Weekend Buzz: 8-9 November 2025

US Flight Cuts Cause Chaos in Air Transport

US airlines canceled or delayed more than 2,000 flights at 40 major airports on Friday as the Trump administration's order for a 10 percent reduction in flights began. The order started with a 4 percent reduction and will rachet up to 10 percent next week. The curtailment reflects safety concerns amid the ongoing government shutdown. Flight controllers haven't been paid since the start of October as Congressional action on the federal budget remains deadlocked over healthcare funding. Transportation Secretary Sean Duffy said flight reductions could go as high as 20 percent if the government closure, already the longest in history, drags on.

Separately, a widely watched index of US consumer sentiment sank to a three-and-a-half-year, near-record low amid disruptions caused by the shutdown, which include air travel, food benefit payments and other services. The University of Michigan survey showed higher-income households coping but low-income families struggling.

Nexperia Chip Gridlock Appears to Ease

Volkswagen, Europe's biggest carmaker, said it has received its first deliveries of chips from Chinese-owned semiconductor manufacturer Nexperia, following a geopolitical rupture that roiled automakers dependent on the chips. The resumption fanned hopes that the standoff between China and the Netherlands is easing. Dutch regulators seized control of Dutch-based Nexperia, owned by China's Wingtech, in late September as part of the long arm of the US-China trade war. China, in turn, blocked exports of chips from Nexperia's Chinese mainland factories, leading to a global shortage of the chips. A recent trade agreement between the US and China seems to be unlocking the standoff. Bloomberg News reported that the Dutch government is poised to drop its control of Nexperia if chip shipments return to normal.

One-Day Work Week? World Internet Conference Visions

Tech giants Alibaba and JD.com were among participants offering a glimpse into the cyberspace future as the 2025 World Internet Conference kicked off in the Zhejiang Province city of Wuzhen. JD Chairman Liu Qiangdong predicted robotic delivery systems could lead to some people working just one day a week, while Alibaba Chief Executive Eddie Wu championed the prospects of the "super AI cloud." Qi An Xin Technology, a domestic leader in cybersecurity, unveiled its new SD-Wan quantum security model. The event features an array of forums spanning all facets of the digital economy and artificial intelligence research.

Top Business

China's 3 Energy Giants Sign Multibillion-Dollar Deals

China's three biggest energy companies – China National Offshore Oil, China Petroleum & Chemical and China National Petroleum – said they have signed agreements valued at US$71 billion at the ongoing China International Import Expo in Shanghai. The agreements cover supplies of crude oil and natural gas, drilling-related equipment and technical services.

China Developers Advance Debt Restructuring

Two major Chinese property developers stung by the mainland's prolonged property slump reported progress on debt-restructuring plans. Tianjin-based property developer Sunac China Holdings said it received court approval for its US$9.6 billion offshore debt restructuring plan, a debt-to-equity arrangement involving the issue of mandatory convertible bonds. The Hong Kong-listed developer rose from a mid-size builder to one of the Top 10 in China between 2009-14, but defaulted on its debt in 2022.

Fosun-based developer Country Garden Holdings secured creditor approval for its offshore debt restructuring, which the company said will pare offshore liabilities by about 84 billion yuan (US$11.8 billion). The High Court in Hong Kong will hold a hearing on the plan next month. Country Garden, also listed in Hong Kong, said earlier this year that the plan involves about US$17.7 billion in outstanding debt and offers creditors several options, including cash payouts and full debt-to-equity conversion. The developer defaulted on offshore bonds in 2023.

Tesla's Musk Ponders New Giga-Chip Factory

Tesla Chief Executive Elon Musk said the company will need to build a "gigantic" facility to manufacture enough semiconductors to keep pace with its goals in developing artificial intelligence and robotics. Speaking at the company's annual meeting, where shareholders approved a new compensation package for Musk valued at up to US$1 trillion, the world's richest man said the issue weighing on his mind is "trying to figure out how do we make enough chips." Tesla now relies on contract chipmakers like Taiwan Semiconductor Manufacturing (TSMC) and South Korea's Samsung Electronics to produce its microchip designs. He said any proposed super-factory would need to scale up to a capacity of 1 million wafers starts, or about 29 percent below TSMC's current global capacity from multiple factories.

Economy & Markets

Chinese Smartphone Prices Rising

Chinese mobile phone makers are raising prices or promoting higher-end, pricier models because of increasing component costs, Yicai Global reported. Recent prices of mid-to-high end smartphones have edged up between 100 yuan (US$14) and 500 yuan in what is an intensely competitive market. Memory accounts for up to 20 percent of a phone's hardware cost, Wang Xudong, an analyst at research firm Sigmaintell, was quoted as saying. He said prices for memory components increased 30-40 percent in the third quarter. The firm is predicting prices will rise up to 15 percent further in the fourth quarter.

Separately, costs for new Apple iPhones and Macs may rise as chipmaking giant Taiwan Semiconductor Manufacturing (TSMC) prepares to raise prices for its most advanced chips, according to South Korea's Economic Daily. TSMC has reportedly informed key clients that it will increase prices for 2-nanometer and 3-nanometer chips by as much as 10 percent, ending its long-standing volume discounts for major buyers such as Apple. The change follows surging capital costs tied to developing next-generation semiconductor technology.

Chinese Exports Decline, Imports Edge Up

China's exports in October declined 1.1 percent from a year earlier, swinging from a rise of 8.3 percent in September. Imports rose 1 percent. Exports to the US tumbled 25 percent, reflecting tariffs on imports of Chinese goods. Shipments to the EU grew 0.9 percent and to Southeast Asia, 8.9 percent. The figures don't take into account the trade deal struck by Chinese President Xi Jinping and US President Donald Trump at a summit in late October that removed some tariffs and other trade barriers. The data may also reflect a slightly longer-than-usual National Day holiday in China in early October, which sidelined some business volumes.

Chinese Car Sales Skyrocket in the UK

Sales of Chinese cars in the UK in September more than tripled from a year earlier to 40,729, with models manufactured by BYD, Chery and SAIC-owned MG among the nation's top 10 sellers, according to the China Automobile Dealers Association. Chery's Jaecoo7 ranked fourth, BYD's Seal U was sixth and MG's HS placed eighth.

Separately, EU industry chief Stephane Sejourns said the economic bloc needs to defend its auto industry from Chinese competition, including a reassessment of its 2035 zero-emission target for cars and vans that encourage electric models, a segment dominated by Chinese vehicle makers. The EU is also poised to announce a new category of affordable small vehicles that would help continental manufacturers.

Deep Dive

AI Goes to the Masses as 'Flying Cars' Take Off

Global technology leaders are showcasing how artificial intelligence is moving beyond the lab and into daily life, making smart technology more accessible and affordable.

Corporate

Yum China Says It's Unaffected by Parent's Pizza Hut Reevaluation

Yum China Holdings said an evaluation by parent US-based Yum Brands of its Pizza Hut chain, including possible sale of the business, won't affect operations in China. Yum China, which has 50-year exclusive rights to operate Pizza Hut, KFC and Taco Bell on the Chinese mainland, was spun off from its parent and listed separately in New York in 2016. The Chinese operations reported a 4 percent rise in third-quarter revenue to US$3.2 billion, though profit slid 5 percent to US$282 million. The company added 536 outlets in the quarter, bringing the total to 17,500.

Shein Forecasts Doubled Profit Despite Headwinds

China online low-cost fashion retailer Shein is forecasting 2025 net income at US$2 billion, Bloomberg News reported. The e-commerce giant, now based in Singapore, said higher prices and cost-cutting have improved its profit margin. The company posted net income of US$1.1 billion in 2024. The company has been under pressure this year, from the US removal of duty-free entry for its direct-mail parcels to EU regulatory probes into its business practices. Shein opened its first physical outlet in a Paris shopping mall last week amid sidewalk protests and controversy over child-like sex dolls it was selling online but has since withdrawn.

Triangle Defense Signs Pact with Siemens Unit

Xi'an-based Triangle Defense, a supplier of special alloy forging equipment, said it has signed an agreement to provide components for a gas turbine project to Germany's Siemens Energy unit, making significant progress in its overseas expansion. The Shenzhen-listed company said the deal is part of its overseas expansion plans. Its major clients are Chinese manufacturers in aviation, aerospace and shipbuilding.

Ant Group Elevates Health into Core Business

Ant Group is upgrading its digital healthcare division into a standalone Health Business Group, elevating medical services on par with Alipay, Digital Payments, Wealth and Insurance, and Credit units. Chief Executive Han Xinyi said the move highlights rapid growth of its AI health assistant AQ, which has surpassed 10 million monthly active users since its June launch. Alipay's health business already covers insurance payments, digital hospital visits and AI-enabled consultations, reaching nearly 900 million users.