Hong Kong shares up greater than 1%
Cling Seng Tech ETF
China’s industrial income drop 0.3% at begin of the yr as tariff dangers loom
China’s industrial income fell 0.3% from a yr in the past within the first two months of 2025, official knowledge confirmed Thursday, because the financial system faces heightened world trade tensions.
Income at industrial companies have declined for 3 consecutive years, reinforcing requires policymakers to step up help for the faltering financial system.
U.S. President Donald Trump has imposed 20% further tariffs on Chinese language items in just a bit over two months in workplace. He introduced on Wednesday evening stateside auto tariffs of 25% on vehicles “not made within the U.S.,” beginning April 2.
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—Anniek Bao
Shares of Asia’s automakers fall as Trump pronounces 25% tariffs on automobile imports
Shares of Asia’s automakers fell after U.S. President Donald Trump introduced he’ll impose tariffs on vehicles not made within the nation.
Japanese automakers Toyota and Honda fell 3.69% and a pair of.91% respectively. Nissan, which has two vegetation in Mexico, declined 2.92%, and Mazda Motor misplaced over 6%. Mitsubishi Motor fell 4.9%.
South Korea’s Kia Motors, which has a manufacturing plant in Mexico, dipped 2.76%. Shares of Chinese language automakers Nio and Xpeng fell 3.94% and 1.97% respectively.
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—Lee Ying Shan
The route of common tariff charges is up, Barclays says
Whether or not President Trump will certainly soften his strategy to tariffs as he has lately recommended is unsure, however one factor that’s clear is that common tariff charges are rising, in response to Barclays.
“We predict the route of journey is evident: common tariff charges are growing, more likely to ranges not seen since earlier than World Struggle II,” the agency’s Michael McLean wrote Wednesday.
“On the finish of 2024, the US weighted common tariff price was 2.5%. After the tariffs that Trump has carried out to date, the typical tariff price has elevated greater than 3 occasions to over 8%,” he continued. “We assume as soon as Trump is completed, it could possibly be as excessive as 15%.”
— Sarah Min
UBS highlights 3 causes to favor U.S. AI firms over China’s
In a current observe, UBS shared three compelling the reason why traders ought to favor U.S. synthetic intelligence companies over these of China’s.
“A lingering sense of nervousness stays amongst AI traders, primarily centered on the priority that Chinese language AI builders and their low-cost fashions threaten to usurp US opponents with increased sunk funding prices,” wrote Mark Haefele, chief funding officer of UBS International Wealth Administration. “Whereas each america and China have made vital strides within the AI sector, CIO believes there are compelling causes to favor US AI firms over their Chinese language counterparts, particularly within the close to time period.”
Haefele mentioned outsized capital expenditures from U.S. companies ought to drive higher aggressive benefit.
“The upper capex depth within the US, outlined as capex spending divided by revenues, stands at 20% in 2025 in comparison with China’s 11.7%. This disparity highlights the US’s dedication to sustaining a technological edge, despite the fact that it could result in increased depreciation-related bills within the quick time period,” he wrote.
In the meantime, increased analysis and improvement spending from U.S. AI companies means they’re higher positioned to find “the following massive factor.” Lastly, Haefele underscored that U.S. companies have a “clear benefit” in increased monetization potential, suggesting that they’ve a greater likelihood of producing revenues and income.
— Lisa Kailai Han
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