Daily Buzz: 30 October 2025

Xi, Trump Meet Today Amid Hopes of Eased Tensions

Chinese President Xi Jinping is meeting US President Donald Trump in the South Korean city of Busan, a widely watched, high-stakes encounter that could shape the next stage of bilateral ties and other trade around the world. Their meeting, the first since Trump's first term in 2019, is scheduled to start at 11am, Korea time. "The two heads of state will have in-depth communications on strategic and long-term issues," Chinese ministry spokesman Guo Jiakun said, confirming the meeting without giving any details. Tensions between the world's largest economy have flared this year amid an escalation of tariffs and trade barriers.

Trump told reporters on Wednesday that he expects to lower the 20 percent US tariff on China related to fentanyl and to discuss "farmers" – a reference to US soybean purchases boycotted by China this year. Trump said the talks will also involve Nvidia's GB200 Grace Blackwell Superchip, which the US currently bans from export to China. US Treasury Secretary Scott Bessent earlier said the talks would also cover the future ownership structure of Chinese video platform TikTok in the US.

Nvidia Becomes First US$5 Trillion Company Amid AI Boom

AI chip giant Nvidia on Wednesday became the first company ever to hit a market capitalization of US$5 trillion, just four months after it breezed past a valuation of US$4 trillion. The company's shares closed up 3 percent at US$207.04 in New York, continuing a surge fueled by an insatiable global demand for its AI accelerator chips. The milestone came after Chief Executive Jensen Huang, delivering the keynote address at a developers' conference in Washington, unveiled new AI products and announced deals that include a US$1 billion investment in Nokia.

China's Retail Bank Bellwether Post Slight Profit Growth

China Merchants Bank, widely regarded as the most successful retail bank in China and a key gauge of the health of the nation's consumer market, reported net profit for third quarter rose 0.5 percent from a year earlier to 1.5 billion yuan (US$211 million) despite a 0.5 percent decline in operating income to 81.4 billion yuan. For the first nine months of the year, operating income fell 0.5 percent to 251.3 billion yuan and net income edged up 0.5 percent to 113.8 billion yuan. The bank cited particularly robust credit card business. Net interest income in the January-September period rose 1.7 percent, with a net interest margin of 1.87 percent. The non-performing loan ratio stood at 0.94 percent. The bank reported assets of 12.6 trillion yuan at the end of the period.

Dutch Centrists Head to Victory

The centrist D66 party was on course to win most votes in a Dutch national election, defeating the far right and opening the path for its leader Rob Jetten, 38, to become the Netherlands' youngest and first openly gay prime minister. Exit polls projected D66 would end the brief dominance of Geert Wilders' anti-immigration, anti-Muslim Freedom Party in Dutch politics. The election was seen as a test of emerging far-right politics in Europe.

Top Business

ZTE Profit Plunges in 3Q

Shenzhen-listed ZTE, China's biggest public telecom equipment maker, said third-quarter profit plunged 88 percent from a year earlier to 264 million yuan (US$37 million), citing cost overruns. Revenue rose 5 percent to 29 billion yuan. For the first nine months of the year, profit fell 33 percent while revenue rose 11.6 percent, continuing the company's "revenue growth without profit growth" trend. Spending on research and development in the January-September period increased 18 percent to 17.81 billion yuan. Operating rose 30 percent, while net operating cash flow tumbled 78 percent.

Starbucks China Sales Edge Up

Starbucks said sales in China, its second largest marker, grew 2 percent in the company's fiscal fourth quarter ended September 30, helping offset flat growth in the US. It its first quarterly global growth in 18 months, the coffee chain reported a 1 percent rise in worldwide sales, revenue of US$96 billion, a decrease in per-share earnings and the closure of 627 outlets, amid soaring coffee bean prices. Starbucks has lowered prices for non-coffee products in China and has been trying to offer more local flavors. The company is nearing the sale of a majority stake in its China business, where market share has decreased on competition from lower-cost domestic coffee chains.

China Launches US$7.2 Billion Fund to Drive Technology

China officially launched a 51 billion yuan (US$7.2 billion) state-backed fund dedicated to accelerating the development of cutting-edge technologies, including artificial intelligence, aerospace, high-end equipment, quantum computing, green energy and advanced manufacturing. The fund will be managed by China Reform Holdings (China Guoxin).

China Unveils Plan to Upgrade Urban Commerce

China's commerce ministry and four other government departments issued a plan for deeper integration of technologies, including artificial intelligence, Internet of Things, cloud computing and block chain, with urban commerce. To stimulate domestic demand through digital transformation, the plan will expand data platforms to better track consumer spending trends and promote "smart commerce" models like intelligent navigation, precision marketing, cloud shopping and immersive retail experiences.

Economy & Markets

Shanghai Index Closes Above 4,000

China's benchmark Shanghai Composite Index closed above the 4,000-point mark for the first time in a decade on Wednesday, signaling sustained investor confidence. The index rose 0.7 percent to 4,016.33, while the Shenzhen Component climbed 1.95 percent and the ChiNext surged 2.93 percent. Gains were led by Hainan-related and non-ferrous metal stocks, while energy storage shares also advanced. In contrast, banking and consumer sectors weakened, with liquor makers leading declines. More than 2,600 stocks posted gains across Chinese exchanges.

Fed Lowers Rate, Casts Doubt on Future Cuts

The US Federal Reserve approved a second consecutive rate cut, though Fed Chairman Jerome Powell cast doubt on the likelihood of another reduction this year, citing uncertainty amid a government shutdown that has limited the release of vital economic data. The Fed lowered its

benchmark overnight borrowing rate to a range of 3.75 percent-4 percent and announced it will restart limited purchases of Treasury securities to boost liquidity. The Fed caution reversed a rally on Wall Street, with the Dow Jones closing down 0.2 percent.

E-Yuan Payments Rising

The People's Bank of China said digital yuan transactions as of September 30 totaled 14.2 trillion yuan (US$2 trillion), with 3.3 billion payments processed. China's e-yuan pilot project now covers 26 localities in 17 provincial-level regions. The central bank has established a digital yuan international operations center in Shanghai to oversee cross-border use of the currency and a center in Beijing to oversee broader development and application of the e-yuan.

American Sentiment on China Turns Positive

More than half of Americans in a survey taken by the Chicago Council on Global Affairs were opposed to higher US tariffs on Chinese imports and said the US should maintain "friendly" cooperation and engagement with China. With 53 percent of respondents favoring better relations, it was the first time since 2019 that majority sentiment swung toward China.

US Tightens Controls on Chinese Telecom Imports

The US Federal Communications Commission tightened its rules on the importation, marketing and sales of Chinese telecom equipment in the US, the South China Morning Post reported. The commission voted to block new approvals for imports of devices that contain parts from companies on its blacklist, citing national security concerns. The decision affects devices made by Chinese companies like Huawei Technologies, ZTE and Hikvision.

Corporate

Kweichow Moutai Profit Rises

Kweichow Moutai, China's biggest premium liquor maker, said net profit in the third quarter rose 0.5 percent from a year earlier to 19.2 billion yuan (US$2.7 billion) on a 0.6 percent rise in revenue to 39.1 billion yuan. Nine-month profit increased 6 percent to 64.6 billion yuan and revenue was up 6 percent to 128.5 billion yuan.

MiniMax Unveils AI Model

Shanghai-based MiniMax, a leading Chinese artificial intelligence start-up, released the M2 AI model, which placed among the top five open models on the Artificial Analysis intelligence index, along with GPT-5, Claude and Grok. It's another "low-cost, high-intelligence" product akin to

DeepSeek in the accelerating Chinese race for AI efficiency.

CIIC Triples Profit

China International Capital (CICC), a multinational investment management and financial services company, said net profit in the third quarter more than tripled to 2.2 billion yuan (US$310 million) on an increase in fees and commissions. Revenue surged 75 percent to 7.9 billion yuan.

Xmov Lowers Barrier for 3D Avatar Creation

Shanghai-based Xmov, a startup in large-scale 3D avatar modeling and production, has unveiled its new AI-driven 3D avatar platform Xingyun, lowering the entry barrier for avatar creation by making the sophisticated technology accessible to a far wider audience. The technology can be widely used in finance, education and e-commerce sectors. The cloud-based Xingyun platform removes the need for expensive, high-end hardware, providing users with low-cost tools for creating avatars complete with natural language, emotional expression and realistic motion.

Midea Posts Profit Increase on Business Diversification

Shenzhen-listed Midea Group, a home appliance conglomerate, posted growth in both revenue and net profit in the third quarter, propelled by its emerging business sectors. Net profit hit 11.87 billion yuan (US$1.65 billion), up 9 percent from a year earlier, on a 10 percent gain in revenue to 112 billion yuan. Midea attributed the results to successful diversification beyond traditional appliances into a more comprehensive technology group.

Huawei's Smart Campus Showcase

Huawei has partnered with the Shanghai Architectural Design and Research Institute to renovate the institute's 70-year-old headquarters into a campus highlighting smart technologies. The revamped Shanghai Design Building will serve as a demonstration site for smart architecture and intelligence upgrades, with technologies like Huawei's cutting-edge solutions such as Wi-Fi 7 and HarmonyOS system. Huawei aims to expand the intelligent space solution to numerous sectors, including manufacturing, industrial parks, universities and hotels.