Daily Buzz: 24 April 2025
Top News
Cars of tomorrow
Auto Shanghai 2025, one of the global automotive industry's premier calendar events, opened on Wednesday with attention focused on electric vehicle technologies and safety features.
About 70 major automakers displayed 100 new models. Among the highlights, domestic electric-car manufacturer BYD unveiled its new luxury sportscar Z, signaling that the company, which has already usurped Tesla in the domestic market, now has Porsche and Mercedes-Benz in its sights. Toyota and BMW launched models tailored to the mainland auto market, the world's largest. Exhibitions of supply-chain companies increased in number, with some attending for the first time.
Noticeably absent was Xiaomi founder and CEO Lei Jun, who normally courts media attention. A company spokesman denied there is any delay to the launch of its much-awaited electric SUV YU7, due to come to market in June or July.
The 25 percent car import tariffs imposed by the US dominated discussions on the sidelines of the show. The Financial Times reported that President Donald Trump is considering reducing tariffs on China-made auto parts.
Tariff reprimand
China rebuked US "pressure tactics" in the tariff war and urged negotiations based on "equality and mutual respect." The remarks from China Foreign Ministry spokesperson Guo Jiakun came a day after President Donald Trump said trade talks with China would "substantially" reduce tariffs, now at 145 percent, on Chinese goods. The White House, Guo said, "claims it wants to reach an agreement with China while constantly applying maximum pressure. It is not the right way to engage with China." No talks between the world's two largest economies have been scheduled. President Xi Jinping, speaking alongside visiting Azerbaijani President Ilham Aliyev on Wednesday, said tariff wars damage the global trading system and destabilize the world economy.
Top Business
EU levies hefty fines on Apple, Meta
The European Union levied fines totaling the equivalent of US$800 million against US tech giants Apple and Meta for violating regulations on digital competition.
Apple was fined 500 million euros (US$567 million) in relation to operation of its App Store on the continent; Meta drew a fine of 200 million euros for lack of user choice in consenting to data collection.
In response, Apple accused the EU of targeting it unfairly, and Meta said the fines were an effort to hamstring successful US businesses.
Economy
Shanghai posts 5.1 percent growth
Shanghai's economy grew 5.1 percent in the first quarter of 2025, up 0.1 point from a year earlier. Growth was led by strength in emerging industries such as integrated circuits, artificial intelligence and biomedicine, the government announced on Wednesday.
City exports registered a 12.6 percent gain, with private companies accounting for 45 percent of shipments overseas. Exports to India surged 55 percent from a year earlier, while shipments to Southeast Asia rose 25 percent. In the property sector, newly built commercial housing rose almost 11 percent. Urban disposable income was up 4.5 percent. Shanghai reported 1.7 million inbound tourists in the first quarter, a gain of 37 percent.
China issues special treasury bonds
China today will issue the first batch of a 1.3 trillion yuan (US$178.39 billion) series of long-dated treasury bonds to bolster domestic demand and stimulate consumer spending.
The Ministry of Finance said the special series bonds will be issued from April to October. Today's offering includes 20-year and 30-year bonds, with 50-year bonds to debut on May 23.
Revenue from the bonds will be used to fund national strategic projects, strengthen infrastructure and support subsidies encouraging people to replace older consumer goods with newer models.
Corporate
Intel layoffs
US-based technology giant Intel will slash over 20 percent of its workforce in a sweeping overhaul under new Chief Executive Lip-Bu Tan to streamline operations and restore the company's engineering edge, Bloomberg News and Reuters reported. The layoffs, expected to begin this week, target middle management and what Tan has called "bureaucratic inefficiencies." The restructuring follows years of corporate underperformance and is part of a broader shift in the company's chip manufacturing and artificial intelligence strategy.
Hynix beats forecasts
South Korean chipmaker Hynix beat analysts' forecasts in its first-quarter report, with revenue rising 42 percent from a year earlier to 17.6 trillion won (US$12.4 billion) and operating profit soaring 158 percent to 7.4 trillion won. The company attributed the strong results to robust demand for its high bandwidth memory chips used in generative AI chipsets.
IBM earnings
US-based multinational IBM topped analysts' expectations with first-quarter earnings per share of US$1.60 on revenue of US$14.5 billion. Chief Financial Officer Jim Kavanaugh told analysts on a conference call that the company has made gains in accelerated productivity.
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