Hong Kong stocks tread water as investors weigh US tariff moves, China GDP data

Name: China raises tariffs on US goods to 125% as Xi calls on EU to resist ‘unilateral bullying’
Uploaded: 2025-04-15T02:33:24.000Z
Duration: 2 min 40 s
Description: China raises tariffs on US goods to 125% as Xi calls on EU to resist ‘unilateral bullying’

US Commerce Department initiates investigations into pharmaceutical and semiconductor imports, which could lead to tariffs

Reading Time:2 minutes

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Vehicles pass in front of an electronic board showing the Hang Seng Index in Hong Kong. Photo: AFP

Zhang Shidongin Shanghai

Published: 10:33am, 15 Apr 2025Updated: 4:35pm, 15 Apr 2025

Hong Kong stocks hovered around a one-week high on Tuesday, as investors digested the latest development on the tariff front from US President Donald Trump while bracing for China’s first-quarter economic data.

The Hang Seng Index rose 0.2 per cent to 21,466.27 at the close. The Hang Seng Tech Index dropped 0.7 per cent. On the mainland, the CSI 300 Index added 0.1 per cent and the Shanghai Composite Index advanced 0.2 per cent.

Companies reliant on domestic demand climbed. After-school educational service provider New Oriental Education and Technology Group advanced 3.7 per cent to HK$35.40 and bottled-water maker Nongfu Spring gained 2.5 per cent to HK$37.15, while Anta Sports Products rallied 2.4 per cent to HK$87.65.

Limiting the gains, chipmaker Semiconductor Manufacturing International Corp slid 4.5 per cent to HK$45.35 and Macau casino operator Galaxy Entertainment Group lost 3.6 per cent to HK$27.00.

In the latest twist on tariffs, the Trump administration said it was considering a temporary exemption on cars to counter the negative impact on the industry, where US manufacturers face higher costs. Meanwhile, the US Commerce Department said it would start investigations into the pharmaceutical and semiconductor industries that could lead to levies on the two sectors.

02:40

China raises tariffs on US goods to 125% as Xi calls on EU to resist ‘unilateral bullying’

The US-China tariff war could also have a devastating impact on the stock markets of the two countries. Goldman Sachs estimated US$2.5 trillion worth of Chinese and US stocks and bonds could be liquidated in the extreme case of a decoupling between the world’s two biggest financial markets. The US bank’s projections came after Treasury Secretary Scott Bessent said delisting of US-listed Chinese companies was an option against the backdrop of the tit-for-tat tariff war.