Daily Buzz: 11 December 2025

US Seizes Oil Tanker Off Venezuela

US forces seized an oil tanker off the coast of Venezuela, aggravating relations between Washington and Caracas and sending oil prices higher. US President Donald Trump, who is seeking to force Venezuelan President Nicolas Maduro out of office, has been building up a big US military presence in the Caribbean. Since September, US forces have carried out strikes against 20 alleged drug-trafficking vessels, killing more than 80. Venezuela, a member of OPEC, exported more than 900,000 barrels of oil per day in November, with most of its production shipped to China. In late New York trading, benchmark Brent crude oil contracts rose 1.2 percent to US$62.67.

China Condemns UK Cyber Sanctions

China condemned the Britain's decision to sanction two Chinese companies over alleged cyberattacks, calling the move politically motivated and unsupported by evidence. The UK this week imposed sanctions on i-Soon and Integrity Technology Group, accusing them of conducting cyber activities against Britain and its allies. Foreign ministry spokesman Guo Jiakun said Beijing "firmly opposes the politicization of cybersecurity issues" and noted that China was also recently the victim of cyberattacks orchestrated by the US government and involving the UK

Thai-Cambodian Peace: Just a Phone Call Away?

US President Donald Trump, his peacekeeping credentials blighted by the collapse of an October ceasefire between Thailand and Cambodia that he helped broker, said he would make a phone call "to stop the conflict." That may be easier said than done. Fighting along the two neighbors' disputed border continued into a third day, with nearly 14 people killed and 500,000 people evacuated on either side of the 800-kilometer boundary line. Thailand said it sees no potential for negotiations nor is the situation conducive to third-party mediation. However, Cambodia signaled it might be willing to talk.

Ukraine Says It's Willing to Hold Wartime Election

Ukraine is willing to hold a wartime election in within the next 90 days if Western countries ensure the security of the poll, President Volodymyr Zelensky said, rebuffing doubts about his legitimacy expressed by the US and Russia. Zelensky's five-year term ended in May 2024, but a new poll was suspended because of the Russian invasion. Trump, in an interview this week with Politico, said, "They haven't had an election in a long time. They talk about a democracy, but it gets to a point where it's not a democracy anymore." Russian President Vladimir Putin has similarly questioned the legitimacy of Zelensky's presidency repeatedly in the past year.

Separately, Ukraine struck an oil tanker belonging to Russia's so-called shadow fleet in the Black Sea on Wednesday. It was the third such strike in two weeks.

Top Business

Sugon, Hygon Scrap Technology Merger

Supercomputer maker Sugon and chip designer Hygon Information Technology dropped plans for a proposed 116 billion yuan (US$16.4 billion) share swap, citing a changed market environment inconducive to the merger since the plan was announced in May. Shares in both Beijing-based, Shanghai-listed companies dropped on the news. Sugon, listed under the name Dawning Information Industry and already Hygon's largest shareholder, said "changes in the AI industry's popularity and market expectations" contributed to the change of plans. The merger was considered part of the government's drive toward self-sufficiency in technology by building a domestic ecosystem covering advanced processors and high-performance servers, the South China Morning Post reported. Sugon's shares plunged by the daily limit of 10 per cent on Wednesday, and Hygon shares slipped 0.4 per cent.

BYD Remains King of China's Electric Car Market

Chinese electric carmaker BYD retained its commanding lead in new energy vehicle sales in China in November, despite a monthly decline. According to the China Passenger Car Association, BYD sold 306,561 vehicle last month, down 26.5 percent from a year earlier but up 3.6 percent from October. The company held a 23 percent market share. Geely ranked second with 172,169 retail car sales, a 42 percent increase, giving it a 13 percent market share. SAIC-GM-Wuling followed with 96,194 units and 7.3 percent of the market, while Huawei-backed Harmony Intelligent Mobility Alliance placed fourth with 81,864 vehicles, up 6.2 percent.

Tesla China, which operates a mega-factory in Shanghai, took a 5.5 percent market share with delivery of 73,145 vehicles in the month. The 181 percent surge from October was driven by adjusted delivery schedules, introduction of a longer, family version of the Model Y, and domestic promotional incentives.

Yangtze Memory Sues US for Inclusion on Blacklists

Wuhan-based Yangtze Memory Technologies, China's leading flash memory chipmaker, filed a lawsuit in Washington federal court against the US Department of Defense, seeking to overturn its 2024 inclusion on a US list of companies alleged to have links with China's military. In the lawsuit, the company said it has no military connections. Its chip technology is used in consumer devices such as smartphones and laptops. In another legal action, the company sued the US Commerce Department over its 2022 inclusion on an export restriction list limiting its access to American technology. In the filing, the company said the department has never accused it of violating US export regulations. Yangtze Memory was founded in 2016 with government investment as part of the national goal to reduce dependence on foreign chip makers. It was formerly a subsidiary of Tsinghua Unigroup.

Huawei's New Factory in France Said to Be in Limbo

Chinese tech giant Huawei is weighing the future of its recently completed plant in France amid a slow roll-out of 5G in Europe and a hardening stance by some EU governments toward using Chinese equipment, Reuters reported, citing industry sources. The facility, completed in September and the company's first plant in Europe, remains empty. Huawei said five years ago it would invest 200 million euros (US$233 million) to manufacture wireless base-station equipment for European telecom operators.

Nvidia Rebuts Reports of Smuggled Blackwell Chips

Nvidia said it has no evidence that China's DeepSeek has been using smuggled Blackwell chips in AI development, rebutting media reports. The US bans export of Blackwells, Nvidia's most advance chips. "We haven't seen any substantiation or received tips of 'phantom data centers' constructed to deceive us, then deconstructed, smuggled and reconstructed somewhere else," Nvidia said in a statement. "While such smuggling seems far-fetched, we pursue any tip we receive."

Economy & Markets

China Consumer Prices Rise, Factory-Gate Prices Drop

China's consumer prices in November rose 0.7 percent from a year earlier while deflation persisted at the factory gate, the Bureau of Statistics reported on Wednesday. The gain in consumer prices was the highest since February 2024 and followed a 0.2 percent increase in October. Producer prices in the latest month fell 2.2 percent after a 2.1 percent decline a month earlier. Core inflation, which strips out prices of food and energy, rose 1.2 percent from a year earlier, unchanged from October. For November, food prices rose 0.2 percent, home appliances were up 4.9 percent and clothing increased 2 percent. Prices for gold accessories surged 58 percent. On the downside, energy prices slid 3.4 percent and vehicles were down about 2.5 percent. The drop in producer prices was led by a 12 percent drop in coal mining and a 10 percent decline in oil and gas extraction.

Fed Cuts Rate a Quarter Point

The US Federal Reserve, as expected, cut its key interest rate by a quarter of a percentage point to a range of 3.5 percent-3.75 percent. In remarks to the press, Fed Chairman Jerome Powell said inflation remains above the central bank's 2 percent target largely because Trump import tariffs are pushing up prices, and he also indicated the Fed's third rate cut this year is enough "for now." Hong Kong monetary officials will lower the city's rates by a quarter point today because the Hong Kong dollar is linked to the US dollar.

China Mineral Resources Raps Iron-Ore Speculation

Speculative trading is driving up prices of iron ore, China Mineral Resources said in an article published on the online site of China Iron and Steel Association, Bloomberg News reported. It said spot prices have risen more than 5 percent in the three weeks to December 2 to US$107.80 a ton, even amid rising inventories and softening steel demand. Some traders are operating across both futures and physical markets, creating unfair price-setting that is uncoupling prices from market reality, the commentary said. Iron ore futures, priced in yuan on China's Dalian commodity exchange, rose 1.5 percent this week. China has yet to sign an annual pricing agreement with Australian mining giant BHP mining giant – an agreement that traditionally sets a benchmark for global prices.

China Sovereign Wealth Fund Reports Returns

Sovereign wealth fund China Investment Corp reported a 7 percent return on overseas investments in the decade ending 2024. In its latest annual reported, the fund said it had allocated 49 percent of its offshore portfolio to alternative assets, including hedge funds, private equity, real estate, infrastructure and commodities. Publicly traded stocks in information technology, finance, consumption, healthcare and industry accounted for 35 percent of investment, while investments in cash and fixed-income declined. The fund's assets at the end of last year stood at US$1.6 trillion.

Corporate

Apple Launches Three-Hour Delivery

Apple rolled out a new three-hour delivery service for Chinese mainland, seeking to bolster sales during a holiday season that runs into the Chinese Lunar New Year in February. The service affects customers in selective cities. Apple said the fast-delivery option is free for products that include iPhones, iPads, Apple Watches, MacBook Air, MacBook Pro and AirPods, while other items will incur a small delivery fee. The move comes as Apple faces intensifying competition from Chinese smartphone makers.

Yao Pharma Signs Licensing Pact with Pfizer

Yao Pharma, a unit of Shanghai-based Fosun Pharma, has agreed to license its experimental oral anti-obesity drug to US drug giant Pfizer for up to US$2.1 billion, the South China Morning Post reported. Under the agreement, Yao will receive an upfront payment of US$150 million and stands to make US$1.9 million from future payments based on development and commercial milestones and from tiered sales royalties. Its drug candidate, called YP05002, also has potential to treat type 2 diabetes. It is now undergoing Phase 1 clinical trials.

Metallurgical Corp to Sell Non-Core Assets

State-owned Metallurgical Corporation of China said it plans to sell non-core assets for more than 60.6 billion yuan (US$8.6 billion) to its controlling shareholder China Minmetals in order to focus on its core business of engineering contracting. The sale will include interests it holds in real estate, copper and zinc, and a management firm. Metallurgical Corp reported a 19 percent drop in revenue in the first three quarters of the year to 335 billion yuan.

Intsig, Amazon Web Launch AI-Powered Medical Assistant

STAR-listed Intsig, a Shanghai-based AI firm, announced plans to partner with Amazon Web Services to launch a generative AI-powered assistant designed for the healthcare and life sciences sector. Equipped with professional content creation and verification capabilities, the solution supports medical teams throughout the pharmaceutical research and development process. It has already been integrated into the AWS Medical Deep Insight platform, which leverages AI to extract, translate and verify complex medical content.

Unmanned Cargo Plane Rolls Off Production Line

The Sunny-T2000, a two-ton, unmanned cargo plane developed by Sunny Aeronautics and Space Adventure Co, has rolled off the production line. The aircraft is equipped with a 15-cubic-meter cargo hold and can be used to transport emergency supplies, industrial parts and agricultural products, according to Shenyang-based Sunny Aeronautics. Fully loaded, it has a range of more than 1,000 kilometers and can land on an 800-meter runway.