL is perceived by the market as a company that is not short on funds. According to the latest financial report, as of the end of the third quarter of 2024, CATL held 264.7 billion yuan in cash on its balance sheet. Its HKD35.3-billion IPO is only a tiny fraction of its HKD1.4 trillion market cap. So why Hong Kong for a secondary listing?
Founded in 2011, CATL was listed on Shenzhen Stock Exchange’s ChiNext market in 2018. Last year, the group’s net profit reached 50.75 billion yuan — a year-on-year increase of 15% — with dividends exceeding a whopping 25 billion yuan, not much less than the amount raised from the Hong Kong IPO.
In reality, CATL’s listing in Hong Kong is more about serving its overseas expansion strategy. At its previous roadshows, the company repeatedly mentioned that the purpose of the IPO fundraising is to actively expand its overseas business, with 90% of the funds intended for the construction of its Hungarian plant. The new factory is expected to become the largest EV battery factory in Europe upon completion.
In its annual report released in March this year, CATL also stated that the company is at a critical stage of rapid overseas expansion and layout. The Thuringia plant in Germany is currently ramping up production capacity, while the Hungarian plant, the joint venture plant in Spain with Stellantis and the Indonesian battery industry chain project are still under construction or in the planning stages — all of which require significant overseas funding.
This deep integration gives CATL a unique position within the EV ecosystem. Its clients are not merely customers; they are co-investors in CATL’s future. This translates into greater security of demand, faster deployment of new battery chemistries and an expanding global footprint. In an industry where scale and speed are decisive, CATL checks both boxes, and then some.
“CATL is not just a battery component manufacturer; we are a system solution provider and are committed to becoming a zero-carbon technology company,” said Chairman Zeng Yuqun at the listing ceremony.
He stressed that the global zero-carbon transportation market is a trillion-dollar opportunity poised for explosive growth, in light of which CATL is promoting the integration of the transportation and energy grids.
BloombergNEF predicts that annual investment in electric transportation must reach USD3 trillion by 2030. CATL has built the world's most advanced and diversified product portfolio to respond to this revolution.
In terms of power grids resilience, CATL is channelling resources into zero-carbon grid technologies, including power electronics, flexible regulation systems, and virtual power plants.
It also aims for all factories to be carbon-neutral this year and is helping to decarbonize traditional industries such as steel, cement, and chemicals. The International Energy Agency(IEA) predicts that starting in 2030, achieving net-zero emissions will require USD4.5 trillion in annual global investment.
Trekking deeper in its foray to expand worldwide, CATL’s the move is of strategic importance to get it connected with global financial markets.
And CATL is not the only company that chose “A+H” dual listings on both the A-share and Hong Kong markets.
Several A-share companies in the lithium battery and photovoltaic sectors — such as Wuxi Lead Intelligent, CNGR Advanced Material, Shenzhen Senior Technology Material, Zhejiang Narada Power Source and Hainan Drinda New Energy Technology — have all announced plans to list in Hong Kong.
The biggest three IPOs so far this year, besides CATL, included China’s biggest bubble tea chain Mixue Ice Cream & Tea and top biopharma company Jiangsu Hengrui Pharmaceuticals.
This Wednesday, five mainland companies, including Muyuan Foods, BASiC Semiconductor, FS.com, Shanghai Seer and Worldwide Logistics, have filed preliminary listing applications with the HKEX to raise capital, joining the flurry of Chinese start-ups that have pushed the city to the top of the global ranking for IPOs.
In April 2024, Chinese mainland securities regulator rolled out five measures to bolster capital market ties with Hong Kong, including encouraging leading mainland firms to list in Hong Kong. In October 2024, Hong Kong’s Securities and Futures Commission (SFC) and the HKEX announced fast-track approvals for eligible A-share applicants.
“Formidable” clusters of companies are set to tap Hong Kong’s IPO, as IPOs in the city have raised around USD10 billion this year and there were more than 150 companies in the pipeline, including many USD1-billion-plus jumbo deals, HKEX CEO Bonnie Chan Yiting said on Wednesday.
The three clusters were mainland Chinese A-share firms, US-listed Chinese firms and specialist companies, she added.
As a growing number of US-listed China concept stocks are proactively returning to list closer to home to circumvent geopolitical risks and the potential threat of delisting, Hong Kong’s IPO market is poised to further invigorate.
On May 7, China Securities Regulatory Commission Chairman Wu Qing said that they will safeguard the legitimate interests of Chinese companies listed overseas, and create conditions to support the return of high-quality US-listed Chinese firms to the A-share market and the Hong Kong market.
Beyond their financial triumph, mainland firms listing in Hong Kong is a strategic maneuver in a rapidly changing geopolitical and industrial landscape.
They, in fact, signaled a clear intention: to distance itself from mounting US regulatory pressure while deepening financial ties with more receptive markets across Asia, the Middle East and Europe.
With Washington increasing scrutiny over Chinese tech firms, particularly those involved in energy and critical infrastructure, raising capital in New York has become more political than financial.
For them, it’s not just about raising money – it’s about charting a path of financial independence and resilience in a world of fragmented alliances.
Still, embracing big mainland IPOs amid China-US competition presents both opportunities and challenges for the international financial hub.
CATL issued its shares through a “Regulation S” offering, meaning the securities were not offered to investors within the US, thus bypassing the need to register with the US Securities and Exchange Commission. While this helps circumvent US regulatory scrutiny and potential political risks, it also limits the participation of US institutions.
Given that the Hong Kong stock market is already smaller than the US market, market participants worry that if trade tensions between China and the US spill over to affect more stocks, further restricting US investment will inevitably reduce the overall capital supply to the Hong Kong market, leading to an oversupply of shares.
Lawrence Lau, Greater China Financial Accounting Advisory Services Leader at Ernst & Young, as pointing out that insufficient trading activity for some stocks and even a short-term oversupply situation could result from a large-scale influx of newly listed companies to the Hong Kong stock market without a corresponding significant increase in market funds, impacting company valuations and share price performance.
In the long run, the key to whether Hong Kong stocks can continue to attract and accommodate more heavyweights such as “King Ning” and “King Snow” lies in whether it can maintain sufficient capital inflows.
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Hi everyone. I’m Stephanie LI.
Coming up on today’s program
Dragon Boat festivities and zongzi exports surge ahead of traditional holiday;
Bangladeshi mangoes enter China for the first time.
Here’s what you need to know about China in the past 24 hours
As the Dragon Boat Festival approaches, celebrations are in full swing across the globe, with dragon boat races and traditional food gaining popularity beyond Chinese communities.
This year, the demand for festive zongzi—sticky rice dumplings wrapped in bamboo leaves—has seen a significant rise, with exports from Shenzhen alone exceeding 134 metric tons, marking a 110 percent increase compared to last year.
Traditional festivals have long been celebrated by overseas Chinese communities, and this year’s Dragon Boat Festival is no exception.
In Cape Town, South Africa, the local dragon boat association organized races and even a fun tug-of-war competition. The event attracted not only Chinese participants but also many locals eager to experience the lively festivities.
Meanwhile, the export market for zongzi has expanded considerably.
At a Shenzhen-based food factory, workers are busy preparing thousands of the delicacies daily to meet growing international demand.
Huang, a zongzi factory manager, recently gave a video tour to a British client, showcasing the production process. "This is our factory. We produce around 10,000 zongzi per day, all freshly steamed," he told the client.
Each zongzi is meticulously hand-wrapped, with skilled workers making 600 to 700 daily. However, due to surging orders, the factory has had to nearly double its workforce.
With increasing interest from abroad, the factory is eyeing new markets. Deputy manager Feng revealed plans to expand further, develop markets in Singapore, the Netherlands, the U.S., and Vancouver.
Classic Cantonese savory zongzi, such as those filled with salted egg yolk and pork, remain the top export, but innovative flavors like seafood and fruit zongzi are also gaining traction.
Additionally, as this year’s Dragon Boat Festival falls earlier than usual, many export companies began receiving orders as early as late March, contributing to the notable rise in both export volume and reach.
GBA express
The Forum on Building up Cultural Strength and Promoting Digital Intelligence of the Greater Bay Area was held in Shenzhen on Wednesday, which gathered professionals from cultural sectors and experts on diverse disciplines such as Wu Zhiliang, a member of the National Committee of the CPPCC, Haiya, Hugo Award winner for Best Novelette, and renowned actor Zhang Guoli. In their speeches, attendees, drawing on the ongoing digital technology innovations in the GBA, particularly in Shenzhen, explored topics such as how digital technology can support the development of a cultural community in the region. Meanwhile, the Lingnan culture big data center was inaugurated in Guangzhou yesterday. By integrating cultural resources such as intangible cultural heritage, history and folk customs, the center has developed distinctive databases like the Lingnan dialect corpus and the Lingnan cultural gene bank to promote the digital protection and revitalization of cultural heritage. In the GBA, Lingnan culture boasts a rich and profound history, encompassing five UNESCO Representative Intangible Cultural Heritage elements, including Cantonese opera, guqin, paper-cutting and tea art.
Hong Kong is taking another big step to strengthen financial-market linkages with the Middle East with the launch of Asia’s first exchange-traded fund (ETF) tracking Saudi Arabia’s Islamic government bonds, or sukuk. The ETF, called Premia BOCHK Saudi Arabia Government Sukuk ETF, started trading on the Hong Kong stock exchange on Thursday.
Zhuhai has launched a new company as part of an ambitious program to boost its artificial intelligence (AI) and robotics sectors. On Wednesday, the city announced its support for the newly established Zhuhai Technology Industry Group, focusing on AI and robotics. It also unveiled incentives for local businesses, including “computing power vouchers” totaling 500 million yuan. Eligible companies will be reimbursed for half of their computing power expenditures, capped at 10 million yuan.
Industry and company news
NVIDIA CEO Jensen Huang said during a quarterly earnings calls on Wednesday that the US' export control policy on AI chips to China was "clearly wrong," noting that China's AI will move on with or without US chips due to its abundant AI talent. Huang stated that China is one of the world's largest AI markets and a springboard to global success. Nvidia said the restrictions on exports of its H20 chip to China resulted in lost sales of US$2.5 billion in its fiscal first quarter in 2025 and are expected to rise to US$8 billion in the current quarter.
Honor CEO James Li yesterday confirmed that the Chinese phone maker has entered the robotics sector. Li shared behind-the-scenes stories of the company’s robotics team at the Honor 400 series launch, with a video showing a humanoid robot running at a speed of up to 4 meters per second, a new industry benchmark.
Competition in China’s auto market will get fiercer in the next five years, He Xiaopeng, chairman of Chinese NEV startup Xpeng said yesterday. Carmakers should shift their focus to technological breakthroughs and expanding overseas from low-price competition, he added.
Nio joined hands with Geely's EV brand Zeekr over battery charging, the Chinese NEV startup said today. This will allow Nio, Onvo, and Firefly car owners to find and use Zeekr's charging stations via the three Nio brands' own apps.
DJI has reportedly started mass production of robotic vacuum cleaners, with the first model set to launch next month. The Chinese drone maker has spent more than four years developing the products, media reported, citing people familiar with the matter. The debut model will be a vacuum-mop combo.
China’s cinema ticket pre-sales for the upcoming Dragon Boat Festival holiday exceeded 30 million yuan as of 10 p.m. yesterday, with Mission Impossible: The Final Reckoning leading the chart, according to movie data tracker Beacon.
China launched the Tianwen-2 spacecraft early on Thursday morning to bring asteroid samples back to earth. The craft is designed to collect samples from an asteroid orbiting Earth that scientists believe may be a fragment of the moon. China would become the third country, after Japan and the US, to return asteroid samples.
Asia-Pacific highlights
Malaysia’s central bank has granted Chinese cross-border payment platform PingPong the Money Services Business license, making it the first China-based B2B cross-border payment institution to achieve such milestone. PingPong has secured over 60 global payment licenses and permits worldwide.
Shanghai's iconic Peace Hotel will be rebranded as Raffles Peace Hotel Shanghai, joining the portfolio of Singaporean luxury hotel chain Raffles Hotels and Resorts.
A shipment of 3 tons of fresh mangoes from Bangladesh arrived in Changsha, central Hunan province, yesterday, marking China's first import of mangoes from the South Asian country. Previously exported mainly to the Middle East and the EU, Bangladeshi mangoes are now entering China, with the importer estimating over 100 tons in the first year. In July 2024, China approved the import of fresh mangoes from Bangladesh. To facilitate the shipment, Changsha Customs offered end-to-end support, including policy consultation and quarantine approval.
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Hi everyone. I’m Stephanie LI.
Coming up on today’s program
China’s Dragon Boat Festival is expected to see a surge in short-haul and cultural tourism;
Chinese premier pledges stronger strategic alignment with ASEAN and GCC for common development during the trilateral summit.
Here’s what you need to know about China in the past 24 hours
As China's Dragon Boat Festival approaches, cities across the country are seeing a surge in short-haul trips and cultural activities tied to the holiday, a trend that industry insiders predict will intensify as the summer travel season gains momentum.
During this year's holidays from May 31 to June 2, travel within the "two-hour high-speed rail radius" and short-to-medium distance self-driving trips have become the mainstream choices for holidaymakers, according to travel platform Fliggy, with car rental bookings for the holidays have so far increased by 47 percent year-on-year.
Bookings for domestic short-haul travel during the holidays are up 23 percent year-on-year, according to another travel platform Trip.com.
As traditional Dragon Boat Festival culture gains traction, folk activities such as dragon boat racing are emerging as major draws for cultural and tourism spending during the forthcoming holidays, according to industry data.
As of Monday, bookings for holiday-themed tours featuring traditional activities like dragon boat racing and zongzi (sticky rice dumplings) making had surged by 105 percent year-on-year, data from Fliggy showed.
As part of the ongoing consumption-boosting efforts, the Chinese government in late April launched a nationwide campaign to promote cultural and tourism consumption, featuring measures including festival-themed activities and locally tailored events.
Meanwhile, according to the National Immigration Administration (NIA) on Wednesday, China is expected to see 2.15 million daily border crossings on average during the 3-day holidays, marking a 12.2-percent increase compared to the same period last year,
Traffic at China's major international airports is projected to rise steadily, with Shanghai Pudong expected to lead with 100,000 daily crossings, followed by Guangzhou Baiyun at 48,000 and Beijing Capital at 46,000, according to the NIA.
As travel between Hong Kong, Macao, and the Chinese mainland continues to rise, the Dragon Boat Festival is expected to bring even greater volumes, to be boosted by a series of major events scheduled across Chinese provinces.
Asia-Pacific highlights
Premier Li Qiang called on Tuesday for further deepening strategic alignment and expanding regional opening-up among China, the Association of Southeast Asian Nations and the Gulf Cooperation Council, in order to address new challenges and fully unleash the potential of open development. Addressing the inaugural ASEAN-GCC-China Summit, Li urged the three parties to build the related regions into a large shared market where resources, technologies and talent flow more efficiently, and trade and investment enjoy greater freedom and convenience. He also called on China, the ASEAN and the GCC countries to jointly forge an example in openness, development cooperation and cross-civilization integration. The summit, themed "Synergising Economic Opportunities Towards Shared Prosperity", was hosted by Malaysia in Kuala Lumpur as part of its 2025 ASEAN chairmanship.
China will expand its visa-free entry policy for Saudi Arabia, Oman, Kuwait and Bahrain to cover all GCC member countries. From June 9, 2025, to June 8, 2026, people from the four countries holding ordinary passports will be allowed to enter China visa-free and stay for up to 30 days, Foreign Ministry spokeswoman Mao Ning said on Wednesday.
The Asian Infrastructure Investment Bank is looking to open new offices in Hong Kong and Singapore, according to people familiar with the matter, in a plan that would mark its biggest expansion since beginning operations in Beijing almost a decade ago. The multilateral lender, which had more than US$57 billion in assets at the end of last year, is currently negotiating with relevant parties in the cities to open the offices, the people said. The bank may announce the move at its annual meeting in June if it's finalized.
GBA express
World's first self-propelled deep-sea aquaculture vessel with a pollution-free seawater exchange system was successfully launched in Jiangmen, Guangdong Province on Tuesday, marking the start of a new era of China's deep-sea aquaculture industry that integrates intelligent aquaculture practices with energy conservation, environmental protection, and a combination of fishery and tourism. The vessel named Bay Area Lingding boasts an aquaculture space of nearly 80,000 cubic meters, providing ample room for fish to swim freely, CCTV reported.
The Ministry of Finance said Wednesday that it will issue a total of 68 billion yuan in renminbi-denominated treasury bonds in six batches in the Hong Kong SAR in 2025. The first two batches, totaling 25 billion yuan, were issued in February and April. The third batch of 12.5 billion yuan is scheduled to be issued via tender on June 4.
A 62,000-ton multi-purpose pulp carrier, China Ocean Shipping Company's inaugural weekly service ship to BRICS countries in eastern South America, began operations at the Nansha Port in Guangzhou on Monday.
Industry and company news
Profits of China's state-owned enterprises dropped 1.7 percent to 1.35 trillion yuan in the first four months of the year from a year earlier, according to data from the Ministry of Finance. Their revenues stayed flat at 26.27 trillion yuan.
Xiaomi's mobile phone shipments returned to rank first in the Chinese mainland in the first quarter for the first time in a decade, as its sales share of high-end smartphones reached 25 percent of the total, President Lu Weibing said yesterday. The average selling price of Xiaomi smartphones rose 5.8 percent to record 1,211 yuan from a year earlier.
Pinduoduo plunged over 13 percent in New York yesterday after the Chinese e-commerce giant owner of Temu said its first-quarter net profit shrank 47 percent to 14.7 billion yuan from a year earlier. Revenue rose 10 percent to 95.7 billion yuan.
The Ningbo-Zhoushan Port, the world's busiest port in terms of cargo throughput, on Tuesday announced three initiatives it has undertaken with three major European ports -- Hamburg and Wilhelmshaven in Germany, and Valencia in Spain -- to construct green shipping corridors and advance low-carbon port cooperation between China and Europe.
Chinese autonomous driving startup WeRide announced it has begun testing Robotaxis in Saudi Arabia, with trial operations to launch on Uber's platform soon and a full commercial rollout expected by late this year.
Today marks the second anniversary of home-made C919 aircraft's commercial operation. The jets have moved over 2 million passengers in the two years, its maker COMAC said. The 18 planes delivered to Air China, China Eastern Airlines, and China Southern Airlines run 24 routes and connect 16 cities.
Marriott International and Meituan today announced a partnership to introduce a joint membership program offering integrated “hotel + lifestyle” travel services. New members will receive a 388-yuan coupon that can be used on the platforms of both companies.
Enlight Media said yesterday that the English-dubbed version of the Chinese animation blockbuster Ne Zha 2 is expected to hit North American cinemas this summer. A Japanese dub is also in the works and will have an extended run in Japan.
Legoland Shanghai Resort announced it will begin selling one-day tickets and hotel packages at 8 p.m. today. For opening day, July 5, standard tickets are priced at 549 yuan, while children and senior tickets are 439 yuan.
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Hi everyone. I’m Stephanie LI.
Coming up on today’s program
Chinese premier says China and Malaysia jointly usher in new "Golden 50 Years" for bilateral ties;
China's industrial profits went up 1.4 percent in Jan-April.
Here’s what you need to know about China in the past 24 hours
Chinese Premier Li Qiang said Monday that China is ready to work with Malaysia to deepen exchanges and collaboration across various fields, and jointly usher in a new "Golden 50 Years" for bilateral ties guided by the principles of mutual respect and trust, equality and mutual benefit for win-win outcomes.
Li made the remarks when meeting with Malaysian Prime Minister Anwar Ibrahim.
Li said that both sides agreed to build a high-level strategic China-Malaysia community with a shared future and mapped out the strategic direction for the development of bilateral relations.
He urged the two sides to continue expanding trade and investment cooperation with a focus on cutting-edge areas, including the digital economy, the green economy and artificial intelligence, promote the integrated development of industrial and supply chains and value chains, and steadily advance major projects such as the "Two Countries, Twin Parks" and the East Coast Rail Link, so as to strengthen the economic growth engine of the China-Malaysia community with a shared future.
Li is among guests attending a two-day summit of Southeast Asian nations, China's biggest regional export market. The meeting of the 10-member ASEAN trading bloc, hosted by Malaysia, is likely to be dominated by concerns about US tariffs and calls for greater regional integration to withstand rising global trade protectionism. Gulf states, including Saudi Arabia and the United Arab Emirates, were also attending.
In the face of rising unilateralism and protectionism and a sluggish global economic recovery, China, the ASEAN and the Gulf Cooperation Council (GCC) countries, all participants in and beneficiaries of economic globalization, should enhance coordination and jointly uphold open regionalism and true multilateralism, Li said.
Noting that Malaysia is both the rotating chair of ASEAN and the host of the trilateral summit, Li said that China is ready to work closely with Malaysia to take the event as an opportunity to push for closer economic cooperation among the three sides, build a model of global cooperation and development, jointly safeguard free trade and the multilateral trading system and address global challenges together.
For his part, Anwar noted that China is a good neighbor and partner of Malaysia. Malaysia firmly supports multilateralism and China's accession to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, he said, adding that his country is ready to work with China to ensure fruitful outcomes of the inaugural ASEAN-GCC-China Summit.
Speaking at the opening ceremony of the ASEAN Summit on Monday, Anwar urged ASEAN members to work together to face the challenges brought about by a changing world order to ensure the agenda of sustainable and equitable development is not sidelined.
Profits of China's industrial enterprises above the designated size rose 1.4 percent to 2.12 trillion yuan in the first four months from a year earlier, the NBS said today. Their revenue climbed 3.2 percent to 43.44 trillion yuan.
GBA express
The 21st China (Shenzhen) International Cultural Industries Fair concluded on Monday with total visits exceeding 2.2 million in five days -- a strong testament to its role as a major platform for global cultural exchange and cooperation. Featuring an artificial intelligence exhibition area for the first time, the fair drew 60 leading and emerging AI companies.
Guangdong on Monday launched eight measures to promote inbound shopping. These measures include increasing the number of tax refund shops, promoting departure tax refund policies, accelerating the construction of duty-free shops within cities, encouraging cruise and yacht economy consumption, supporting targeted renovations of commercial streets, promoting trendy domestic products, optimizing entry permit processing, and improving payment convenience for inbound consumers.
China introduced new rules to encourage Hong Kong and Macao service providers to set up movie production companies on the Chinese mainland to deepen industry cooperation and boost filmmaking, according to the China Film Administration.
Industry and company news
“We are ready and prepared to do whatever it takes to win the fight and solidify our market leadership,” Meituan’s CEO Wang Xing said during the Chinese takeaway giant’s earnings conference call yesterday to respond to a question about JD.com introducing 10 billion yuan in food delivery subsidies that intensified competition. Shares in Meituan fell 5.5 percent in Hong Kong after Chinese regulators issued draft guidelines related to the fees paid to online merchants. Shares in rival JD.com slid 1.2 percent.
AI chip developer Hygon Information Technology and computer-server manufacturer Dawning Information Industry announced a merger valued at over 400 billion yuan on Monday. The move is expected to address surging domestic demand for artificial intelligence capabilities and bolster China's drive for technological independence to reduce reliance on US technologies.
Swedish truck maker Scania will begin operations at its new USD2.3 billion Chinese factory in the Jiangsu Province city of Rugao in October, media reported, citing Chief Executive Christian Levin. The new Chinese factory will eventually reach a production capacity of 50,000 vehicles for the mainland and Asian markets.
China's Ministry of Commerce and seven other agencies released a new plan on Monday to accelerate the development of "smart" supply chains across sectors such as agriculture, manufacturing, wholesale and retail. The plan aims to cut nationwide logistics costs and boost industrial resilience by promoting AI-powered smart factories, warehousing and retail systems. Authorities are aiming for 100 major smart supply chains by 2030.
China had 232 economic and technological development zones across 31 province-level regions at the end of last year, housing some 85,000 high-tech enterprises, according to the Ministry of Commerce. They achieved 10.7 trillion yuan in foreign trade last year, accounting for 25 percent of the country’s total.
Pony.ai entered an MoU with Dubai's Roads and Transport Authority to deploy its advanced robotaxi fleet in the region, the Chinese self-driving technology startup announced today. The initial supervised trials will begin this year and will be followed by fully driverless operations next year.
Asia-Pacific highlights
Chinese Premier Li Qiang said on Tuesday that China is ready to work with Cambodia to promote trade and investment liberalization and facilitation, so as to further expand economic and trade cooperation. In his meeting with Cambodian Prime Minister Hun Manet, Li said that China is willing to strengthen cooperation with Cambodia in such areas as infrastructure, digital economy, advanced manufacturing and clean energy.
The People's Bank of China (PBOC) and Bank Indonesia on Sunday signed an MoU on establishing a cooperation framework to promote bilateral transaction settlement in local currencies. The new agreement expands upon a previous MoU, which was limited to current account transactions and direct investment. According to the PBOC, the scope of bilateral local currency settlement cooperation will be expanded to include transactions made through capital and financial accounts.
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Hello! Welcome to this edition of CBN Perspective. I’m Stephanie Li.
As the 21st China International Cultural Industries Fair (ICIF) opened in Shenzhen on Thursday, Guangdong—China’s top cultural export province—stepped into the spotlight, unveiling an 87-measure policy blueprint to turbocharge six core areas including film and TV, live performances, animation, online games, esports, and digital streaming.
At the heart of this cultural surge: the red-hot “guzi economy”, a phenomenon driven by Gen Z and Gen Alpha’s passion for anime merchandise and the rise of “guochao anime”, which blends Chinese cultural narratives with modern creativity following the sensational debut of Black Myth: Wukong and the history-making box office of the Ne Zha franchise.
Derived from the phonetic English word “goods”,“guzi” refers to ACG (animation, comics, games) collectibles—badges, figurines, posters—that have evolved into a symbolic language for young consumers.
It’s also a play on “gu,” the Chinese word for grain, comparing the joy of collecting small merch to harvesting tiny, satisfying rewards.
Within that world, fans navigate limited editions, blind boxes, resale markups, and algorithm-driven livestreams, blurring the line between passion and product.
For fans, “guzi” is more than materialistic; it’s an experience resonating on a deeper, emotional level, and the so-called “guzi” economy allows them to express their passion for specific cultures and characters through purchases.
And in this year’s edition of ICIF, the organizers for the first time introduced Shenzhen’s Bit City, dubbed the city’s “guzi haven”, as a new venue, hosting anime carnivals, ancient-style IP pop-ups, and ACG concerts—signaling the subculture’s ascension to mainstream commerce.
The move mirrors a broader shift: China’s ACG audience swelled to 503 million in 2024 — a number projected to reach 570 million by 2029, according to research firm iiMedia.
Last year alone, China’s “guzi economy" was worth 168.9 billion yuan ($23.5 billion). By 2029, it’s projected to nearly double (US$42 billion), a scale reshaping how China consumes.
ACG consumers are highly loyal to their favorite characters and are willing to pay a premium for products that hold cultural and emotional significance. These small trinkets, often bought in bulk, provide emotional value and a way to purchase “happiness.”
On social media, the fandom moves fast. In recent months, photos and videos of young collectors showing off gu hauls or filming unboxings have flooded feeds. On Xiaohongshu, known globally as RedNote, a related hashtag has drawn more than 4.7 billion views, while on Douyin, China’s version of TikTok, “eating gu” has racked up 6.6 billion.
The sense of belonging is the beating heart of this economy. According to a McKinsey survey, 64% of Chinese consumers place greater importance on emotional consumption than purely functional consumption. This connection is also reflected in the preference for offline purchases, with physical stores becoming true shrines for enthusiasts.
Similar to the popularity of an IP like Jellycat, characters from Labubu, Chiikawa, and Molly, to the latest cinematic sensation Ne Zha and Ao Bing, are making their presence known through dedicated “guzi” shops, subtly reshaping China’s retail landscape.
Shopping malls are retooling around character merchandise and immersive fan experiences to build loyalty and draw foot traffic. Pop-ups, specialty stores, and anime-themed events now fill spaces once dominated by fast fashion and food courts.
In Jinan, eight specialty stores have quietly sprung up in major shopping areas, with outlets reporting daily sales exceeding 10,000 yuan.
Just before New Year, Bailian Group, the largest retailer in Shanghai, launched its second Bailian ZX mall, a brand wholly dedicated to otaku, a Japanese word that describes people with consuming interests in the pop cultures of anime, manga, video games and computers.
Data from corporate data provider Tianyancha show that over 10,000 new businesses related to the “guzi economy" were established between January and November 2024, up 14 percent year-on-year, bringing the existing total number to over 64,000.
It’s no surprise that the first to recognize the potential of this phenomenon were the giants of the food and beverage industry. Chains like Heytea, Good Me and Luckin, China’s tea and coffee chains, have launched special collections dedicated to “guzi,” while Starbucks even introduced a Christmas line inspired by anime.
The economic impact of the “guzi” phenomenon is also visible in financial markets: the stock value of MINISO, specializing in pop-culture merchandising, has risen so far by over 300% since its Hong Kong IPO in 2022, while retailer Pop Mart eclipsed HKD300 billion in market cap, putting it in elite company on the Hong Kong stock market on Thursday. In the first quarter of 2024, Pop Mart has recorded a 165% to 170% year-on-year growth in revenue.
As the birthplace of one-third of China’s animation output that exceeded 60 billion yuan in 2024, Guangdong is leveraging its manufacturing might and proximity to Hong Kong and Macao with a 15-point policy plan. The initiative released yesterday targets tech integration with AI and virtual production, talent cultivation, and cross-industry collaboration, aiming to transform the Greater Bay Area into a global hub for anime IP creation—think Journey to the West reimagined through humanoid robots or digital collectibles.
As “guochao” anime conquers domestic screens and “guzi” stores pop up in Southeast Asia and beyond, Guangdong isn’t just riding a trend—it’s rewriting the playbook for how nations monetize their cultural heritage in the digital age.
In an era where global cultural exports are dominated by Hollywood and Japanese anime, Guangdong’s rise as a “guzi economy” trailblazer signals a seismic shift. This isn’t merely about selling merchandise; it’s about weaponizing nostalgia, technology, and youth culture to craft a new form of “Made in China” storytelling—one that travels beyond borders, turns myths into markets, and proves that the most powerful economic engines are fueled by the heart.
As the world shops for a piece of China’s animated soul, Guangdong’s vision might just set the standard for how cultures monetize their magic in the 21st century.
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Hi everyone. I’m Stephanie LI.
Coming up on today’s program
The 21st ICIF kicks off in Shenzhen, showcasing a fusion of Chinese culture and technology;
Hong Kong’s IPO market nearly quadruples in a year as global investors reprice Chinese assets.
Here’s what you need to know about China in the past 24 hours
More than six-thousand exhibitors attend the 21st China International Cultural Industries Fair(ICIF) in South China's Shenzhen beginning Thursday.
With a record-breaking scale, the five-day fair brings together 6,280 government delegations, cultural institutions, and enterprises for online and offline exhibitions, showcasing over 120,000 cultural products. Additionally, more than 4,000 cultural industry investment and financing projects will be displayed and traded onsite, reflecting the vibrancy of China’s cultural economy.
Recognized as one of China's most influential cultural expos, the 2025 edition features 305 overseas exhibitors from more than 65 countries and regions, with the number of participating nations along the Belt and Road Initiative hitting an all-time high. It is expected to attract 35,000 overseas professional visitors from 110 countries and regions, underscoring its growing influence as a global cultural exchange hub.
A core theme of this year’s fair is the deep integration of technology and culture. For the first time, an Artificial Intelligence (AI) Exhibition Zone has been established, featuring over 60 leading enterprises in the AI field.
Chinese AI search innovator DeepSeek and trendy toy giant Pop Mart—both making global headlines this year—are participating with cutting-edge equipment and stylish blind boxes.
Leveraging technologies like AI, the metaverse, virtual reality, digital exhibition halls, and cloud computing, visitors can virtually journey through the prosperous Tang Dynasty with poet Li Bai or engage closely with Dunhuang’s ancient civilization without leaving their homes.
Popular exhibits range from Dunhuang’s Silk Road-inspired intangible cultural heritage crafts and cultural and creative products to smart cockpits, humanoid robots, and AI glasses from the Greater Bay Area, which blend practicality with aesthetic value.
Notably, humanoid robots at the fair have engaged in “soul-touching” interactions with visitors, embodying a breakthrough in “technology + culture” as new productive forces.
This year’s fair not only showcases China’s cultural soft power but also highlights its commitment to fostering global cultural trade and technological collaboration, with the first-ever "Chinese Culture Going Global" section this year that allows Chinese enterprises to showcase their cultural exports.
GBA express
Guangdong unveils a major policy package to strengthen the competitiveness and appeal of its cultural industry globally, following the opening of the 21st ICIF today. Aiming to enhance innovation, market expansion, and industrial upgrading of the cultural sector, the targeted initiatives provide customized support for six core areas: film and TV, live performances, animation, online games, esports, and digital streaming.
IPOs on the Hong Kong stock exchange surged almost four-fold in value in the past year, as international investors re-evaluate the value of Chinese companies amid a softening US dollar and shifting global supply chains. Some 76 companies went public in Hong Kong in the 12 months ended May 21, raising a combined HKD145 billion, according to data from Wind Information.
Macao welcomed over 3.09 million visitors last month, up 18.9 percent from a year earlier, the SAR's Statistics and Census Service announced yesterday. The Chinese mainland remained the largest visitor source, with more than 2.12 million, up 22.4 percent. Same-day visitors jumped by 30.1 percent to over 1.75 million, while overnight visitors rose 6.9 percent to nearly 1.34 million.
Cathay Pacific carried 36.3 percent more passengers and 13.6 percent more cargo in April this year compared with the month last year. During the month, its capacity – measured in available seat kilometers – also rose 27.1 percent, the Hong Kong flag carrier’s traffic figures for April show. In the first four months of this year, the number of passengers carried increased by 26.6 percent compared with the same period for 2024, Cathay added.
Industry and company news
Xpeng opened 9.7 percent up today after the Chinese NEV startup reported better-than-expected first-quarter earnings and predicted to turn profitable in the fourth quarter. Net loss narrowed 52 percent to 660 million yuan, while revenue soared 142 percent to 15.8 billion yuan. Xpeng delivered 94,008 vehicles in the first quarter, up 331 percent from the same period last year, to achieve a new quarterly record. It plans to roll out humanoid robots for industrial and commercial use next year, chairman and CEO He Xiaopeng said during the earnings call.
Baidu’s non-GAAP net income fell 8 percent to 6.5 billion yuan in the first quarter from a year earlier, the Chinese tech giant’s latest earnings report showed yesterday. Revenue rose 3 percent to 32.5 billion yuan, with profits from its core businesses rising to 7.63 billion yuan, marking a 48 percent year-on-year increase.
QatarEnergy is deeply cooperating with China on LNG carriers, as China has a huge demand for natural gas, being the world's largest LNG importer, Saad Al-Kaabi, Qatar’s minister of energy and CEO of QatarEnergy, said at the WGC2025. Qatar's North Field east expansion project, which involves Chinese oil and gas giants, will come on stream in mid-2026, he added.
JPMorgan Chase's CEO Jamie Dimon is visiting China to deliver a keynote speech at the two-day J.P. Morgan Global China Summit in Shanghai today. Themed Capital Connections, the event features business leaders, such as Saudi Aramco's CEO Amin Nasser and Qualcomm's CEO Cristiano Amon.
Asia-Pacific highlights
Alibaba Group's e-commerce platform Taobao announced on Thursday that its free global delivery service will expand to 12 countries and regions across the globe, as the company is stepping up its globalization layout. According to Taobao, Singapore, Malaysia, South Korea, Australia, Japan, Thailand, Cambodia, Kazakhstan and Mongolia will be included in the initiative.
China is the biggest source of foreign investments in Southeast Asia's clean energy sector, helping the region to reach its decarbonization goals, a regional webinar heard on Tuesday. Sharon Seah Li-Lian, a senior fellow of the ISEAS-Yusof Ishak Institute in Singapore and coordinator of the ASEAN Studies Centre and Climate Change in Southeast Asia Program, noted that with the US retreating from the Paris climate treaty, China is "providing greater leadership" in global climate issues. Seah also noted ASEAN's underrepresentation in international climate initiatives and called for increased regional participation and cooperation. The latest report by global think tank Zero Carbon Analytics revealed that China has invested over USD2.7 billion in clean energy in ASEAN between 2013 and 2023. China also led in clean energy trade with ASEAN, with trade valued at USD4.3 billion.
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Hi everyone. I’m Stephanie LI.
Coming up on today’s program
China’s central bank reduces LPR and major lenders cut deposit rates;
CATL jumped 16 percent in its Hong Kong debut as the year’s biggest IPO sizzles.
Here’s what you need to know about China in the past 24 hours
China's one-year loan prime rate (LPR), a market-based benchmark lending rate, was lowered to 3.0 percent on Tuesday, down by 10 basis points, in the central bank's first cut of the rate this year.
The over-five-year LPR, on which many lenders base their housing mortgage rates, dropped to 3.5 percent from the previous reading of 3.6 percent, according to the National Interbank Funding Center.
The cut will further drive down financial costs for companies and Chinese residents, helping bolster market confidence and support the steady growth of the real economy, according to Xinhua News Agency.
These rate cuts come shortly after Beijing unveiled a series of sweeping monetary easing measures aimed at boosting liquidity and supporting growth.
On May 7, the country’s central bank announced a series of rate cuts, including a reduction in the seven-day reverse repo rate and the interest rates for the standing lending facility, to better implement the moderately loose monetary policy and enhance support for the real economy.
"The cut in LPR, the first round this year, has shown that the comprehensive financial support policies have led to further easing of monetary and credit policies, which in turn has reduced the borrowing costs of medium- and long-term funds," said Yan Yuejin, research director at Shanghai-based E-house China R&D Institute.
"The policy to further reduce interest rate will help lower mortgage loans costs, which also should stimulate the housing consumption demand," Yan said.
In the meantime, China's major state-owned commercial banks and some joint-stock banks announced reductions in deposit interest rates on Tuesday morning.
The one-year fixed-term deposit interest rate was cut by 15 basis points to 0.95 percent, according to the official deposit interest rates released by Industrial and Commercial Bank of China, Bank of China, China Construction Bank, Agricultural Bank of China, and Bank of Communications.
China Merchants Bank, a joint-stock bank based in Shenzhen, also cut its deposit interest rate, with one-year fixed-term deposit interest rate being reduced to 0.95 percent.
The National Development and Reform Commission (NDRC), China's economic planner, said on Tuesday that China is accelerating the formulation of measures to stabilize employment and the economy, promote high-quality development, and address issues related to excessive competition, which are expected to be implemented by the end of June. Meanwhile, NDRC will introduce a series of measures to attract and utilize foreign capital more effectively, and it will continue to create favorable conditions for multinational companies to invest and grow in China. Moreover, the NDRC will publicize the Private Economy Promotion Law, which took effect today, facilitate the implementation of its supporting policy measures, and address private enterprises' concerns.
GBA express
China’s leading battery maker CATL made another IPO at the Hong Kong Stock Exchange on Tuesday, with its shares opening 12.5 percent higher at HK$296 and closed up 16.4 percent at HK$306.2. At the debut ceremony on Tuesday, Chairman Zeng Yuqun noted the listing also marks “a new starting point” in promoting the global zero-carbon economy. CATL’s prospectus reveals that approximately 90 percent of its IPO proceeds will go to fund the first and second phases of its Hungary battery plant. Hong Kong Financial Secretary Paul Chan Mo-po said that CATL’s listing has become a focal point in global markets, reflecting strong confidence from both corporates and investors in Hong Kong’s stock market. The offering attracted investments from sovereign wealth funds, industrial capital, long-term institutional investors, insurance funds, and multi-strategy funds from 15 countries and regions.
Hong Kong authorities have identified nine projects involving big local industrial brands, the four most beautiful peaks and old town travels in the first phase of developing tourism hotspots to attract more tourists seeking in-depth tours in the city. At least four industrial brands, including food seasoning company Lee Kam-kee, bakery giant Kee Wah, vinegar maker Pat Chun and probiotic drink company Yakult, confirmed that they would organize tours with travel agencies starting from the third quarter of this year. Measures to boost in-depth tourism will also cover two popular old neighborhoods in Kowloon City and Central, featuring the local characteristics and history.
Industry and company news
Xiaomi has started mass producing its self-developed flagship chip with a 3-nanometer processor, the Xring O1, after four years of development and a total R&D investment of 13.5 billion yuan, CEO Lei Jun said on Weibo yesterday. Two flagship devices featuring the chip, the Xiaomi 15S Pro smartphone and Xiaomi Pad 7 Ultra OLED tablet, will be launched at 7 p.m. on Thursday.
Nvidia is leasing a new office space for its employees in Shanghai as part of its efforts to deepen its presence in China while complying with US export control measures, the US chip giant told media today.
Tencent’s QQ developed a version for Huawei's computers running on its self-developed HarmonyOS that launched yesterday, media reported. WeChat and WeCom, two other instant messaging platforms under Tencent, are accelerating the development of their own versions for HarmonyOS.
Trip.Com's net profit stayed flat at 4.3 billion yuan in the first quarter from a year earlier, while its net revenue rose 16 percent to 13.8 billion yuan, the Chinese online travel agency said today. Inbound tourism bookings on Trip.Com more than doubled in the first quarter from a year earlier, while outbound hotel and flight reservations exceeded the levels in the same period of 2019 by about 20 percent.
Leapmotor's stock opened 2.6 percent up after the Chinese EV maker said its net loss narrowed 89 percent to 130 million yuan in the first quarter from a year ago, while its revenue soared 187 percent to 10 billion yuan. Its sales surged 162 percent to 87,552 units.
Kweichow Moutai yesterday announced it repurchased 4 billion yuan in shares and approved a new share buyback scheme of up to 6 billion yuan. The Chinese liquor giant will distribute 34.7 billion yuan worth of cash dividends.
Chinese commercial space firm Galactic Energy successfully conducted a sea-based launch of its CERES-1 carrier rocket at 3:38 pm (local time) on Monday, completing the first phase of the Tianqi constellation, the country's low-Earth orbit Internet of Things (IoT) satellite constellation.
Asia-Pacific highlights
Thailand and Indonesia announced the elevation of bilateral relations to a strategic partnership following the first official visit to Thailand of President of Indonesia Prabowo Subianto on Monday. Southeast Asia’s two biggest economies pledged strong support for more two-way investment, and expanded cooperation in food security, fisheries, halal products, energy security and green economy, education and healthcare. Moreover, both sides are committed to increasing bilateral trade and they also agreed to enhance tourism cooperation, especially cruise and yacht tourism and wellness.
Chinese pea protein maker Shuangta Food today announced plans to expand its production capacity by 10,000 tons once its new Thailand plant is completed and put into operation in the second half of the year.
American pop singer Katy Perry today announced the Asia leg of her fifth world tour The Lifetimes Tour in three cities, Hangzhou and Shanghai in China and Tokyo in Japan.
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