Daily Buzz:12 December 2025

IMF Upgrades China Growth Forecast, Urges Less Focus on Exports

The International Monetary Fund upgraded its growth forecast for China this year to 5 percent, on par with the government's target, and its estimate for next year to 4.5 percent. The fund's managing director said China needs to "accelerate" its shift from exports to domestic consumption as an engine of growth. Speaking in Beijing, Kristalina Georgieva said too much reliance on exports risks retaliation from countries that suffer big trade deficits with China, which has amassed a US$1 trillion trade surplus so far this year. She also said the IMF estimates that China would have to spend about 5 percent of its gross domestic product over the next years to resolve the four-year slump in its property sector, suggesting that "zombie firms" in the industry be allowed to fail.

The Chinese government this year has adopted an array of policies to boost domestic consumer spending and home sales. In a readout from Xinhua news agency, Chinese leaders attending the annual Central Economic Work Conference in Beijing this week pledged to stimulate consumption in the 15th Five-Year Plan (2026-30).

US Sanctions More 'Black Market' Oil Tankers

The US imposed sanctions on six more "black market" tankers carrying Venezuelan oil after seizing a tanker off the coast of Venezuela this week. The White House said the seized tanker will be taken to a US port and its oil confiscated. The US said the ship, sailing under the flag of Guyana, carries oil from Venezuela and Iran and was first placed under sanctions in 2020 for participating in an international oil smuggling network. Venezuela President Nicolás Maduro, whom the US is trying to oust, accused Washington of international piracy.

Ukraine Offers Revised Peace Plan to US

Ukraine delivered a revised plan to end the war with Russia in response to Washington's latest draft peace proposal. The revision reportedly addresses a US proposal to create a buffer "free economic zone" in areas of the eastern region of Donbas still controlled by Kiev, where both Ukrainian and Russian troops would be barred. Details about the parameters of the zone, who would control it and what guarantees would be in place to ensure that Russian troops don't take it over if Ukrainian troops withdraw are yet to be worked out. Russia has demanded Ukraine cede territory Moscow controls or is fighting to take over as its price for peace. Ukraine is under pressure from Washington to cede territory to Russia as US President Donald Trump pushes for a speedy peace deal.

Venezuelan Nobel Peace Prize Winner Makes Covert Trip to Oslo

Nobel Peace Prize winner María Corina Machado traveled to Oslo secretly from hiding in Venezuela to receive her gold medallion in person, arriving to cheering crowds in Norway. The journey came despite the Venezuelan government's warning she would be branded a fugitive if she left the country. The Venezuela opposition leader told the BBC she knows "exactly the risks" she took by ignoring a government ban on her travel and making her first public appearance since winning the 2025 award.

Top Business

JD.com Unit Makes Tepid Trading Debut

Shares in Jingdong Industrials, the supply-chain arm of Chinese e-commerce giant JD.com, closed flat after dropping 7.8 percent from their offer price at the start of trading in their Hong Kong debut on Thursday. The company raised HK$2.98 billion (US$383 million) in an initial public offering that was oversubscribed 60 times. Also known as JD Industrials, the company operates an online platform that supplies tools, components and maintenance services to factories and other industrial clients, the South China Morning Post reported. The lackluster debut was in stark contrast to other mainland companies – including Contemporary Amperex Technology (CATL), Zijin Gold International, Deepexi Technology and Bama Tea – that racked up big gains on their first days of trading this year.

Oracle AI Spending Plan Unsettles Investors

US technology giant Oracle has touched off a new wave of concerns that investment in AI companies is running too far ahead of the technology's short-term returns. The company reported disappointing quarterly revenue on Wednesday but said capital spending on artificial intelligence will be US$15 billion higher than the earlier announced US$35 billion. The combination of factors fueled concerns that huge outlays on AI by the tech industry aren't showing up on the bottom line. Oracle has grand plans to build AI cloud data centers; how it will raise the money for that infrastructure is uncertain. Oracle shares dropped about 10 percent each of the last two trading days on New York's tech-heavy Nasdaq index. The Nasdaq fell 0.3 percent on Thursday as investors fled AI companies to the broader market, sending the Dow Jones Average to a record high.

'Wowing and Worrying:' Time Names 'Person of the Year'

Time magazine named the architects of artificial intelligence as its annual "Person of the Year," saying their research is transforming daily life. Time Editor Sam Jacobs described AI architects as "wowing and worrying humanity." The designation doesn't name names but its accompanying article includes interviews with Nvidia Chief Executive Jensen Huang, whose chips are powering the AI boom, and big AI investors such as SoftBank's Masayoshi Son. Last year, the magazine named Donald Trump as "Person of the Year."

Economy & Markets

China Rebukes New Mexican Import Tariffs

China's commerce ministry said new Mexican tariffs of up to 50 percent on more than 1,400 imports will "substantially harm the interests of trading partners, including China." The tariffs, approved by Mexico's legislature this week, are needed to boost domestic production, Mexican President Claudia Sheinbaum said. The duties affect metals, cars, clothing and appliances. Other counties with no free trade agreement with Mexico, including Thailand, Indonesia and India, are also affected. Mexico, which is negotiating a trade deal with the US, has been under pressure from Washington to tighten restrictions on trade with China related to low-cost products that find their way into US markets.

China's Mobile Phone Shipments Increase

Mobile phone shipments in China in October jumped 8.7 percent to 32.3 million units from a year earlier, taking deliveries in the first 10 months to 252 million, according to a scientific research institute directly under the Ministry of Industry and Information Technology. About 90 percent of phone shipments in October were 5G mobiles. In the two weeks ended December 7, domestic phone maker Huawei surpassed Apple to top China's handset market, according to digital marketing agency BCI. Xiaomi, Vivo and Oppo were also in the top five.

HK Lowers Interest Rate, Banks Leave Theirs Unchanged

The Hong Kong Monetary Authority, as expected, cut its base rate by a quarter point to 4 percent, matching this week's US Federal Reserve rate cut. Hong Kong's official rate moves in lockstep with that of the US because the Hong Kong dollar is linked to the US dollar. However, lenders HSBC, Standard Chartered and Bank of China (Hong Kong) kept their prime lending and savings rates unchanged.

Japan Bond Auction Draws Biggest Demand in 5 Years

Japanese bond prices gained after an auction of 20-year bonds was greeted with the strongest demand in five years following the recent surge in yields, Bloomberg News reported. The bid-to-cover ratio at Thursday's sale rose to 4.2 from 3.28 last month. The yield on the 20-year bond fell 0.45 of a percentage point to 2.9 percent.

Mainland-Listed Companies Deliver Big Dividends

Mainland listed companies are expected to pay out annual dividends exceeding 2.6 trillion yuan (US$368 billion) for the first time, with 3,762 companies already having declared 2.5 trillion yuan in dividends so far, Securities Times reported. Securities regulators have been encouraging more listed companies to share profits with shareholders.

Sulfur Prices Surge to a Record

Sulfur prices in China have surged more than 320 percent from last year's lows, breaking through 4,000 yuan per ton to a record high at major ports, including Zhenjiang, according to market data from OilChem. Analysts attribute the surge largely to tight global supply. The main industrial source of sulfur is petroleum and natural gas. Output from high-sulfur crude producers in the Middle East has been affected by OPEC pauses in oil production increases and Western sanctions curbing Iranian supplies. The price spike is rippling through downstream industries, such as fertilizers, titanium dioxide and battery materials, raising production costs and pressuring margins.

Corporate

Cornex, Other Battery-Storage Makers Warn of Weaker Demand

Xiaogan-based battery maker Cornex New Energy said it expects global shipments of energy-storage batteries to grow 30-40 percent in 2026, short of earlier industry estimates putting growth at 80 percent. Industry executives participating in a conference echoed the Cornex outlook, noting that rising raw material prices and weaker growth in solar energy installations will affect electricity-storage demand and manufacturers should be cautious about expanding capacity.

JD Buys Half Stake in Hong Kong Tower

JD.com will spend HK$3.5 billion (US$450 million) to buy a half stake in China Construction Bank Tower in Hong Kong from the Lai Sun Group. The 27-story tower, located in Hong Kong's central business district, opened in 2014. JD will own exclusive rights to 12 floors, including the first-floor lobby.

Pop Mart Names LVMH Executive to Board

Pop Mart has appointed Wu Yue, longtime president of LVMH China, as a non-executive director in a major board reshuffle aimed at strengthening its position amid mounting market pressures. Wu, 69, replaces He Yu, a partner at Black Ant Capital, who resigned due to "other work arrangements." The appointment comes as Pop Mart faces growing concerns over slowing sales momentum. The company's share price has fallen over 40 percent from its record high in August amid an oversupply of its popular Labubu dolls and concerns that the frenzied trend to buy them is on the wane.

Tianyouwei Electronics to Take Over German Company

Tianyouwei Electronics, a Chinese maker of automotive instruments, announced it will acquire insolvent German auto parts supplier Krämer Automotive Systems for 1 million euros (US$1.2 million). The takeover will not affect operations or personnel at Krämer, the company said.

Krämer makes in-vehicle infotainment systems, digital cockpits and connected car solutions, with Porsche, Land Rover and Jaguar among its clients.