https://www.scmp.com/rss/324764/feed Yujing Liu is a business reporter with a passion for understanding and explaining the fascinating complexities of China’s economy and society. Originally from Beijing, she joined the Post in 2017 after graduating from the University of Hong Kong with a degree in politics and journalism. en https://assets.i-scmp.com/static/img/icons/scmp-meta-1200x630.png https://www.scmp.com China is looking to provide more regulatory clarity for the operation of overseas-listed Chinese companies with a variable interest entity (VIE) structure even as its legality has yet to be tested, according to analysts and lawyers. The State Administration of Market Regulation, the antitrust regulator, last week fined units of Alibaba Group Holding, Tencent Holdings and others for failing to seek approval for past acquisitions involving offshore VIE units. It also said VIE companies are not... https://www.scmp.com/business/china-business/article/3114694/chinese-vie-companies-what-lawyers-and-analysts-say-about?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3114694/chinese-vie-companies-what-lawyers-and-analysts-say-about?utm_source=rss_feed Mon, 21 Dec 2020 00:30:06 +0000 As China reasserts control over its powerful private enterprises, US and Hong Kong investors in Chinese stocks need to be aware of a rarely discussed risk that has the potential to jeopardise their holdings: the fact that they do not technically own the companies. To skirt China’s restrictions on foreign investment in certain industries and to raise capital from overseas stock markets, many Chinese companies adopted a so-called VIE structure, short for “variable interest entity”. By one... https://www.scmp.com/business/markets/article/3114557/legally-ambiguous-vie-structure-means-foreign-investors-dont?utm_source=rss_feed https://www.scmp.com/business/markets/article/3114557/legally-ambiguous-vie-structure-means-foreign-investors-dont?utm_source=rss_feed Sun, 20 Dec 2020 23:30:06 +0000 China’s antitrust regulator has fined three of the country’s largest technology companies for failing to disclose acquisitions of smaller competitors, stepping up its enforcement against what it called monopolistic corporate behaviour to protect consumer interests. A subsidiary of e-commerce giant Alibaba Group Holding, a unit of social-media and gaming juggernaut Tencent Holdings, and an affiliate of express delivery company SF Holding were fined 500,000 yuan (US$76,457) each for a breach of... https://www.scmp.com/business/china-business/article/3113860/chinas-antitrust-regulator-fines-affiliates-alibaba-tencent?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3113860/chinas-antitrust-regulator-fines-affiliates-alibaba-tencent?utm_source=rss_feed Mon, 14 Dec 2020 07:43:02 +0000 China’s stock market should end the year with a bang after a scintillating rebound from the pandemic-driven sell-off in March. Like the local economy, its key benchmarks have outpaced those in several developed equity markets, and access to foreign investors has never been wider. Instead, near-term optimism has waned with controversies likely to greet the new year. Global index compilers are loosening their embrace of companies deemed to have ties to blacklisted Communist Chinese military. US... https://www.scmp.com/business/money/article/3113751/trumps-ban-spoils-year-end-party-stock-index-rejigs-put-china-mobile?utm_source=rss_feed https://www.scmp.com/business/money/article/3113751/trumps-ban-spoils-year-end-party-stock-index-rejigs-put-china-mobile?utm_source=rss_feed Sun, 13 Dec 2020 23:30:12 +0000 Hong Kong’s inflation-protected bonds for senior citizens have received an overwhelming response after the government promised to pay the highest coupon on the securities since they were first introduced to retail investors in 2016. The three-year bonds will pay the higher of 3.5 per cent or the average consumer-price inflation, a sweetener for residents in an economy facing its worst slump in economic activity and employment. The annual coupon is seven times more than the average rate on time... https://www.scmp.com/business/money/article/3113640/hong-kongs-silver-bonds-lure-senior-citizens-government-promises-pay?utm_source=rss_feed https://www.scmp.com/business/money/article/3113640/hong-kongs-silver-bonds-lure-senior-citizens-government-promises-pay?utm_source=rss_feed Fri, 11 Dec 2020 12:26:25 +0000 American car maker Tesla is launching its first supercharger station in the city of Zhongshan with the hope of attracting a growing number of electric vehicle (EV) drivers in the Greater Bay Area development zone. The station, which is expected to be put into use in January, will shorten the charging time for every 250km drive by more than half to 15 minutes, according to Centenary United, a car services provider that has partnered with Tesla to build the facility. “The station could attract... https://www.scmp.com/business/china-business/article/3113446/tesla-launch-supercharger-station-zhongshan-future-greater?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3113446/tesla-launch-supercharger-station-zhongshan-future-greater?utm_source=rss_feed Thu, 10 Dec 2020 23:00:09 +0000 Next Digital, which owns the Apple Daily newspaper, is selling an office building in Taipei, it said on Tuesday. The sale comes after its founder, media tycoon Jimmy Lai Chi-ying, was charged with fraud in a case that has drawn international attention. The company will sell the building in Neihu district for HK$475.8 million (US$61 million) to a Taiwanese software developer, it said in a filing to the Hong Kong stock exchange. The sale “will improve the overall cash position of the group for... https://www.scmp.com/business/companies/article/3113102/jimmy-lais-next-digital-sells-taipei-property-us61-million?utm_source=rss_feed https://www.scmp.com/business/companies/article/3113102/jimmy-lais-next-digital-sells-taipei-property-us61-million?utm_source=rss_feed Tue, 08 Dec 2020 14:47:38 +0000 At least 70 per cent of Chinese companies previously identified by the United States government as having ties to the Chinese military have affiliates whose securities are included on major stock indices, with money from US investors supporting these companies involved in both civilian and military production, the State Department said on Sunday. As of June, 22 of 31 firms with Chinese military ties had at least 68 distinct affiliated companies whose shares were included on major benchmarks, the... https://www.scmp.com/business/article/3112783/70-cent-chinese-companies-military-ties-included-major-global-securities?utm_source=rss_feed https://www.scmp.com/business/article/3112783/70-cent-chinese-companies-military-ties-included-major-global-securities?utm_source=rss_feed Sun, 06 Dec 2020 11:30:54 +0000 Yujing Liu Yujing Liu One of the earliest forest kindergartens in China sees a bright future for the alternative form of preschool education in the country, as more wealthy millennial parents shift away from traditional exam-oriented curriculum for their children. Rockies Forest Kindergarten, in southern China’s Zhongshan city, is one of a few schools in the country that offer a nature-based curriculum. Children spend a significant amount of their day playing and learning outdoors in a woodland, farm and green yard... https://www.scmp.com/business/china-business/article/3112641/forest-kindergarten-zhongshan-millennial-parents-are-so?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3112641/forest-kindergarten-zhongshan-millennial-parents-are-so?utm_source=rss_feed Sun, 06 Dec 2020 04:45:16 +0000 Many people living outside mainland China may not be familiar with Zhongshan city, but the birthplace of Sun Yat-sen, the founding father of modern China, is keen on taking its place as a leading city in the country’s ambitious Greater Bay Area development plan. Zhongshan sits at the centre of the bay area, a region around southern China’s Pearl River Delta that Beijing plans to transform into an integrated 11-city urban cluster to power the nation’s economic growth. The city, whose economic... https://www.scmp.com/business/china-business/article/3112461/zhongshan-birthplace-sun-yat-sen-revamps-greater-bay-area?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3112461/zhongshan-birthplace-sun-yat-sen-revamps-greater-bay-area?utm_source=rss_feed Thu, 03 Dec 2020 23:00:29 +0000 Chinese companies and their investors are likely to shrug off the latest US bill that could delist them from American exchanges as they have alternative capital-raising venues at home. It may inject urgency in more listing reforms in Hong Kong and mainland China. The Holding Foreign Companies Accountable Act, passed by the House of Representatives earlier this week, would give the more than 210 Chinese companies three years to comply with auditing oversight rules applied to other listed... https://www.scmp.com/business/markets/article/3112452/us-bill-audit-or-delist-chinese-companies-unlikely-have?utm_source=rss_feed https://www.scmp.com/business/markets/article/3112452/us-bill-audit-or-delist-chinese-companies-unlikely-have?utm_source=rss_feed Thu, 03 Dec 2020 11:43:53 +0000 The world’s two biggest trading nations ought to resume regular dialogue at strategic and operational levels to prevent disputes from spiralling out of control, avoiding the kind of quarrel that led to the ruinous two-year-long US-China trade war, China’s former top trade envoy has said. The United States and China should relaunch their biannual strategic and economic dialogues (SEDs) when president-elect Joe Biden takes office in January to discuss five issues: their trade gap, protection of... https://www.scmp.com/business/china-business/article/3112197/us-china-should-address-trade-gap-and-humanitys-shared?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3112197/us-china-should-address-trade-gap-and-humanitys-shared?utm_source=rss_feed Wed, 02 Dec 2020 13:30:16 +0000 China’s state media urged authorities to take a hard look at the rental apartment industry after a liquidity crunch at New York-listed services provider Danke sparked an outcry from furious landlords and tenants across the country. Danke, officially known as Phoenix Tree Holding, rents flats from landlords on a long-term basis, refurbishes them and then leases them to tenants. In what looks like an apparent cash-flow failure in recent months, the company has missed payments to landlords,... https://www.scmp.com/business/companies/article/3112142/chinese-media-lay-new-york-listed-home-rental-platform-danke?utm_source=rss_feed https://www.scmp.com/business/companies/article/3112142/chinese-media-lay-new-york-listed-home-rental-platform-danke?utm_source=rss_feed Tue, 01 Dec 2020 14:00:18 +0000 Private school operators are rushing to expand in the Greater Bay Area, riding on an increasing demand for quality education as talent flows into the 11 cities in southern China’s Pearl River Delta that have been tapped by Beijing to become an integrated economic hub. “As the Greater Bay Area economy grows, we foresee an ever stronger and more urgent demand for high-end education,” said Li Jiuchang, the chief operating officer and executive director of Hong Kong-listed Wisdom Education... https://www.scmp.com/business/china-business/article/3111819/chinas-private-education-operators-eye-greater-bay-area?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3111819/chinas-private-education-operators-eye-greater-bay-area?utm_source=rss_feed Mon, 30 Nov 2020 00:30:11 +0000 China’s largest private companies mushroomed in value over the past year despite the Covid-19 pandemic, driven by fast growth in the internet, health care and electric vehicles sectors, according to a Hurun Research Institute report released on Wednesday. The values on average of the country’s top 500 private companies surged by 55 per cent to a record 110 billion yuan (US$16.7 billion) from a year ago. They were worth a combined 56 trillion yuan, or about half of China’s gross domestic product... https://www.scmp.com/business/china-business/article/3111334/chinas-largest-private-companies-soar-value-despite?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3111334/chinas-largest-private-companies-soar-value-despite?utm_source=rss_feed Wed, 25 Nov 2020 10:25:08 +0000 The spectacular surge in Xiaomi Corp has reignited the same debate that once dogged its Hong Kong debut: is the stock more valuable than the much-vaunted iPhone maker Apple or Samsung in terms of earnings power? The shares of the Chinese smartphone maker almost tripled to HK$25.55 on Friday from a low of HK$9.50 on March 23, briefly setting a record of HK$26.95 on September 2. An announcement on August 14 to include Xiaomi as a Hang Seng Index constituent has since rewarded its faithful with a... https://www.scmp.com/business/markets/article/3110893/xiaomi-outgunning-apple-samsung-valuation-rare-sell-rating?utm_source=rss_feed https://www.scmp.com/business/markets/article/3110893/xiaomi-outgunning-apple-samsung-valuation-rare-sell-rating?utm_source=rss_feed Sun, 22 Nov 2020 23:30:19 +0000 The evictions of tenants from flats in mainland China leased by one of the country’s biggest online home rental platforms has sparked renewed concerns about financial risks in the highly leveraged, fast-growing sector. New York-listed Phoenix Tree Holdings, commonly known as Danke, having taken upfront payments from tenants who had borrowed the money from banks, then failed to pay the landlords it was renting the properties from, according to furious tenants and landlords who gathered to protest... https://www.scmp.com/business/china-business/article/3110390/evicted-tenants-unpaid-landlords-furious-cash-strapped-new?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3110390/evicted-tenants-unpaid-landlords-furious-cash-strapped-new?utm_source=rss_feed Wed, 18 Nov 2020 11:15:15 +0000 Chinese online food delivery giant Meituan will become a major constituent of the Hang Seng Index from December 7, in a long-awaited move that will further raise the status of technology companies in Asia’s third-largest stock market. Sportswear maker Anta Sports and Budweiser Brewing Company APAC will also become component stocks of Hong Kong’s benchmark shares gauge, index compiler Hang Seng Indexes said in a statement on Friday. The latest quarterly “rebalancing” takes the number of... https://www.scmp.com/business/markets/article/3109805/budweiser-anta-sports-and-food-delivery-giant-meituan-get-green?utm_source=rss_feed https://www.scmp.com/business/markets/article/3109805/budweiser-anta-sports-and-food-delivery-giant-meituan-get-green?utm_source=rss_feed Fri, 13 Nov 2020 11:41:44 +0000 Investors in China have been overpaying for shares of local companies on mainland bourses when the same can be owned for less in Hong Kong. In a pool of 71 firms with US$2.71 trillion of market capitalisation, the cost is huge. Three central bank scholars have suggested some measures to tackle the “irrational herding behaviour” behind the prices of 142 constituents in the Hang Seng AH Premium Index. The premium reached an 11-year high of 49.4 per cent on October 15, before easing to 38.6 per... https://www.scmp.com/business/markets/article/3109641/chinas-stock-market-anomaly-gets-pboc-scholars-attention-model-fix?utm_source=rss_feed https://www.scmp.com/business/markets/article/3109641/chinas-stock-market-anomaly-gets-pboc-scholars-attention-model-fix?utm_source=rss_feed Fri, 13 Nov 2020 00:34:44 +0000 Global luxury retailers embraced the Singles’ Day online shopping bonanza this year like never before, pulling out all the stops to attract Chinese consumers amid a gloomy outlook for consumption elsewhere in the world. About 200 luxury brands launched special promotions on Tmall to take advantage of the shopping festival, which is held on November 11 every year, doubling the number reported last year, according to Alibaba Group Holding, which owns the e-commerce platform as well as this... https://www.scmp.com/business/china-business/article/3109421/balenciaga-prada-iwc-lead-global-luxury-brands-bowing?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3109421/balenciaga-prada-iwc-lead-global-luxury-brands-bowing?utm_source=rss_feed Wed, 11 Nov 2020 11:06:50 +0000 China has released a draft antitrust guideline to rein in internet-based monopolies, signalling policymakers’ heightened concerns over the growing power, influence and risks of digital platforms and their market practices in the economy. The move immediately erased about US$102 billion of market value from Alibaba Group Holding, Tencent Holdings and Meituan. Monopolistic practices by internet platforms, such as demanding vendors to transact only on one platform exclusively, or providing... https://www.scmp.com/business/china-business/article/3109188/china-drafts-new-antitrust-guideline-rein-tech-giants?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3109188/china-drafts-new-antitrust-guideline-rein-tech-giants?utm_source=rss_feed Tue, 10 Nov 2020 05:45:08 +0000 Americans have voted to expel President Donald Trump from the White House. When Joe Biden is inaugurated in January, it should herald a rewarding time for money managers in the Asia-Pacific market, going by the history of Democrat presidents. In the most precedent, that meant a 50 per cent rally in Asian stocks during Barack Obama’s first four years, and risk-on mode for regional currencies. Last week’s market reactions suggest traders are keen for the pattern to repeat itself. The Hang Seng... https://www.scmp.com/business/markets/article/3108972/hong-kong-stock-traders-love-first-term-democrat-president-biden?utm_source=rss_feed https://www.scmp.com/business/markets/article/3108972/hong-kong-stock-traders-love-first-term-democrat-president-biden?utm_source=rss_feed Sun, 08 Nov 2020 23:30:12 +0000 China Evergrande has ended a plan to engineer a back-door listing for its property development unit in Shenzhen, ending a costly four-year pursuit of one of its biggest rivals in the city. The developer, helmed by the country’s third-richest tycoon, Hui Ka-yan, has resolved to terminate the reorganisation plan with Shenzhen Special Economic Zone Real Estate & Properties Group (Shenzhen Real Estate), it said in a Hong Kong stock exchange filing on Sunday. It did not provide any reason for the... https://www.scmp.com/business/article/3108991/china-evergrande-ends-four-year-pursuit-shenzhen-rival-repay-some-us197?utm_source=rss_feed https://www.scmp.com/business/article/3108991/china-evergrande-ends-four-year-pursuit-shenzhen-rival-repay-some-us197?utm_source=rss_feed Sun, 08 Nov 2020 13:30:08 +0000 Hong Kong homebuyers snapped up dozens of new flats on Sunday, in a bumper weekend of home sales amid easing fears over a fourth wave of the coronavirus outbreak and resilient demand from first-time homebuyers. Hong Kong Ferry Holdings and Empire Group had sold 85, or nearly 70 per cent, of the 123 flats on offer in the second phase of Starfront Royale in Tuen Mun as of 8pm, agents said. More than 3,600 people registered for a lottery to buy the flats, translating into 29 buyers vying for each... https://www.scmp.com/business/article/3108989/hongkongers-come-out-droves-buy-property-even-developers-steadily-raise?utm_source=rss_feed https://www.scmp.com/business/article/3108989/hongkongers-come-out-droves-buy-property-even-developers-steadily-raise?utm_source=rss_feed Sun, 08 Nov 2020 12:30:12 +0000 Payson Cha Mou-sing, the chairman of Hong Kong conglomerate HKR International, famed for its development of the Discovery Bay community on Lantau Island, died on Saturday morning, according to two sources. Cha, 77, died in San Francisco, the sources said, declining to be named as they were not authorised to speak to the media. A spokeswoman for HKR International declined to comment. Cha was the eldest son of the late Cha Chi-ming, a well-known industrialist who fled to Hong Kong from Shanghai to... https://www.scmp.com/business/companies/article/3108984/payson-cha-prominent-hong-kong-tycoon-and-chairman-conglomerate?utm_source=rss_feed https://www.scmp.com/business/companies/article/3108984/payson-cha-prominent-hong-kong-tycoon-and-chairman-conglomerate?utm_source=rss_feed Sun, 08 Nov 2020 11:41:13 +0000 Hong Kong’s latest offering of inflation-linked bonds has been subscribed 3.9 times, attracting HK$38.9 billion (US$5 billion) in funds from investors enticed by their 2 per cent guaranteed return rate. The strong response, which follows the suspension of Ant Group’s highly-anticipated blockbuster initial public offering this week, makes the current batch the third most popular in history. The bonds attracted HK$49.8 billion in overall principal value in 2012 and HK$39.6 billion in 2013. The... https://www.scmp.com/business/money/markets-investing/article/3108665/hong-kongs-latest-inflation-linked-bonds-are?utm_source=rss_feed https://www.scmp.com/business/money/markets-investing/article/3108665/hong-kongs-latest-inflation-linked-bonds-are?utm_source=rss_feed Thu, 05 Nov 2020 13:43:51 +0000 Hong Kong stocks slid from a two-month high after a shock decision to suspend Ant Group’s record-breaking IPO punished Alibaba Group Holding and other fintech peers on regulatory tightening risks. President Donald Trump’s strong showing in southern US states and a close call in Florida also prompted investors to dump Chinese semiconductor producers and seek refuge in some beaten-down “old-economy” stocks such as banks and property developers. The Hang Seng Index fell 0.2 per cent to 24,884.14 at... https://www.scmp.com/business/markets/article/3108354/hong-kong-stocks-slide-alibaba-rout-surprise-halt-ant-groups-ipo?utm_source=rss_feed https://www.scmp.com/business/markets/article/3108354/hong-kong-stocks-slide-alibaba-rout-surprise-halt-ant-groups-ipo?utm_source=rss_feed Wed, 04 Nov 2020 01:54:44 +0000 Short sellers in Hong Kong are hoping to thrive in a market gripped by anxieties surrounding the US presidential election outcome, after getting burned by the steady rise of some of the market’s biggest technology companies. Tencent and Alibaba Group Holding reached record highs last month, when they were also among the most shorted stocks. The month of October, which is associated with infamous market crashes such as the Black Monday in 1987, came and went with relative calm this time. The Hang... https://www.scmp.com/business/markets/article/3108202/hong-kong-short-sellers-foiled-calm-october-now-wait-us-election?utm_source=rss_feed https://www.scmp.com/business/markets/article/3108202/hong-kong-short-sellers-foiled-calm-october-now-wait-us-election?utm_source=rss_feed Tue, 03 Nov 2020 05:30:21 +0000 Investors across the world should diversify further into Chinese assets, as it opens its capital markets and challenges the United States in areas ranging from trade to technology, American billionaire investor Ray Dalio said on Monday. “The world is overweight in … US and European assets relative to Chinese assets,” he said during a Hong Kong FinTech Week webinar. Dalio is the founder of Westport, Connecticut-based hedge fund Bridgewater Associates, the world’s biggest such firm. Bridgewater... https://www.scmp.com/business/china-business/article/3108138/investors-overweight-us-and-european-assets-should-increase?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3108138/investors-overweight-us-and-european-assets-should-increase?utm_source=rss_feed Mon, 02 Nov 2020 14:30:11 +0000 China International Capital Corporation (CICC), the country’s biggest investment bank, saw its share price fall back after shooting up to the daily maximum briefly on its debut in Shanghai on Monday. The relatively calm debut is something of a rarity for new stocks in mainland China, which tend to skyrocket past the upper limit of 44 per cent and remain there for the rest of their first day, with trading suspended until the price drops back below the threshold. CICC’s shares were only suspended... https://www.scmp.com/business/markets/article/3108036/chinas-biggest-investment-bank-cicc-tame-stock-market-debut-may?utm_source=rss_feed https://www.scmp.com/business/markets/article/3108036/chinas-biggest-investment-bank-cicc-tame-stock-market-debut-may?utm_source=rss_feed Mon, 02 Nov 2020 04:28:34 +0000 Hong Kong and China stocks plunged on Friday after a choppy session, taking benchmarks on both sides of the border to weekly losses. Concerns over the latest round of earnings from technology giants mounted after Apple missed its sales estimates last quarter, slamming its suppliers. The Hang Seng Index plummeted 2 per cent at the close of trading to 24,107.42 in its worst day since October 15. The 3.3 per cent drop for the week was the gauge’s first weekly decline in five. The Shanghai Composite... https://www.scmp.com/business/markets/article/3107719/hong-kong-china-stocks-retreat-iphone-suppliers-technology-firms?utm_source=rss_feed https://www.scmp.com/business/markets/article/3107719/hong-kong-china-stocks-retreat-iphone-suppliers-technology-firms?utm_source=rss_feed Fri, 30 Oct 2020 03:12:46 +0000 Hong Kong stocks fell to a one-week low, joining a sharp global equity sell-off prompted by concerns over rising coronavirus infections and the US election outcome. China stocks defied the gloom with bright earnings scorecard. The Hang Seng Index slumped by as much as 1.8 per cent in early trading before trimming the decline to 0.5 per cent at 24,586.60 at the close. Gains in some technology stocks helped pare the losses. The Shanghai Composite Index was little changed at 3,272.73, after earlier... https://www.scmp.com/business/markets/article/3107523/hong-kong-china-stocks-plunge-after-wall-street-sell-pandemic?utm_source=rss_feed https://www.scmp.com/business/markets/article/3107523/hong-kong-china-stocks-plunge-after-wall-street-sell-pandemic?utm_source=rss_feed Thu, 29 Oct 2020 02:10:21 +0000 China stocks fell to a two-week low as liquor juggernaut Kweichow Moutai’s lacklustre third-quarter earnings weighed on consumer stocks while top cadres of the Communist Party gather in Beijing for a key once-every-five-years policy-setting event. The Shanghai Composite Index fell 0.8 per cent to 3,251.12 at the close of trading, after tumbling as much as 1.6 per cent. The CSI 300 Index, which tracks the biggest companies listed in Shanghai and Shenzhen, dipped 0.6 per cent. The Shenzhen... https://www.scmp.com/business/markets/article/3107057/china-stocks-slide-kweichow-moutais-disappointing-earnings-set?utm_source=rss_feed https://www.scmp.com/business/markets/article/3107057/china-stocks-slide-kweichow-moutais-disappointing-earnings-set?utm_source=rss_feed Mon, 26 Oct 2020 03:01:34 +0000 No one can blame traders for being upbeat about Chinese stocks just as volatility is set to grip global financial markets in the final sprint leading up to the US presidential election. More than 300 top cadres of the Communist Party of China are gathering in Beijing for the fifth Plenum of the 19th congress from Monday to Thursday. They are expected to endorse a new five-year blueprint that sets the nation’s agenda on social and economic development through 2025. There is a feel-good factor... https://www.scmp.com/business/markets/article/3107005/china-stock-traders-look-boost-xi-jinping-led-communist-party?utm_source=rss_feed https://www.scmp.com/business/markets/article/3107005/china-stock-traders-look-boost-xi-jinping-led-communist-party?utm_source=rss_feed Sun, 25 Oct 2020 23:30:15 +0000 The first sale in four years of Hong Kong’s inflation-linked bonds got off to an encouraging start on Friday, as investors sought refuge in government-guaranteed returns in an environment of declining interest rates. Investors shrugged off new risks surrounding the latest iteration of the so-called iBonds, including a decline in Hong Kong’s sovereign credit rating as a result of two years of the US-China trade war and months of anti-government protests last year. The returns are especially... https://www.scmp.com/business/markets/article/3106863/latest-round-hong-kong-ibonds-encouraging-start-bochk-reports-65?utm_source=rss_feed https://www.scmp.com/business/markets/article/3106863/latest-round-hong-kong-ibonds-encouraging-start-bochk-reports-65?utm_source=rss_feed Fri, 23 Oct 2020 11:40:37 +0000 Hong Kong’s de facto central bank has dismissed concerns that the city’s sky-high debt in the private sector might lead to a catastrophic meltdown, citing lower actual leverage in the economy and the presence of robust measures to safeguard its banking system. The high level of private debt in the city was a result of Hong Kong’s status as an international financial centre, where many companies raise money for purposes outside the city, a spokesperson of the Hong Kong Monetary Authority (HKMA)... https://www.scmp.com/business/banking-finance/article/3106543/monetary-authority-pushes-back-warning-soaring-private?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3106543/monetary-authority-pushes-back-warning-soaring-private?utm_source=rss_feed Wed, 21 Oct 2020 23:00:14 +0000 Hong Kong’s economy may be headed for a “cataclysmic recession” because private-sector borrowers are being challenged by the city’s worst growth contraction on record from paying off their debt, according to an independent research firm. Private sector debt by Hong Kong’s non-financial companies soared to a record HK$10.9 trillion (US$1.4 trillion) in the first quarter, the highest since record-keeping began in 1999, according to the Bank for International Settlements (BIS), the central bank of... https://www.scmp.com/business/money/article/3106241/hong-kong-heading-cataclysmic-recession-citys-runaway-debt-service?utm_source=rss_feed https://www.scmp.com/business/money/article/3106241/hong-kong-heading-cataclysmic-recession-citys-runaway-debt-service?utm_source=rss_feed Tue, 20 Oct 2020 11:30:15 +0000 Alibaba Group is taking control of China’s largest hypermarket operator Sun Art Retail Group from the French billionaire Mulliez family, boosting its stranglehold on e-commerce as the Covid-19 pandemic intensified efforts to integrate online and offline shopping. Both stocks rallied. Alibaba, which runs Taobao, the world’s largest online marketplace, will pay HK$28 billion (US$3.6 billion) to double its effective stake in the Hong Kong-listed group to 72 per cent, according to a company... https://www.scmp.com/business/china-business/article/3106045/alibaba-group-pay-us36-billion-take-control-chinas-biggest?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3106045/alibaba-group-pay-us36-billion-take-control-chinas-biggest?utm_source=rss_feed Mon, 19 Oct 2020 00:12:36 +0000 A resurgence in the Covid-19 pandemic globally has given Chinese medical equipment manufacturers an opportunity to grow their market share, say company executives and analysts. With ramped up production and closer ties to overseas customers fostered earlier this year, they expect makers of medical devices from ventilator accessories to virus testing kits to reap greater success after a bumpy first half. At the same time, the companies are wary of the rising global hostility towards China amid... https://www.scmp.com/business/china-business/article/3105899/chinese-medical-equipment-makers-set-step-output-fresh-wave?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3105899/chinese-medical-equipment-makers-set-step-output-fresh-wave?utm_source=rss_feed Sun, 18 Oct 2020 06:00:04 +0000 Shares of a traditional Chinese medicine (TCM) company jumped after receiving validation from the nation’s top respiratory expert on its drug’s effect against the coronavirus, joining two other peers that have enjoyed huge gains this year. Guangzhou Baiyunshan Pharmaceutical Holdings soared 13 per cent to HK$21.75 in Hong Kong and by 10 per cent to 34.18 yuan in Shanghai on Friday, after Zhong Nanshan, the public face of China’s fight against the Covid-19 pandemic, said one of its products could... https://www.scmp.com/business/markets/article/3105870/traditional-chinese-medicine-maker-soars-after-top-respiratory?utm_source=rss_feed https://www.scmp.com/business/markets/article/3105870/traditional-chinese-medicine-maker-soars-after-top-respiratory?utm_source=rss_feed Fri, 16 Oct 2020 12:00:26 +0000 A Hong Kong buyer snapped up a luxury home in Kowloon for more than HK$71,000 (US$9,160) per square foot, the second-most expensive deal in the past three months, in yet another indication of the allure of the city’s high-end property. The buyer, “a very rich family” paid over HK$238 million for the 3,330-square-foot penthouse with a 2,933-square-foot balcony at the St George’s Mansions project in Kadoorie Hill, according to Victor Tin, group associate director of sales at Sino Land, a joint... https://www.scmp.com/business/article/3105560/sino-land-sells-st-georges-mansions-penthouse-us31-million-shows-allure?utm_source=rss_feed https://www.scmp.com/business/article/3105560/sino-land-sells-st-georges-mansions-penthouse-us31-million-shows-allure?utm_source=rss_feed Wed, 14 Oct 2020 23:00:27 +0000 Hong Kong’s plan to sell new inflation-linked bonds after a four-year hiatus is expected to attract the same strong response like in the previous six offerings. This time, the economic conditions and risks surrounding the impending sale are different and worth noting, analysts said. For one, the government is selling the retail notes at a time when its credit ratings have suffered through a bitter US-China trade war and anti-government protests over the past two years. For another, consumer... https://www.scmp.com/business/markets/article/3105050/hong-kongs-old-playbook-inflation-bonds-encounters-new-risk?utm_source=rss_feed https://www.scmp.com/business/markets/article/3105050/hong-kongs-old-playbook-inflation-bonds-encounters-new-risk?utm_source=rss_feed Sun, 11 Oct 2020 23:30:07 +0000 Two Shenzhen-listed makers of traditional Chinese medicine (TCM), Shijiazhuang Yiling Pharmaceutical and Tianjin Chase Sun Pharmaceutical, have reaped stunning gains this year, riding on endorsements by the public face of China’s successful fight against the coronavirus pandemic. Yiling reported a 57 per cent jump in net profit to 714 million yuan (US$106 million) for the first half of 2020, while its stock price surged by as much as 245 per cent between January and mid April, hitting its... https://www.scmp.com/business/china-business/article/3104831/shenzhen-listed-traditional-medicine-makers-ride-high?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3104831/shenzhen-listed-traditional-medicine-makers-ride-high?utm_source=rss_feed Sun, 11 Oct 2020 04:45:11 +0000 In a little-noticed announcement in April, the Hong Kong government launched a free traditional Chinese medicine (TCM) rehabilitation programme for patients recovering from the coronavirus. The voluntary programme, covering up to 10 consultations with five doses of herbal medication prescribed during each visit, was meant to provide patients with an alternative following their discharge from hospital, as well as to foster the integration of TCM and western medicine, according to the Food and... https://www.scmp.com/business/china-business/article/3104839/why-its-so-hard-china-promote-use-traditional-remedies?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3104839/why-its-so-hard-china-promote-use-traditional-remedies?utm_source=rss_feed Sat, 10 Oct 2020 02:00:23 +0000 The Motley Fool, one of the biggest stock investment advice websites in the US, announced it will exit the Hong Kong market, citing an uncertain outlook in the wake of political events such as the national security law and escalating US-China tensions. The company, which provides free and paid content to millions of individual investors worldwide, decided to close its outpost in Hong Kong after two years of operation. It follows its exit from the Singaporean market over regulatory issues in... https://www.scmp.com/business/markets/article/3104549/motley-fool-one-most-popular-stock-investment-advice-websites-us?utm_source=rss_feed https://www.scmp.com/business/markets/article/3104549/motley-fool-one-most-popular-stock-investment-advice-websites-us?utm_source=rss_feed Wed, 07 Oct 2020 12:00:16 +0000 A new partnership between the Chinese e-commerce giant Alibaba Group and Dufry, the world’s largest operator of airport duty-free shops, points to a massive, fast-growing market in China accelerated by the Covid-19 pandemic, analysts say. The two companies have agreed to form a joint venture in China, while Alibaba will buy a stake of up to 10 per cent in the cash-strapped, Switzerland-listed Dufry for 250 million Swiss francs (US$273 million), according to a statement by Dufry on Monday.... https://www.scmp.com/business/companies/article/3104390/alibaba-joins-forces-switzerlands-dufry-shake-chinas-huge-fast?utm_source=rss_feed https://www.scmp.com/business/companies/article/3104390/alibaba-joins-forces-switzerlands-dufry-shake-chinas-huge-fast?utm_source=rss_feed Tue, 06 Oct 2020 10:30:11 +0000 US stock markets slid Friday on Donald Trump’s coronavirus diagnosis, which has added further uncertainty to an environment already being roiled by the pandemic, an anaemic employment outlook and the upcoming election. The news that the president tested positive for Covid-19 drove earlier market moves, eclipsing the anticipated September jobs report due on Friday. The S&P 500 and Dow Jones indices both partially recovered from the earlier sell-off. The S&P closed down 32 points, or 0.96 per... https://www.scmp.com/business/companies/article/3103975/stocks-and-oil-slide-while-us-dollar-yen-gold-advanced-trumps?utm_source=rss_feed https://www.scmp.com/business/companies/article/3103975/stocks-and-oil-slide-while-us-dollar-yen-gold-advanced-trumps?utm_source=rss_feed Fri, 02 Oct 2020 09:18:16 +0000 China’s wealthy consumers splurged on luxury goods this year while low-income workers tightened their belts by saving on cheaper alternatives. Both can point to Covid-19 for the polarised spending behaviour. The pandemic has aided sales of luxury items such as high-end cars, liquor and lavish holidays at home as overseas shopping trips became restricted, according to analysts. At the same time, concerns about job losses in a beaten-down economy have prompted workers – many in the catering and... https://www.scmp.com/business/china-business/article/3103735/covid-19-polarises-chinas-consumers-luxury-sales-boom-while?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3103735/covid-19-polarises-chinas-consumers-luxury-sales-boom-while?utm_source=rss_feed Thu, 01 Oct 2020 02:00:23 +0000 Chinese electric car start-up Xpeng Motors is building a new plant in the southern city of Guangzhou with investment from the local government, as the Tesla challenger flush with capital after its recent New York listing eyes expansion in the mainland. The carmaker will receive 4 billion yuan (US$587 million) in financing from the Guangzhou Economic and Technological Development Zone for the factory as well as its future growth, the company said in a statement on Monday. The Guangzhou government... https://www.scmp.com/business/china-business/article/3103296/tesla-challenger-xpeng-get-us587-million-guangzhou?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3103296/tesla-challenger-xpeng-get-us587-million-guangzhou?utm_source=rss_feed Mon, 28 Sep 2020 05:30:17 +0000 Hong Kong stocks posted their biggest daily increase in a month on Monday, boosted by optimism over China’s bright economic data in August and progress over a US stimulus plan, while China-listed shares pulled back in cautious trading ahead of a long public holiday. The Hang Seng Index climbed 1 per cent to 23,476.05 for its best day since August 24 after recording the steepest weekly loss since March last week. The gains were driven by a strong rally in financials led by HSBC Holdings, after... https://www.scmp.com/business/markets/article/3103277/hong-kong-china-stocks-rise-bright-august-economic-data-and?utm_source=rss_feed https://www.scmp.com/business/markets/article/3103277/hong-kong-china-stocks-rise-bright-august-economic-data-and?utm_source=rss_feed Mon, 28 Sep 2020 02:36:05 +0000