Business News
Latest business news and updates
Total: 2071
Beijing Tightens Disclosure Rules for Private Funds, Bans Performance Forecasts and Return Guarantees
China’s securities regulator has issued new measures to tighten disclosure and curb misleading marketing by private funds, banning performance forecasts and guarantees of principal or minimum returns. The rules, effective September 1, 2026, strengthen custodial review, reporting obligations and enforcement powers, and are likely to raise compliance costs while improving investor protection and market credibility.
State-Backed Tech Shares: Ex-Top Economist Proposes National Accounts and a 10-Year Safety Net to Share China’s Innovation Dividend
Former Guangfa and Citi economist Shen Minggao has proposed state-facilitated tech-stock accounts for citizens — including newborn, working-age and pension-linked plans — backed by a ten-year minimum return guarantee of around 3% annualised. He argues the scheme would convert technological progress into household wealth, boost consumption and help China navigate a structural slowdown in nominal GDP. The proposal balances the aims of broadening ownership and financing tech growth but raises fiscal, governance and moral-hazard challenges that will determine its feasibility and market impact.
China’s A‑Shares End February Riding a Commodity Wave as Tech Lags
China’s A‑shares closed February with the Shanghai Composite achieving its third straight monthly gain, driven by strong flows into commodity‑linked sectors such as chemicals, nonferrous metals and rare earths. Heavy trading volumes and concentrated sector leadership highlight a liquidity‑fuelled, cyclical rally that leaves technology and growth names lagging.
China Tightens Rules on Food-Delivery Platforms to Root Out 'Ghost' Sellers and Boost Safety
China will require food-delivery platforms to verify merchant licences, perform on-site checks at least every six months, and publicly display qualification information as part of new rules effective June 1. The measures aim to eliminate unlicensed “ghost” sellers, make platforms legally responsible for oversight and tighten penalties for violations, while posing operational and competitive challenges for platforms and small merchants.
Rare‑Earth Shortage Forces US Aerospace and Chip Suppliers to Turn Away Orders
A tightening of global supplies for yttrium and scandium has prompted some US aerospace and semiconductor suppliers to ration or refuse orders. The shortage, rooted in near‑total production concentration outside the United States, risks disrupting engine maintenance and 5G chip supply chains and is forcing firms to prioritize major customers while policymakers weigh mitigation steps.
Hong Kong Leads Asia’s Housing Turnaround as Mainland Cities’ Price Falls Ease
Hong Kong’s housing market has staged a clear rebound in 2025–26, with transaction volumes and prices rising after years of decline. Policy easing on buyer taxes, lower mortgage costs, rising rents and renewed mainland demand have combined to push Hong Kong ahead of mainland Chinese cities, where price falls have merely narrowed rather than reversed.
PBOC Drops Forward-Sale Reserve to Zero as the RMB Strengthens — A Nudge Toward Market-Based FX and Cheaper Hedging
The People’s Bank of China will cut the foreign‑exchange risk reserve on forward sales to 0% from 20% starting 2 March 2026, a measure intended to lower hedging costs for firms, release bank liquidity, and shift toward more market-driven exchange‑rate management. The move comes as the renminbi has strengthened sharply and signals Beijing’s preference for normalised, market-based tools while retaining broader stability mandates.
Trip.com’s Windfall and the Hotel Squeeze: Stellar Profits Meet Antitrust Heat
Trip.com reported strong 2025 results with revenue of 624 billion yuan and net profit of 334 billion yuan, buoyed by a large one‑off investment gain. The company’s persistently high margins have strained upstream hotels and homestays, prompting an antitrust investigation and boardroom departures. Regulators are signalling a push to rebalance profits across the travel ecosystem, creating an uncertain outlook for Trip.com’s margin sustainability.
Rising Renminbi Turns “High‑Yield” Dollar Deposits into Loss Makers for Retail Investors
A post‑holiday surge in the renminbi has erased gains for many Chinese retail investors who chased higher yields by buying dollar deposits. With U.S. dollar rates no longer far above yuan deposit rates and the RMB appreciating, interest income has often failed to cover currency conversion losses. The episode underscores that foreign‑currency deposits are an FX bet, and banks’ product offerings, while intact, require clearer retail risk communication.
Kioxia Names New CFO as Memory Champion Prepares for Next Wave of Capital Spending
Kioxia has appointed Yoshihiko Kawamura as CFO effective April 1, 2026. The finance chief will be central to steering the memory-chip maker through capital expenditure decisions, market cycles and geopolitical headwinds as demand from data centres and AI grows.
China Tightens Controls at Home as Offshore Renminbi Surges: Real‑name Rules for Gold Recycling and a 600‑point RMB Rally
Shanghai is considering mandatory real‑name checks for gold buybacks after a robbery‑to‑resale case exposed weak provenance controls, a move aimed at curbing theft and money‑laundering. At the same time the offshore renminbi has rallied more than 600 points in three days, reflecting improved sentiment, capital inflows and a managed tolerance in Beijing for modest yuan appreciation.
A‑share Opening Slip: Chips, Fiberglass and Optical-Communications Names Lead Early Decline as Brokers Tout Cyclical, Green Winners
China’s A‑share indices opened lower on Friday with semiconductor, fiberglass and optical‑communications sectors leading losses. Domestic brokerages framed the move as part of a rotation from high‑valuation tech names into cyclical heavy assets and green‑energy applications that could benefit from policy shifts and global carbon regulations.