Latest news with #ChinaUS
Bloomberg
04-07-2025
- Business
- Bloomberg
China Says Carrying Out US Trade Framework, Rejects ‘Coercion'
China is reviewing export license applications for restricted items as part of efforts to implement its trade framework with the US, the Commerce Ministry said Friday, responding to recent US moves to ease export controls. Both countries have been acting on the outcomes of the London framework, the ministry said in a statement.
The Verge
27-06-2025
- Business
- The Verge
China signs onto rare earth export deal with US.
China signs onto rare earth export deal with US. On Friday, China's Commerce Ministry said on state media that it will 'review and approve eligible export applications for controlled items in accordance with the law' in response to a question about rare earth materials.
Forbes
27-06-2025
- Business
- Forbes
China Market Update: Xiaomi Roars Silently, Trade Deal Details Needed, Week In Review
CLN Asian equities ended a positive week mixed, as Japan outperformed, while Indonesia and Malaysia were closed for the Islamic New Year, which is also known as Hijri New Year, marking the start of the Islamic calendar. Yesterday, we wrote about Harvard's Graham Allison stating at the Summer Davos that the US and China would announce a trade deal next week. Commerce Secretary Lutnick confirmed that such a deal had been signed after the US markets' close. China's Ministry of Commerce (MoC) confirmed the deal at a 3 pm press conference. When a Reuters reporter asked about China releasing rare earths, the answer was 'China will approve the export applications of qualified controlled items'. A lack of details on the new agreement, combined with strong performance from earlier this week, explains the lackluster returns in Asia overnight. Investors probably need to hear more, though the Wall Street Journal correctly notes the recent regulation of two fentanyl precursors following a meeting with US Ambassador Perdue. One negative weighing on markets was May's industrial profits, which declined 9.1% year-over-year (YoY) from April's 3.0%. This brings the year-to-date (YTD) change in industrial profits to -1.1% from April's YTD increase of 1.4%. The main culprit appears to be the high bar presented by the YoY comparison, as industrial profits, sales, and receivables all increased on a month-over-month basis. National Bureau of Statistics (NBS) statistician Yu Weining stated that 'short-term factors such as investment income had a high base in the same period last year', as 'multiple factors such as insufficient effective demand, falling industrial product prices, and short-term fluctuations' influenced the readings. Xiaomi was Hong Kong's most heavily traded stock by value, gaining +3.6% on a massive volume worth HKD 28.7 billion (481 million shares traded) versus 126 million shares traded yesterday. The company received 289,000 orders for its new YU7 SUV, which will cost RMB 253,000 ($35,366). Guotai Junan International shares fell -14.69%, though they remain well above Tuesday's close, which was before their cryptocurrency trading approval in Hong Kong and subsequent surge. Markets in Hong Kong and Mainland China were weighed down by the poor performance of subsectors that are large index weights, including large banks, insurance companies, liquor, oil & gas, and telecom. The underlying stocks are mainly listed on the Shanghai Stock Exchange, representing a 0.70% weight, which explains its underperformance versus the Shenzhen Component Index, which gained +0.34%. Technology hardware, arguably a beneficiary of better US-China trade talks, mining, precious, and base metals all had good sessions. A non-factor in last night's performance was the Monetary Policy Committee Q2 press release from the People's Bank of China (PBOC), China's central bank, following their June 23rd meeting. The release acknowledges that the 'current external environment is more complex and severe, the momentum of world economic growth is weakened, and trade barriers have been increased'. However, 'China's economy is showing a positive trend, social confidence continues to be boosted, and high-quality development has been steadily promoted.' Because the economy '…still faces difficulties and challenges such as insufficient domestic demand…', the PBOC will 'implement a moderate loose monetary policy, strengthen countercyclical regulation, better play the dual functions of the total amount and structure of monetary policy tools, increase the coordination between monetary and fiscal policies, and maintain stable economic growth and reasonable prices.' Premier Li and the State Council met to discuss plans on implementing the 'National Science and Technology Conference and accelerating the construction of a strong science and technology country'. The release highlighted policies on how to 'accelerate the high-level self-reliance in science and technology'. Hopefully, we will see a bigger market reaction as the trade deal details are released. MSCI China's earnings per share (EPS) growth estimate for the next year is 7.44% (S&P 500's 6.32%, Euro Stoxx's is 2.77%). The problem with buying the broad benchmark is that not all sectors are growing that fast. For instance, MSCI China's Financial Sector, which makes up about 18% of the index, has an EPS growth estimate for the next year of only 0.99%. On the other hand, MSCI China's Technology Sector has an EPS growth estimate for the next year of 55%! Draw your own conclusion, though I think you can guess where my chips are placed! In preparing to speak to a foreign institutional investor, I realized that one of the largest companies in that country is a commodity producer that generates 50% of its revenue in China. In March, Brazilian mining giant Vale's CEO, Gustavo Pimenta, stated, 'The tone has changed a lot. Economic activity has reacted. There has been a lot of stimulus for consumption, heated manufacturing, and consistent investment in infrastructure.' Sounds positive to me! Live Webinar Join us Thursday, July 10, at 11 am EDT for: $5 Trillion Humanoid Robotics Opportunity – Capitalizing On The Boom Please click here to register New Content Read our latest article: KraneShares KOID ETF: Humanoid Robot Rings Nasdaq Opening Bell Please click here to read Chart1 Chart2 Chart3 Chart4 Chart5 Chart6
CTV News
27-06-2025
- Business
- CTV News
U.S. says deal with Beijing will expedite rare earth exports from China
President Donald Trump speaks at an event to promote his domestic policy and budget agenda in the East Room of the White House, Thursday, June 26, 2025, in Washington. (AP Photo/Jose Luis Magana) WASHINGTON — The United States has reached an agreement with China on how to expedite rare earth shipments to the U.S., a White House official said on Thursday, amid efforts to end a trade war between the world's biggest economies. U.S. President Donald Trump earlier said the United States had signed a deal with China on Wednesday, without providing additional details, and that there might be a separate deal coming up that would 'open up' India. During U.S.-China trade talks in May in Geneva, Beijing committed to removing non-tariff countermeasures imposed against the United States since April 2, although it was unclear how some of those measures would be walked back. As part of its retaliation against new U.S. tariffs, China suspended exports of a wide range of critical minerals and magnets, upending the supply chains central to automakers, aerospace manufacturers, semiconductor companies and military contractors around the world. 'The administration and China agreed to an additional understanding for a framework to implement the Geneva agreement,' a White House official said on Thursday. The understanding is 'about how we can implement expediting rare earths shipments to the U.S. again,' the official said. A separate administration official said the U.S.-China agreement took place earlier this week. U.S. Commerce Secretary Howard Lutnick was quoted as saying by Bloomberg: 'They're going to deliver rare earths to us' and once they do that 'we'll take down our countermeasures.' On Friday, China's commerce ministry said the two countries recently confirmed details on the framework of implementing the Geneva trade talks consensus. It said China will approve export applications of controlled items in accordance with the law. It did not mention rare earths. While the agreement shows potential progress following months of trade uncertainty and disruption since Trump took office in January, it also underscores the long road ahead to a final, definitive trade deal between the two economic rivals. China has been taking its dual-use restrictions on rare earths 'very seriously' and has been vetting buyers to ensure that materials are not diverted to U.S. military uses, according to an industry source. This has slowed down the licensing process. The Geneva deal had faltered over China's curbs on critical minerals exports, prompting the Trump administration to respond with export controls of its own preventing shipments of semiconductor design software, aircraft and other goods to China. In early June, Reuters reported China had granted temporary export licenses to rare-earth suppliers of the top three U.S. automakers, according to two sources familiar with the matter, as supply chain disruptions began to surface from export curbs on those materials. Later in the month, Trump said there was a deal with China in which Beijing would supply magnets and rare earth minerals while the U.S. would allow Chinese students in its colleges and universities. (Reporting by Nandita Bose and David Lawder; Additional reporting by Steve Holland, Ryan Patrick Jones and Kanishka Singh, Joe Cash in Beijing; writing by Costas Pitas; Editing by Lincoln Feast and Christopher Cushing)
CTV News
27-06-2025
- Business
- CTV News
Global shares are mostly higher after U.S. stocks rise to the brink of a record
A dealer walks past near screens showing the Korea Composite Stock Price Index, left, and the foreign exchange rate between U.S. dollar and South Korean won at a dealing room of Hana Bank in Seoul, South Korea, Friday, June 27, 2025. (AP Photo/Lee Jin-man) MANILA, Philippines — Global shares were mostly higher on Friday as the week was winding down with the Israel-Iran ceasefire still in place and signs of progress on a China-U.S. trade deal. Investors were watching for further details after U.S. President Donald Trump said the U.S. and China had signed a trade deal. Commerce Secretary Howard Lutnick said in an interview on Bloomberg TV that the deal was signed two days ago, but did not elaborate, saying 'The president likes to close these deals himself.' China's Commerce Ministry said Friday that the two sides had 'further confirmed the details of the framework' for their trade talks. But its statement did not explicit mention an agreement to ensure U.S. access to rare earths, materials used in high-tech applications that have been at the centre of negotiations. 'China will approve the export applications of controlled items that meet the conditions in accordance with the law. The United States will cancel a series of restrictive measures taken against China accordingly. It is hoped that the United States and China will meet each other halfway,' the ministry said in a statement. In early European trading, Germany's DAX added 0.8% to 23,847.16. In Paris, the CAC 40 surged 1.3% to 7,656.55. Britain's FTSE 100 gained 0.5% to 8,779.78. The futures for the S&P 500 and the Dow Jones Industrial Average were up 0.2%. Markets have settled somewhat after the upheavals of the Israel-Iran war and its aftermath. Worries about Trump's higher tariffs have receded since the president shocked the world in April with stiff proposed levies, but they have not disappeared. The wait is still on to see how big the tariffs will ultimately be, how much they will hurt the economy and how much they will push up inflation. Hong Kong's Hang Seng index lost 0.2% to 24,284.15, while the Shanghai Composite index gave up 0.7% to 3,424.23 after China reported that industrial profits slid 9.1% in May, the sharpest drop since last October. 'Beijing may have paused the worst of the trade fight with Washington, but the tariff scars are showing—and unless demand picks up or pricing stabilizes, the pressure on margins and business sentiment will linger,' Stephen Innes, Managing Partner at SPI Asset Management, said in a commentary. Tokyo's Nikkei 225 index gained 1.4% to 40,150.79, as the government reported that consumer prices eased slightly in May. South Korea's KOSPI Composite Index fell 0.8% to 3,055.94, while Australia's S&P/ASX 200 shed 0.4% at 8,514.20. On Thursday, the S&P 500 climbed 0.8% and at 6,141.02 was sitting just 0.05% below its all-time closing high set in February. The index at the heart of many 401(k) accounts had dropped roughly 20% below its record during the spring on worries about Trump's tariffs. The Dow Jones Industrial Average rallied 0.9% and the Nasdaq composite gained 1%. Reports on Thursday added to evidence the U.S. economy is holding up despite higher tariffs and other challenges, though it has slowed. Orders for washing machines and other manufactured goods that last at least three years grew by more last month than economists expected. Another report said fewer U.S. workers filed for unemployment benefits last week, a potential signal of fewer layoffs. A third report said the U.S. economy shrank by more during the first three months of 2025 than earlier estimated. But many economists say those numbers were distorted by a surge in imports as companies tried to get ahead of tariffs. They're expecting a better performance in upcoming months. In other dealings on Friday, the U.S. benchmark crude gained 46 cents to US$65.70 per barrel. Brent crude, the international standard, added 41 cents to $67.10 per barrel. The U.S. dollar fell to 144.37 Japanese yen from 144.40 yen. The euro edged higher to $1.1710 from $1.1703. Teresa Cerojano, The Associated Press
