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Markets

BYD surpasses Tesla in global race; ‘do-or-die’ crisis in China’s market: 7 EV reads

We have put together stories from our coverage on electric and new energy vehicles from the past two weeks to help you stay informed. If you would like to see more of our reporting, please consider subscribing. 1. China’s BYD surpasses Tesla to regain lead in global EV race China’s electric vehicle (EV) king BYD has leapfrogged once more over Tesla to become the world’s largest battery-powered car manufacturer, spurred by its surging overseas shipments, despite posting an 8.2 per cent...

July 8, 2026

Markets

Mainland Chinese tech firms find more than just deep capital pools in Hong Kong

Recently listed start-ups in robotics and AI explain what the city gives them besides funding for development and expansion For Beijing-based service robot maker Yunji Technology, Hong Kong has become a key gateway to global markets since its listing in the city in October. “If we use one word to describe what Hong Kong offers for us, that would be connection,” Xie Yunpeng, the company’s chief development officer, told reporters during a media tour on Tuesday in Beijing. Xie said Hong Kong connected Yunji with business opportunities, capital, research partners and overseas markets, while exposing the company to diverse consumer habits that helped prepare its products for international deployment. Hong Kong had become a testing ground for Yunji’s service robots before their roll-out overseas, according to Xie, as international customers tended to view successful deployments in the city as more representative of operating conditions outside mainland China. The company plans to focus its overseas expansion on Southeast Asia, the Middle East, the US and parts of East Asia.

July 8, 2026

Markets

China’s biotech firms challenge US with rapidly developing RAS-targeted cancer therapies

The rapid development of China’s RAS-targeted cancer drugs could reshape global oncology and unlock the country’s undervalued biotech firms When the shares of Revolution Medicines surged after the US biotech firm unveiled a landmark result – its drug nearly doubled the overall survival for late-stage pancreatic cancer patients to 13.2 months – investment banks and scientists flagged that the company’s Chinese rivals racing to target the same cancer mutation are significantly undervalued by the market. “The large patient population, significant unmet medical need, and multibillion-dollar market potential have made RAS one of the most active and highly contested areas in oncology drug development,” Yver said. RAS – from rat sarcoma virus, first discovered in retroviruses isolated from rats – was named after the proteins that regulate how cells grow, multiply and survive. Cancer can begin when the genes encoding these proteins are damaged or mutated, according to scientists. The fast pace of China’s challenge to the US biotech and innovative drugs sector is due to massive input and policy support from Beijing – and it is also set to rewrite the valuation of companies listed in mainland China and Hong Kong.

July 8, 2026

Markets

Hong Kong stocks rise as rallies from Alibaba, SMIC, other tech giants lift market sentiment

The Hang Seng Index closed high on Wednesday as investors stood firm and held onto newly unlocked shares following post-IPO lock up expiries The benchmark Hang Seng Index finished the session up 3 per cent, while the Hang Seng Tech Index heavily outpaced the broader market, surging around 5 per cent to 4,731. The broader technology rally also lifted major internet and hardware companies. E-commerce giant Alibaba closed more than 12 per cent higher, while smartphone maker Xiaomi surged 9 per cent. Baidu and JD.com gained 6.4 per cent and 4 per cent, respectively. Alibaba owns the South China Morning Post. A release of restricted shares often increases market supply and can weigh on stock prices, raising concerns that early investors could sell their stocks to realise profits after strong post-listing gains. However, a sell-off failed to materialise, with analysts saying the additional supply was largely absorbed after cornerstone investors signalled intentions to retain their stakes in the company.

July 8, 2026

Markets

Mainland China court claims jurisdiction over Hong Kong-listed company in investor lawsuit

Beijing Financial Court applied extraterritorial provisions of mainland China’s Securities Law, Financial News reports A mainland Chinese court has claimed jurisdiction over an investor lawsuit against a Hong Kong-listed firm for the first time, with the move likely to increase scrutiny of corporate disclosures. Mainland investors filed the lawsuit with the Beijing Financial Court, alleging that an overseas-incorporated company had failed to disclose irregular loans, unauthorised guarantees and related-party transactions in 2017 and 2018, in violation of Hong Kong’s listing rules, according to a recent report by Financial News, a newspaper supervised by the People’s Bank of China. The company, whose name was not revealed, was suspended from trading before being delisted in January 2021, leaving shareholders unable to dispose of their holdings. More than 40 investors joined the litigation, the newspaper reported.

July 8, 2026

Markets

Mainland China markets follow US in embracing tech stock dominance

AI boom sees long-time bellwether Kweichow Moutai cede top spot in CSI 300 Index weightings to Zhongjin Innolight Mainland China’s stock markets are converging with those in the US when it comes to the concentration of technology companies, with the sector becoming the biggest constituent of key equity benchmarks. The weightings of CSI 300 companies are based on the valuations of free-float stocks, rather than the total number of shares. AI trades have dominated global equity markets over the past month after strong results from hyperscalers – massive cloud service providers – heightened expectations about data centre buildouts and the de-escalation of tensions in the Middle East boosted risk appetite.

July 8, 2026

Markets

Hong Kong’s property market set to cool despite run of record-breaking deals

The recent rally in residential property is likely to lose steam in the second half of 2026, as a weak stock market weighs on investor sentiment Hong Kong’s residential property market has regained momentum in recent months amid a string of record-breaking deals. But analysts warn that the rally is likely to cool in the second half of the year, as a weaker stock market weighs on investor sentiment. A string of huge deals in the city has generated buzz in recent days, with a five-bedroom flat at Sun Hung Kai Properties’ Cullinan Harbour in Kai Tak selling on Monday for HK$247.9 million (US$31.6 million) – a record for the project and for the district. Last week, one of the flats at Victoria Harbour in North Point also changed hands for HK$200 million, or HK$84,282 per square foot – the highest price ever recorded in Hong Kong Island East. These trophy deals, however, do not reflect the overall trend in the luxury market, according to analysts. Consultancy CBRE said the total value of luxury residential transactions fell 30 per cent to HK$8.76 billion in the second quarter compared with the previous three months, while the number of deals dropped from 70 to 48.

July 7, 2026

Markets

Hong Kong yuan facility to expand 150% to US$73.6 billion to meet international demand

The city will also vet a license application for a new electronic fixed income and currency trading system Yue said the increase was much-needed, as the current 200 billion yuan quota had been used up, and many banks said their international clients in 12 jurisdictions wanted yuan loans. “The expansion of the facilities would allow more banks to tap the yuan to lend to their clients in Hong Kong, Asean, the Middle East and Europe. This is very important in promoting the international usage of the yuan in real economy,” he said at a media briefing on Tuesday. The facility’s tenure would be extended to two to three years from its current maximum of one year, also taking effect from this Friday. The facility, launched in February 2025, initially had a 100 billion yuan quota for 40 banks, which was doubled to 200 billion yuan starting in February this year, with officials aiming to provide cheap and stable yuan for banks. Another key measure is a new electronic FIC trading platform jointly developed by China Foreign Exchange Trade System (CFETS) and bourse operator Hong Kong Exchanges and Clearing (HKEX), which is applying for a licence from the SFC, according to a statement made by SFC CEO Julia Leung Fung-yee at the same briefing.

July 7, 2026

Markets

Zhipu AI, MiniMax shares to provide gut check for Hong Kong investors as lock-ups end

Shares worth US$11.5 billion to hit market as record wave of lock-up expirations starts and some firms eye share placements Hong Kong’s stock market could face sell-off pressure amid a torrent of new share supply in coming days as the six-month lock-up period ends for hot artificial intelligence and semiconductor picks including Zhipu AI and MiniMax. Meanwhile analysts warned of rising fears of a drain on liquidity as many of the same companies were eyeing large secondary share placements. The market was facing dual selling pressure, said Stevan Tam, associate director at Fulbright Financial. “These stocks have generally seen significant gains, and it is believed that investors may be looking to lock in some profits, which could limit their upwards momentum,” he said. “At the same time, large-scale placements could intensify selling pressure.” The lock-up periods for AI model developers Zhipu, which is known as Z.ai internationally and trades as Knowledge Atlas Technology, and MiniMax end on Tuesday and Wednesday, respectively, with 25.68 million and 150 million shares becoming tradeable, out of total issued shares of 446 million and 314 million, respectively.

July 7, 2026

Markets

Peak oil: China’s crude demand set to fall as EV bets ease Hormuz fears

China now faces the challenge of persistent refining overcapacity as ongoing electrification slashes fuel demand, CNPC official says China’s demand for crude oil is expected to peak in the coming years, a scenario set to further reshape the global energy market following the Strait of Hormuz crisis. The shift was due to Beijing’s massive efforts to develop renewable energy while also revamping the country’s transport sector by becoming the world’s largest producer and user of electric vehicles. China has been the biggest driver of global oil demand since the 2000s, but its demand will peak over the next five years as a result of the country’s electrification push, said Dai Jiaquan, chief economist of the CNPC Economics and Technology Research Institute, at an event in Hong Kong on Monday. China now faced a different challenge at home: persistent refining overcapacity, said Dai. Domestic crude demand was estimated at 750 million to 800 million tonnes per year, compared with refining capacity of 900 million to 1 billion tonnes. Disruptions in the Strait of Hormuz had reshaped global supply and demand this year, pushing the market from an expected surplus into a supply deficit.

July 7, 2026

Markets

Hong Kong office vacancy rates to plateau as Central hits 43-month low

Despite increased supply and a vacancy rate plateauing at 14 per cent, prime office rentals will rise up to 5 per cent this year, says JLL Hong Kong’s office property market is likely to see its empty spaces plateau at 14 per cent as vacancy rates in Central fell to more than a three-and-a-half-year low in June, according to JLL. The property consultancy said that although the overall vacancy rate for the office property sector fell to 13.1 per cent in the first half, the supply pipeline would increase the number of office spaces and plateau at 14 per cent in the coming months. “Another 2 million square feet of office space will be completed,” said Sam Gourlay, head of office leasing advisory at JLL in Hong Kong. For instance, new buildings such as Central Crossing in the city’s main business district were set to be completed this year, according to JLL. Despite the new supply, JLL forecast there would be as much as a 5 per cent rise in overall prime office rents in Hong Kong for the full year, following the 3.2 per cent increase in the first six months. Central would lead with a 10 to 15 per cent increase for the entire year, followed by the 0 to 5 per cent increments in the districts of Wan Chai/Causeway Bay and Tsim Sha Tsui.

July 7, 2026

Markets

Hong Kong drops to 4th costliest city for wealthy amid change in luxury spending

London’s ranking slid from second to fifth, while Shanghai was unchanged at sixth Hong Kong now ranks lower among the costliest cities for rich people “living well”, with Singapore the most expensive for a fourth consecutive year, according to Swiss private bank Julius Baer. This year’s “Global Wealth and Lifestyle Report”, released by the bank on Tuesday, assessed the costs of living well in 25 major cities around the world for high-net-worth individuals with bankable household assets of US$1 million or more, based on data about 11 consumer goods and nine services between November and March. Hong Kong ranked fourth, down from third last year, with half the goods or services having become cheaper. It had the cheapest jewellery, dropping from 19th to 24th, with Johannesburg excluded due to unavailability. Once dubbed a shopping paradise for China’s rich, Hong Kong’s luxury goods sales are suffering due to changes in the spending habits of Chinese tourists, who, according to the bank, were increasingly turning away from traditional European luxury brands and favouring domestic labels. Despite a recent market slump, Hong Kong’s homes remained the second-most expensive this year, trailing only Monaco.

July 7, 2026