Business News
Latest business news and updates
Total: 487
How AI’s Appetite for Memory Is Turning Chip Windfalls Into an ‘AI Tax’ on Consumers
SK Hynix and Samsung are reallocating memory capacity to serve AI data centres, driving a surge in HBM and SSD demand that has pushed memory prices sharply higher. The result is higher costs and stealth downgrades for consumer devices, with ordinary buyers effectively shouldering the bill for large‑scale AI infrastructure build‑outs.
When Compute Meets Patients: How AI Is Rewiring Drug Discovery—and China and the US Are Betting Different Chips
AI is transforming drug discovery from an expensive exercise in trial-and-error into a data- and compute-driven engineering problem. The result is a pragmatic partnership between American algorithmic and compute strength and China’s unrivalled clinical scale, producing record licensing deals even as regulatory and scientific bottlenecks persist.
Beijing Rolls Out 500 Billion-Yuan Guarantee Scheme to Kick‑start Private Investment
China has unveiled a two‑year, 5,000‑billion‑yuan guarantee programme to boost private and SME investment by expanding government risk sharing, cutting guarantee fees and encouraging longer‑term lending. The targeted scheme aims to support equipment, digital and consumption‑related upgrades while limiting direct fiscal exposure through eligibility rules and performance incentives for local guarantee bodies.
Beijing Extends and Expands Loan Interest Subsidies to Boost Service Consumption Through 2026
China has extended a fiscal loan interest‑subsidy scheme for service businesses through the end of 2026, raising the 2026 per‑borrower subsidy cap to RMB 10 million and widening eligible sectors to include digital, green and retail. The move aims to mobilise bank lending and central fiscal resources to revive consumption while imposing stricter oversight and faster settlement procedures.
Selective Strength in Hong Kong: New-Consumption and Gold Outperform as Tech and Chips Cool Off
Hong Kong stocks ended slightly lower as investors rotated into new-consumption and gold stocks while AI and semiconductor names pulled back. The session highlighted a selective, sector-driven market with consumption and safe-haven themes gaining traction amid profit-taking in tech.
China Pledges Bigger, Smarter Spending in 2026 as Fiscal Push Shifts from Quantity to Quality
China’s finance ministry has pledged that public spending will rise in 2026 while shifting focus to more efficient, targeted outlays. The statement follows a large 2025 fiscal expansion — including an elevated deficit and heavy bond issuance — and is accompanied by measures to stimulate consumption, support enterprise innovation, and clean up local fiscal practices.
China’s Top Economist Says 2026 Is a Renters’ Market — and Urges Policy Shifts on Pensions, Gold and Quant Trading
Veteran economist Li Xunlei told attendees at a Beijing forum that China’s housing market has not finished adjusting and that, for many households, renting in 2026 may be preferable to buying. He urged tighter rules on high-frequency quantitative trading, endorsed gold as a hedge, and proposed targeted fiscal measures — including higher rural pensions and food vouchers — to shore up consumption.
Beijing Offers Interest Subsidies to Spur SME Investment in Strategic Supply Chains
China’s Ministry of Finance will subsidise 1.5 percentage points of interest on qualifying fixed-asset loans to private small and micro enterprises in targeted industrial chains, effective from January 1, 2026. The one-year pilot caps subsidy per loan at RMB 50 million and channels support through a designated set of banks with central–provincial coordination and auditing mechanisms.
Beijing Offers 1.5-Point Interest Subsidy to Spur Equipment Upgrades — A Boost for Industry and SMEs
China has launched a central fiscal interest subsidy of 1.5 percentage points on fixed-asset loans for equipment upgrades, payable from loan disbursement and capped at two years. The scheme expands supported sectors, appoints 26 banks as implementers, simplifies payment procedures through pre-allocation and settlement, and runs through at least the end of 2026.
Markets Slump on Trade Shock as China Tightens Lithium Futures Limits — What it Means for EV Supply Chains and Policy Makers
European and US markets fell amid renewed trade tensions, sending investors into safe havens while Beijing moved to combine top‑level policy coordination with targeted market controls. The Guangzhou Futures Exchange widened lithium carbonate price limits to 11% and raised margins, a tactical response to extreme volatility in a key EV battery input. The episode highlights the interplay between geopolitical shocks, commodity market structure and China’s effort to sustain growth while tightening market oversight.
Beijing Extends Consumer‑Loan Interest Subsidies Through 2026 to Bolster Domestic Demand
China’s Ministry of Finance has extended a fiscal interest‑subsidy for personal consumer loans through 31 December 2026, with an implementation window from 1 September 2025. The policy aims to lower borrowing costs and stimulate household spending, while authorities will reassess its continuation after evaluating outcomes.
Slimmer Passengers, Fatter Margins: How GLP‑1 Weight‑loss Drugs Could Trim Airline Fuel Bills
Jefferies forecasts that GLP‑1 weight‑loss drugs could cut U.S. major airlines’ fuel bills by up to $580 million annually as lighter passengers reduce aircraft payload. While direct fuel savings are small, fleet‑wide weight reductions can meaningfully boost margins, raising corporate and ethical questions about relying on medical trends for cost savings.