In the final quarter, BYD surpassed Tesla to become the biggest producer of fully electric vehicles globally. BYD's deliveries outpaced Tesla by over 20% in this period.

"BYD boasts a robust range of products, with their more affordable battery electric vehicle (BEV) models appealing to a global audience of middle- to low-income consumers," stated Phate Zhang, the originator of CnEVPost, a data service for electric cars based in Shanghai. "It is poised to maintain its position as the world's leading producer of BEVs this year."

In an unprecedented occurrence, Tesla, renowned for manufacturing high-end electric vehicles, experienced a yearly drop in deliveries for the first time. The company announced a 1.1 per cent decrease from the previous year, delivering 1.79 million units. Following this news, the value of its shares listed on the New York stock exchange dipped by 6 per cent to US$379.28 on Thursday, despite having seen a substantial increase of 61 per cent in 2024.

Alibaba collaborates with Lee Kai-fu's unicorn amid the unification of China's AI industry. Alibaba Cloud enters an agreement with the start-up 01.AI to create AI model solutions tailored for business customers.

The laboratory plans to merge the expertise in research and development of both groups to investigate AI-related technology and services. Their goal is to develop robust and all-encompassing big model solutions to cater to the needs of business customers, as per the announcement made by Alibaba Cloud.

Alibaba is the owner of the South China Morning Post.

Launched in May 2023, 01.AI rapidly ascended to unicorn status within half a year, following a financing round that involved Alibaba Cloud. The startup's open-source base large language model (LLM) Yi-34B was previously rated as the top pre-trained model by the online AI community, Hugging Face. However, it has since been surpassed.

01. The top AI model, Yi-1.5-9B-Chat-16K, placed tenth among the Chinese contenders as per the recent ratings by benchmarking service SuperClue. Alibaba Cloud's Qwen2.5-72B-Instruct was the frontrunner, only surpassed by models from international competitors OpenAI and Anthropic.

Real estate transactions in Hong Kong saw a decrease in December, leading to a reduction in the number of agents. Despite a 28.3% dip in December, there was an overall increase of 17% in property deals in 2024, based on the information provided by the government.

Real estate deals in Hong Kong saw a decline in December, during a downturn that has dwindled the number of certified real estate agents to the lowest it's been in seven years.

In December, there were 5,510 real estate sales in Hong Kong, which included new and used residences, parking lots, retail spaces, industrial properties, and office buildings, as per the data provided by the Land Registry on Friday. This signifies a decrease of 28.3% compared to November, but indicates a substantial rise of 46.4% compared to the same period last year. The overall worth of these transactions was HK$42.8 billion (US$5.5 billion), a decline of 33.3% from November, however, it demonstrated a 27.4% increase on a year-to-year basis.

The number of home sales dropped by 35 per cent to 4,103 in December, following a surge in the last two months. However, this still signifies a 40 per cent increase compared to the previous year. The total revenue generated from residential sales was HK$32.6 billion.

In 2024, there was a record of 67,979 transactions, marking a 17% increase from 58,035 in 2023, and hitting the highest point since the 96,133 deals in 2021, according to the data. The annual residential sales also witnessed a significant boost, jumping 23.5% to reach 53,099.

"Eddie Kwok, executive director of valuation and advisory services at CBRE Hong Kong, indicated that the expansion in residential property deals primarily resulted from initial sales. This boost was due to the lifting of property restrictions and the initiation of a cycle of rate reductions."

The decrease in the actual mortgage rate has consistently drawn more purchasers to the housing market, he noted. He also pointed out that the decline in December was primarily due to seasonal influences.

"Kwok predicts that the volume of transactions will stay consistent in January," He stated. "The circumstances are anticipated to get better post Lunar New Year, as we foresee more new initiatives being launched by developers."

China's economic boost draws in an increasing number of Generation Z stock traders willing to take on greater risks: according to a study. The number of Gen Z traders escalated to 110 million following the policy changes in September, expanding the group of investors ready to shoulder higher risks, as per a report by Hurun-Ping An.

China's aggressive economic stimulus in September to bolster its economy has attracted more Generation Z investors to the stock market and increased the number of traders willing to take on more risk, based on findings from a research study.

The investor demographic, categorized as individuals born from 1997 to 2012, has seen a significant increase, now accounting for about 110 million or 30% of China's stock trading population, according to a study released by Hurun Research Institute and Ping An Securities. The study further indicated that the number of traders willing to take on greater risks rose to 54% from 49% following a policy change.

On September 24, the central bank of China introduced two fresh financing mechanisms designed to stimulate stock purchases. This action was taken in response to ongoing poor data that risked undermining public confidence. Additionally, the bank committed to reducing the interest rates on home loans. This move triggered a significant surge in Chinese domestic and international stocks, attracting foreign investments back into the market.

Eight forty-seven in

Extreme fluctuations in stock markets of Hong Kong and mainland China

The report indicates that the younger generation is now the primary driving force in the market. These youthful investors display a strong interest in technological advancements and emerging sectors, and exhibit a greater readiness to embrace higher risks in pursuit of substantial returns.

The stimulus strategies implemented by Beijing have diversified the geographical makeup of Chinese stock investors. Now, 61 percent of these investors come from cities other than the top-tier ones, an increase from the previous 42 percent prior to the policy's launch.

In 2024, the significant Chinese index, the CSI 300, increased by 15 per cent, marking a significant recovery from its previous status as one of the globe's weakest. The majority of this growth happened in the weeks following September 24. However, the stocks have plateaued since then as investors are urging for more impactful subsequent actions.

Three forty-nine

Xi's call to action establishes economic objectives for Chinese authorities, forgiving them for past missteps.

In the last year, according to data examined by Hurun and Ping An Securities, 58% of investors have seen a minimum of a 10% return on their stock investments.

The Chinese quick-service restaurant chain, LXJ, is aiming for an initial public offering in Hong Kong as the market recovers. LXJ manages over 1,400 dining establishments in 53 cities in mainland China, with the average meal price around 20 yuan (equivalent to US$2.73).

LXJ International, the operator of the biggest fast-food franchise in mainland China, is aiming for a stock listing in Hong Kong to gather capital for growth, following two failed tries to launch its shares in Shanghai the previous year.

The restaurant chain, Lao Xiang Ji or Home Original Chicken, filed its application with the Hong Kong stock exchange on Friday, without revealing the value of its offering. The capital raised will be utilized to strengthen its supply chain, grow its restaurant reach and upgrade its technologies, along with other objectives.

Previously, the firm had planned to generate 1.2 billion yuan (equivalent to US$164 million) through its submissions to the Shanghai Stock Exchange. However, it retracted its applications in August.

The initial public offering (IPO) market in Hong Kong saw a resurgence last year, following a series of economic boosters unveiled by Beijing towards the end of September, which sparked a global leading surge in Chinese equities. In that same month, Midea Group, a leading Chinese home appliances conglomerate, finalized its IPO valued at US$4.6 billion, marking it as the second largest deal worldwide in 2024.

Last year, the stock exchange in Hong Kong welcomed 71 fresh listings, enabling it to generate 89% more funds, amounting to HK$87.5 billion, compared to the previous year. This development propelled Hong Kong to the fourth position among the world's most active places for initial public offerings.

Comac, China's aviation company, is emphasizing safety as they enter a crucial phase in the unveiling of their C919 aircraft. The firm predicts that the year 2025 will present difficulties due to a complicated and intense safety environment facing the worldwide aviation sector.

The foremost aircraft producer in China has committed to intensifying safety measures while increasing the production of its latest C919 passenger jet. This comes at a time when the worldwide aviation sector is experiencing instability due to accidents and supply chain problems.

Senior leaders from China's government-run Commercial Aircraft Corporation (Comac) emphasized the utmost importance of safety during a strategy session for the upcoming year held on Thursday.

This year is expected to be a pivotal time for Comac as it aims to accelerate the manufacturing of the C919, market the aircraft to international customers, and obtain certification from Western regulatory authorities.

The C919 is transitioning into a crucial phase of mass production and implementation, during a time when the worldwide aviation sector is confronting a challenging and intricate safety environment," said He Dongfeng, the chairman of Comac, as reported on Comac's official website.

"We are also encountering obstacles such as shortcomings in our assistance for airline clients, increased demands with the growth of production, and lack of adequate team development."

Transitioning from excess to the second phase of Trump: Predictions for the EV battery market in 2025

Here's some key information about the EV battery industry in 2025.

What can we expect for the future of EV batteries in 2025?

Nikhil Bhandari, the co-head of natural resources and clean energy research for Asia-Pacific at Goldman Sachs, predicts that the worldwide average price for an EV battery may drop to around $90 per kilowatt-hour (kWh) in 2025, a decrease from $111 per kWh at the close of 2024.

The investment bank projects that by 2026, the cost per kilowatt-hour may drop to US$82, almost 50% less than the US$149 it might be in 2023. This would make the expense of owning an electric vehicle equivalent to that of a gasoline vehicle in the US, without any subsidies.

Bhandari indicated that the driving forces behind this trend are advancements in technology and the decreasing costs of essential battery metals. He also mentioned that the energy density of many newly released battery products has increased by approximately 30% and they are more affordable.

Goldman predicts that lower commodity costs will contribute to over 40% of the reduction in worldwide average battery prices between 2023 and 2030. The metals used in batteries make up close to 60% of the battery's total cost.

Templewater in Hong Kong is establishing connections in the Middle East to secure energy transition agreements. The private equity company is scouting for opportunities for its subsidiaries in the car manufacturing and sales distribution sectors in the nations of the Gulf Cooperation Council.

The private equity company Templewater, based in Hong Kong, is collaborating with Middle Eastern countries to exploit investment possibilities presented by the region's shift towards more sustainable energy sources, as it aims to secure profits for its stakeholders.

They are collaborating with the Future Fund Oman, a 2 billion Omani rial (equivalent to US$5.2 billion) investment fund initiated by the Oman Investment Authority (OIA), the sultanate's sovereign wealth fund. They aim to concentrate on opportunities for energy transition and localisation, says Yufeng Wan, partner and chief of decarbonisation investment at Templewater.

"He stated that these endeavors will foster business and financial growth, aiding the area's aspirations for carbon neutrality and economic diversification."

According to its online platform, the fund aims to tap into the possibilities offered by sectors such as tourism, industrial and manufacturing processes, renewable energy, IT and communication, port and logistic operations, mining, fisheries, and agriculture.

Templewater's majority-owned company, Wisdom Motor, which focuses on the production of zero-emission commercial vehicles, is seeking to establish itself in manufacturing, service provision, and sales distribution in the six nations comprising the Gulf Cooperation Council (GCC).

In March, it entered into an initial contract with the OIA, an organization that oversees $50 billion worth of assets, paving the way for investment and cooperation in eco-friendly transportation. Prior to this, it had committed to providing tailored hydrogen-fueled vehicles in the United Arab Emirates.

"Felix Xu, the chief strategy officer, mentioned that there are numerous shared aspects between Wisdom Motor and the GCC nations," he stated. "We aim to be the frontrunners in supplying commercial vehicle solutions with no emissions, which aligns seamlessly with the region's strategy and objectives for decarbonisation," he further elaborated.

No other way but forward: Chinese agricultural drones gain ground as sector expands

While some foreign administrations remain doubtful, China's farming drones are becoming increasingly prevalent in rural areas as farmers start to incorporate automation.

Five years ago, Wang Fei initiated his farming drone enterprise. At that time, the unique humming of the self-operating machines was almost unnoticeable across the vast expanses of agricultural land in his home region of Anlu.

Previously, Wang, an ex-sales manager for farming equipment in the western center of Chengdu, claimed that he observed "tremendous potential" for the use of drone technology. He then returned home to explore these possibilities further.

Currently, Chufei Agriculture provides services to approximately 40% of the agricultural land in Anlu. Utilizing drones for tasks such as seed planting and pesticide or fertilizer application, the agricultural outputs have increased for this central Chinese region and its nearly half a million inhabitants.

Wang's achievement is just one of numerous that are taking place as technological advancements in China accelerate. The country's widespread use of farming drones has elevated it to a leading position globally in terms of total operational area. This development has also sparked worries in the United States about the prevalence of these devices on American agricultural lands.

Over the previous year, a globally superior collection of 251,000 pesticide-spraying drones spanned a cumulative 2.67 billion mu (178 million hectares) across China, as per information from the National Agro-tech Extension and Service Centre. Both of these numbers saw an approximate 25 per cent rise in comparison to 2023.

Bitcoin's value saw a two-fold increase in 2024, with experts predicting further growth in 2025. Analysts from the brokerage firm Bernstein firmly believe that reaching US$100,000 is not the ultimate goal.

The most prominent and biggest cryptocurrency worldwide reached a value of US$100,000 in December, a significant achievement that has sparked enthusiasm among advocates of the formerly emerging asset category.

Bitcoin has seen an increase of over 120% this year, while Ether, the second biggest cryptocurrency, has risen nearly 50%. As a result, the cryptocurrency industry's market value has soared to approximately $3.5 trillion, as per data from CoinGecko.

Analysts predict further growth for 2025.

Analysts at Bernstein brokerage firmly believe that $100,000 is not the ultimate goal, as noted in a client update last month. They predict that Bitcoin will reach an all-time high of $200,000 towards the end of 2025.

MicroStrategy, a software company that has emerged as the biggest corporate owner of bitcoin globally, witnessed its stock prices skyrocket almost five times in 2024.

The start of the trading year in Hong Kong has seen the worst performance since 2019. The Hang Seng Index began the year down by 2.2% compared to its 2.8% drop on the first trading day of 2019.

The Hang Seng Index experienced a 2.2 per cent drop, ending at 19,623.32. It had previously taken a 2.8 per cent blow on the first trading day of 2019. Likewise, the Hang Seng Tech Index went down by 2.5 per cent. In mainland China, the CSI 300 Index suffered a 2.9 per cent fall, marking its most significant downturn since 2016 when it plummeted by 7 per cent. Meanwhile, the Shanghai Composite Index decreased by 2.7 per cent.

The Caixin manufacturing purchasing managers' index, which primarily measures the performance of smaller companies, dropped to 50.5 in December, down from 51.5 in November, according to an announcement made by Caixin and S&P Global on Thursday. Although the reading was over 50, signifying growth in activity, it did not meet the median prediction of 51.7 made by economists monitored by Bloomberg.

The somber atmosphere is further intensified by a change in attitude towards US stocks, which finished 2024 on a low note with four days of back-to-back falls. Investors have redirected their attention to the possible implications of tariffs and inflation-inducing strategies by the upcoming Trump administration, moving away from their initial enthusiasm for fiscal support and tax reductions, as per analysts. The Federal Reserve has moderated predictions for monetary easing, projecting just two rate reductions for this year in the dot plot.

Bocom International anticipates that the trend of confined trading will persist, as stated in their Thursday report. Whether there will be a significant shift in the market relies heavily on the potential improvement of China's economic base in a long-term manner, along with the speed of interest rate reductions globally.

Beijing's new policy initiative in 2025 will boost the use of low-carbon hydrogen. Beijing has mandated that national refining and chemical firms ramp up their consumption of low-carbon hydrogen to cut down on emissions.

The strategy proposed that the nation's refining and chemical enterprises expand their utilization of hydrogen in their manufacturing methods to cut down on emissions. It also urged these businesses to enhance their research and development initiatives in the field of green methanol and green ammonia, which are two hydrogen-sourced fuels that have no carbon footprint. These can be employed in the electricity production and transportation sectors.

The strategy also proposes an increase in the usage of hydrogen fuel cell vehicles, alongside the creation of hydrogen-fueled ships, planes, and trains.

The plan suggests that by the year 2027, the industrial field is expected to be significantly advancing in the generation and utilization of low-carbon hydrogen and related fuels.

"BOCI Securities analyst Wu Jiaxiong has asserted that hydrogen's potential in the industrial sector is undeniable," as stated in his Tuesday report.