Top News
US lifts ban on chip software exports, ethane to China
The US rescinded restrictions on exports of chip design software to China and cleared the way for exports of ethane to proceed, according to exporters in both industries, who cited letters received from the government. Three of the world's dominant electronic design automation firms - California-based Synopsys and Cadence Design Systems, and Siemens-owned Mentor Graphics - said they are resuming shipment of products to China clients.
Among the ethane exporters receiving the go-ahead are Enterprise Products Partners and Energy Transfer. About half of all US exports of ethane go as petrochemical feedstock to China.
Separately, GE Aerospace has been told by US authorities that it can resume jet-engine shipments to China, according to Reuters.
The relaxation of restrictions comes after the US and China earlier reached agreement on removing some trade barriers, with China easing export controls on rare earth exports and the US stepping back from chip and ethane controls.
Trump celebrates legislative triumph
US President Donald Trump will celebrate the nation's birthday on July 4 by signing into law a sweeping spending and tax-cut bill that implements his major policy objectives. The legislation cleared Congress by the slimmest of margins. Among its provisions are extended tax cuts, money for mass immigrant deportations and a border wall with Mexico, boosted defense spending, cuts to health and food programs for the low-income, and removal of green energy incentives. The bill raises the US debt ceiling to US$5 trillion, with the legislation expected to add some US$3 trillion to the national debt over the next 10 years.
Top Business
China car sales accelerate
Sales of passenger vehicles in China, the world's biggest automotive market, surged 15 percent in June from a year earlier to 2 million vehicles, taking the first-half total to 10.8 million, according to the China Passenger Car Association. Electric and hybrid vehicles accounted for 53 percent of sales.
Welcome to Shanghai Legoland!
The world's biggest Legoland officially opens tomorrow in Shanghai amid interest in how the US$550 million theme park will fare in a more challenging environment, while the city welcomes surging number of foreign tourists. The park features eight themed sections, built largely with replicas of the popular Danish toy blocks. Legoland Shanghai is operated by a joint venture between London-based Merlin Entertainments and the local government of Shanghai's Jinshan District.
Nvidia near market milestone
US chip giant Nvidia closed at a record high on Thursday, putting it a step closer to becoming the most valuable company in market history. Its market capitalization at US$3.89 trillion is just fractionally lower than the US$3.91 trillion record set by Apple last year.
Economy & Markets
China IPO filings in June surpass 2024 total, investor numbers surge
The pipeline for initial share offerings on mainland markets swelled to 150 company applications in June, twice as many as for the whole of 2024. Ninety-two of the filings for IPOs were approved. Total IPO applications in the first half rose to 177, with the Beijing Stock Exchange receiving the most at 97.
Separately, China's A-share markets added 1.6 million new investor accounts in June, bringing the half-year total to 12.6 million. Analysts attributed the June uptick to improving market sentiment and strong returns. In June, average daily trading jumped 80 percent from a year earlier to 1.3 trillion yuan (US$181 billion).
Services activity clings to growth
Activity in China's services sector managed to stay in growth mode despite slowing in June, according to the latest survey of industry purchasing managers by Caixin/S&P Global. The June index fell to 50.6 from 51.1 in May. The 50-mark separates expansion from contraction. The Caixin index, which tends to highlight activity in the export sector, reflects slower new export orders under US import tariffs.
US employment strong, Trump harangues Fed
US nonfarm payrolls in June increased by a bigger-than-forecast 147,000 jobs, signaling strength in the economy and casting doubt on an interest rate cut when the Federal Reserve meets later this month. The yield on the 10-year Treasury bond rose 0.05 point to 4.346 percent and the S&P 500 stock index jumped 0.8 percent to a new record high.
President Donald Trump, who appointed Jerome Powell as head of the Fed in 2018 during his first term, called for the central bank chairman to resign "immediately." Powell has become a thorn in Trump's side by refusing to lower interest rates until the full effects of Trump tariffs on the US economy become clearer.
Hong Kong retail sales break 14-month decline
Hong Kong's retail sales rose 2.4 percent in May, rebounding from 14 months of declines It was the biggest monthly gain since December 2023.
Corporate
Xiaomi eyes overseas car markets, orders for new SUV pile up
China electric carmaker Xiaomi said it may consider selling vehicles outside of China, beginning in 2027, according to livestream comments by company head Lei Jun. Xiaomi's first car, the SU7, has outsold Tesla in China, and the company said pre-orders for its new YU7 SUV have reached 289,000, though buyers will have to wait up to a year for delivery.
Honor releases new foldable smartphone model
Chinese smartphone brand Honor unveiled its new foldable Magic V5, challenging Samsung with its slim design and enhanced battery. This comes as Honor, which has applied for an initial public offering in China, joins a wave of recent foldable launches from rivals Xiaomi and Vivo, intensifying competition in the high-end segment. All eyes are now on Apple, which reportedly is poised to debut its own foldable iPhone model.
Changan plans new plant in Europe
Chinese automaker Changan plans to open a factory in Europe to support sales on the continent but no site has been chosen, Reuters reported. Nic Thomas, Changan's European head of marketing, sales and service, said earlier this year that the carmaker plans to introduce its electric models into 10 European markets. Last year, Chongqing-based Changan was the world's 16th largest automaker with sales of just over 2.2 million vehicles.
Taobao Flash to splash cash
Taobao Flash Buy, the instant retail arm launched by Alibaba Group in May, will spend 50 billion yuan (US$7 billion) on consumer discounts and merchant subsidies over the next 12 months to boost its position in a highly competitive domestic market where Meituan and JD.com have already established strong beachheads. The flash-goods market focuses on delivery of online orders within 30 minutes.
ABB continues expansion in China with new robot releases
Swiss technology giant ABB unveiled three families of new robots at its manufacturing site in Shanghai. The new models address a wide range of automation needs in sectors such as electronics and consumer goods. China is the world's largest robotics market. From 2021-24, the mid-size robotics segment grew 24 percent a year.
Carrefour head urges EU to get tougher on low-cost packages
Alexandre Bompard, chief executive of Carrefour, Europe's largest food retailer, said the EU's imposition of a 2-euro (US$2.36) duty on low-value, e-commerce packages mailed to the bloc is "a joke" and urged it impose 100 percent tariffs like those adopted by the US. The actions are aimed at major online platforms like China's Shein and Temu, which took advantage of duty-free mailing to build their offshore businesses.
Yongmaotai expansion plans
Shanghai-based Yongmaotai Automotive Technology, a supplier of aluminum alloy car parts, said it plans to build a 450 million yuan (US$63 million) factory in Mexico, with construction expected to take two years. That follows an announcement in April of a new US$50 million plant in Indonesia to build turbocharger housing.
Ping An's medical AI products receive accolade
Ping An Healthcare and Technology, the HK-listed online healthcare platform, was cited among 2025's top innovators for two of its artificial-intelligence medical products by the China Academy of Information and Communications Technology. The prestigious acknowledgment highlights Ping An Healthcare's "closed-loop" service capabilities, which integrate data, AI and real-world healthcare needs.
Aramco partners with F1 to develop low-carbon fuels
Saudi oil giant Aramco announced a partnership with the Formula 1 racing circuit to develop lower-carbon fuels to help achieve the goal of all F1 cars running 100 percent on sustainable fuels by 2026.