Analysts suggest that imposing tariffs on Chinese graphite exports may drive up the price of EV batteries. A group of American graphite miners has requested the Commerce Department to investigate Chinese manufacturers and impose a 920 per cent anti-dumping duty.

American graphite miners' demand for a tariff of up to 920 per cent on Chinese mineral suppliers could lead to "significant and widespread effects" on the price of electric vehicle (EV) batteries, according to automotive industry experts.

If given the green light, the prospective duty on active anode materials made in China could significantly inflate the prices of electric vehicle batteries and energy storage systems in the US, as per a study released by California-based investment bank, Roth Capital Partners.

"Managing director Justin Clare stated that they project the additional expense may amount to approximately US$135 per kWh. This signifies a spike of 125 percent in the DC-block, bringing it to roughly US$255 per kWh."

The anode usually accounts for about 10 to 15 percent of the battery's total cost, which equates to approximately US$15 per kilowatt-hour (kWh). The battery's overall price is around US$120 per kWh, he further stated.

In 2023, China was the main source of lithium batteries for the US, supplying $13.1 billion worth, which accounted for 70% of all US imports, as per official records. The International Energy Agency reports that China holds a significant lead in the global battery market, owning around 85% of the world's battery cell production capacity and a large proportion of cathode and anode active material production.

Analysts suggest that US tariffs on Chinese graphite exports might increase the price of EV batteries. A group of American graphite miners has requested the Commerce Department to investigate Chinese manufacturers and impose a 920 percent anti-dumping fee.

American graphite miners have proposed a tariff that could reach 920 per cent on Chinese mineral providers, a move that analysts predict could have a "severe, widespread effect" on the price of electric vehicle (EV) batteries.

If the proposed import duty on active anode material manufactured in China gets the green light, it could cause EV battery and energy storage system prices in the United States to skyrocket, possibly over twice their current cost. This is according to a study released by California-based investment bank, Roth Capital Partners.

Managing director Justin Clare suggests that the additional expense might be approximately US$135 per kWh, which signifies a 125 per cent escalation in the DC-block, bringing it to roughly US$255 per kWh.

The anode usually accounts for about 10 to 15 percent of a battery's price, equivalent to approximately US$15 per kilowatt-hour (kWh), he noted. The overall cost of the battery stands at about US$120 per kWh.

In 2023, the United States brought in lithium batteries from China valued at $13.1 billion, accounting for 70% of all its imports in this category, as per the official records. The International Energy Agency reports that China holds a significant position in the worldwide battery supply chain, boasting about 85% of the battery cell manufacturing capacity and considerable portions of production for both cathode and anode active materials.

The 114-year-old bullion market in the city is undergoing a restructuring to transform into the Hong Kong Gold Exchange. A vote on Friday is set to convert the Chinese Gold & Silver Exchange Society into a corporate entity named the Hong Kong Gold Exchange.

The Chinese Gold & Silver Exchange Society's members have decided to convert the city's gold exchange, which is 114 years old, into a corporation. This move aims to foster international growth and aid the government in its endeavors to reestablish Hong Kong as a global trading center.

Following the vote on Friday, the organization will transform into a corporation known as the Hong Kong Gold Exchange. Starting from the first day of January, it will acquire the society's assets and operations, as stated by president Haywood Cheung Tak-hay.

Cheung is set to lead the new exchange as chairman, with a board comprised of 25 individuals. Current members have the option to become shareholders in the new entity. Already, over 137 members have decided to become shareholders, and it's anticipated that more will do the same.

"Right now, the society operates like a private club made up of its 172 constituent companies. These include gold refineries such as King Fook, Lee Cheong, Po Sang, and also major banks," stated Cheung.

Cheung stated that the revamped company framework would simplify the process of drawing in new members.

Tencent is taking on its e-commerce competitors with a fresh gift-giving functionality on WeChat. One vendor suggests this feature could be the next big success for Tencent following their electronic red packets.

Customers have the ability to look for items using specific terms. As per the formal rules, all presents on offer are valued at 10,000 yuan (US$1,375) or less, and they do not include jewelry or educational lessons. Once the person giving the gift has finished paying, the one receiving it must agree to accept the gift and provide a mailing address within a day, otherwise the purchase will be voided and the funds will be refunded to the one who sent it.

Individuals are permitted to dispatch just one present to a single friend on WeChat per transaction.

This week, a new feature was subtly introduced to a chosen few users, leading to talks about its possibility to become Tencent's newest strategy in the intensely competitive e-commerce market in China. WeChat, or locally known as Weixin, with its 1.2 billion users, has a pervasive influence among China's online population.

China's interest in smart vehicles is expected to fuel a US$356 billion parts industry by 2030. The sector for automobile components and software is projected to expand at a yearly rate of 28.8% from 2026 to 2030.

The chief administrative officer of China EV100, Zhang Yongwei, stated that the electric vehicle market in China is predicted to increase at a yearly rate of 28.8% from 2026 to 2030. China EV100 is a non-governmental group that counts almost every leading executive of prominent Chinese electric car companies among its members.

"Success for car part suppliers lies in crafting and producing advanced products that meet the requirements of manufacturers and consumers," he stated at a conference in Wuhan on Friday. "The most popular high-quality products will inevitably encounter supply problems."

Three hours and ten

Baidu from China has released its newest self-driving car, with the choice to include a steering wheel.

The smartness of a vehicle is gauged by its technological advancements, which are evident in characteristics like voice-controlled commands, face identification, wireless software updates, mobile-connected functionalities, and automatic parking.

Tencent collaborates with smartphone manufacturer Honor to enhance AI capabilities as Apple continues to scout for a collaborator. Tencent is supplying cloud computing assets to boost Honor's AI services, while Apple Intelligence remains unavailable in China.

Tencent's partnership with Honor, a company comparable to Apple in China's smartphone market, has been highly successful. They jointly launched a coding aid named CoMagic, designed to enhance the productivity of Honor's engineers. To date, around 8,000 software engineers within the company have utilized this AI assistant. Tencent reported in a WeChat post that 30% of their code is AI-generated, and a quarter of this code has been integrated into their system.

The duo will also boost collaboration in data management, searching and cloud-based services, which includes utilizing Tencent's Elastic MapReduce, a large-scale data platform, to assist in data pre-processing for the training of AI models employed in photo storage and voice assistant applications.

The Chinese tax authority is tightening its grip on internet celebrities and e-commerce traders in response to declining income. A recently suggested law would obligate online service providers to disclose their user's earnings details.

On Friday, the Chinese tax department circulated a proposed rule that would mandate e-commerce, short-video, and social media platform operators to disclose the earnings of traders and influencers.

The present proposal, open for public review until January 19, mandates that online platform operators disclose details of their user's identity, earnings, and other tax-related data to the relevant authorities every three months, according to a statement released by the State Taxation Administration (STA) on Friday.

Under the regulation, co-written by the State Administration for Market Regulation, certain data would need to be provided if requested. This includes total earnings, amounts refunded, income from advertisements, and bank account details.

The rule, presented as an extension of the 2019 E-Commerce Law, aims to combat tax dodging, given the challenge faced by the STA in monitoring the real earnings of internet influencers and traders.

Two hours and seventeen

Performers on China's Douyin platform are live streaming outside during nighttime to increase their earnings through tips.

The STA is aiming to increase its supervision of internet vendors during a period when the nation's tax income has considerably decreased. The country's tax earnings dropped by 3.9 per cent this year up to November, in comparison to the same timeframe last year.

Viewpoint | In an uncertain global scenario, Trump is likely to exacerbate the challenges

In the face of escalating global instability and trade disputes, financial backers are relying on the US Federal Reserve to continue its monetary expansion.

Risk refers to the potential happening of an incident or situation that could harm our comfort or security. We identify risks with the intention of preventing or lessening them. It's important to note that risk is inevitable and can only be controlled or offset.

In a stagnant win-lose scenario, one person's hazard is another's chance. When you exert pressure on one part of a balloon, the other part swells up. Yet, the balloon could potentially pop – such a danger isn't unlikely. There's always a price to pay for mitigating risks and selecting an inappropriate safety measure could lead to greater losses in the face of unforeseen circumstances.

2:20 AM

Shanghai experiences intense heat amidst severe weather conditions in eastern China.

Character.ai's Chinese competitor disappears from US App Store

Talkie, a well-liked AI buddy app created by Shanghai-based start-up MiniMax, has been taken down from the US Apple store.

Talkie has been inaccessible in the US App Store for roughly a week. Yet, Talkie can still be downloaded from Google Play, where it was most recently updated last Thursday. Those in the US who had previously installed Talkie from Apple's store are still able to use the app.

The official TikTok account of Talkie, boasting 29,800 followers, has been unusually silent this week, despite its habitual daily posts. Talkie addressed a number of questions from users about its absence from the App Store, citing "technical issues" as the cause.

Two past two

Chinese robot persuades others to return home

Introduced in June 2023, Talkie is a platform that enables users to generate and interact with customized virtual personas using AI technology. In the initial half of 2024, it became the fourth most popular app downloaded in the United States, outdoing its competitor Character.ai, supported by Google, which took the tenth place, as per the information from research company Sensor Tower.

Across the world, Talkie logged 17 million downloads in the initial eight months of the year, lagging behind Character.ai which had close to 19 million downloads, as per a report by Sensor Tower in September. The monthly active user base of Talkie hit 11 million in July, with the majority hailing from the US.

Nan Fung outperforms three competing entities in the MTR bid for the Tung Chung station location. This achievement signifies the inaugural agreement following a high-ranking Beijing authority's directive to property magnates to acknowledge their duties and maintain confidence in the market.

The Nan Fung Group, a developer based in Hong Kong, outperformed three competitors to secure a development location close to the city's global airport. This acquisition represents the inaugural transaction following a high-ranking government representative's call for real estate moguls to show confidence in the market.

On Friday, a statement revealed that MTR Corp had given Nan Fung the contract for the location close to the Tung Chung East Station on Lantau Island, without revealing the successful bid amount. The statement further highlighted that Nan Fung is a recognized and respected developer, having been involved in several MTR projects.

Earlier this month, the tender drew in four proposals, which included ones from CK Asset Holdings, Sun Hung Kai Properties, and a partnership between Sino Land and Great Eagle. When the tender was initially publicized in November, it piqued the interest of thirty-three developers.

MTR, the company that runs the city's rail system, finances its network expansion by selling pieces of land located either above or close to its stations.

This was the initial transaction following Xia Baolong, the leader of the Hong Kong and Macau Affairs Office, instructed real estate moguls to "acknowledge their duties" in a private meeting last month with Sun Hung Kai Properties, Henderson Land, New World Development, Sino Group, and Shui On Land.

The need for adaptable workspaces in Hong Kong is on the rise, while the market in Singapore is experiencing a downturn, according to a report. The research identified Bengaluru and Makati as the top locations, witnessing a growth in demand by 107% and 47% respectively.

The desire for adaptable workspaces in Hong Kong increased this year, due to a three-year decline in rental costs, drawing in businesses from the finance and law industries. Conversely, the market in Singapore took a downturn. Bengaluru and Makati stood out as the most in-demand cities.

The report on Wednesday demonstrated that Hong Kong is recovering, emphasizing its durability as an international center for business in spite of recent hurdles. It further mentioned that top-notch adaptable spaces in the city keep drawing in the financial and legal industries.

Singapore, usually a leading market in the area, is witnessing a significant change in corporate choices as many businesses opt for more cost-efficient options or venues. This year, rental rates in Hong Kong have dropped by 3.84 per cent. Meanwhile, the prices for premium office real estate in Singapore have been increasing continuously for no less than 12 consecutive quarters, as stated in an October report by Cushman & Wakefield.

The change in demand is influenced by elements such as cost-effectiveness, business expansion, undiscovered skill reservoirs, and prospering tech centers with robust infrastructures, according to the company.

Banks in Hong Kong trim loan rates despite HKMA's caution of impending market instability

Recent reductions in rates by financial institutions like HSBC and Bank of China will ease the monthly financial strain on those with mortgages, decreasing their payments by approximately HK$351 to HK$22,452.

The Federal Reserve announced that it would keep its target rate within 4.25 to 4.50 per cent, rather than a range of 4.25 to 4.75 per cent.

The top six banks in Hong Kong have reduced their prime lending rates for the third time this year, bringing down borrowing costs to the lowest they've been in over two years.

HSBC along with its affiliate Hang Seng Bank have announced a reduction in their prime rate by 12.5 basis points to 5.25 per cent starting from Friday, marking the lowest since August 2022. Similarly, Bank of China (Hong Kong) has also declared that it will decrease its rate by an identical margin from Monday.

The Bank of East Asia, Standard Chartered, and ICBC Asia announced plans to cut their prime rate by an equivalent measure to 5.5 percent starting Monday.

The banks have also announced a decrease in their savings rates to an annual 0.25 per cent for deposits exceeding HK$5,000 (US$640). Additionally, there will be no interest accrued for deposits less than this amount. Standard Chartered offers an interest of 0.25 per cent for deposits over HK$1.

Luanne Lim, HSBC Hong Kong's CEO, announced that HSBC has opted to decrease its deposit and lending rates for the Hong Kong dollar in response to another cut in US rates. This marks a total reduction of 62.5 basis points since September.

The trajectory of rates towards 2025 is still largely unpredictable. We will persistently observe the international climate and domestic economic forecast, prepared to modify our rates as necessary.