Daily Buzz: 20 May 2025

Top News

Trump-Putin call: any progress?

US and Russian presidents ended a two-hour phone call about ending the war in Ukraine with an agreement that talks on a ceasefire should begin immediately. The Vatican has offered to host the negotiations.

However, President Donald Trump and President Vladimir Putin put slightly different spins on whether the call had moved the dial on peace efforts. Trump wrote in a social media post that the talks "went very well with some progress being made." Putin was more understated, saying the call was "generally on the right track" and Russia is willing to talk with Ukraine about a "memorandum on a possible future peace agreement." But the Russian leader made clear that he hasn't backed off a set of pre-conditions for a ceasefire that include Ukraine giving up large swaths of territory.

Trump, who boasted last year in his presidential campaign that he could end the war in the first 24 hours of taking office, has proposed an unconditional ceasefire to allow for full peace talks. Ukraine has agreed; Russia has not.

UK-EU forge new closer ties

Five years after Britain officially left the European Union, Prime Minister Keir Starmer and EU President Ursula von der Leyen announced agreements to forge closer ties. Key aspects include an easing on some EU customs controls over food imports from the UK and a 12-year extension allowing EU fishing in UK waters. Both sides also reportedly agreed to work toward an easing of rules that hinder the mobility of young people seeking to study or work across the English Channel.

'Drop in the ocean'

Israel said it allowed five UN trucks carrying humanitarian aid to enter Gaza, easing an 11-week blockade. UN aid officials said it was only a "drop in the ocean" for the coastal enclave facing famine. Minister Benjamin Netanyahu said on Monday that Israel plans to take full control of the entire Gaza strip as his army intensified ground operations that have killed hundreds of Palestinians.

Pakistan foreign minister to visit China

Pakistani Foreign Minister Ishaq Dar is scheduled to visit China this week amid ongoing regional tensions with India trigged by a recent outbreak of artillery exchanges, primarily in Kashmir. A Chinese Foreign Ministry spokesperson reiterated that Beijing is prepared to maintain communications with both South Asian neighbors.

Top Business

China's economy bucks trade tensions

China's economy continued to show resilience in the face of US tariffs as factory output in April rose 6.1 percent from a year earlier and retail sales were up 5.1 percent. Both figures slowed somewhat from March growth but overall pointed to signs that government economic stimulus policies are successful in offsetting the fallout from trade tensions.

"China's foreign trade has overcome difficulties and maintained steady growth, demonstrating strong resilience and international competitiveness," bureau spokesman Fu Linghui told reporters in Beijing.

The April data also showed investment in fixed assets grew 4.1 percent, while urban unemployment came in little changed at 5.1 percent.

The government has unveiled a series of economic stimulus measures, including policies to encourage more consumer spending. Its trade-in program subsidizing purchases of household goods resulted in a 39 percent gain in home-appliance sales in April.

Export licenses for rare earth elements

At least six Chinese companies have received export licenses for rare earth elements under the easing of a ban imposed in April. Rare earths include metals, alloys and permanent magnets of elements like dysprosium and terbium. The restrictions had been creating supply problems abroad because China is a global leader in the process of rare earths, some of which are crucial in the manufacture of electronics.

Economy

China cuts fuel prices

China cut gasoline prices by 230 yuan (US$32) per metric ton and diesel prices by 220 yuan per ton, according to the National Development and Reform Commission.

The adjustment, roughly a 0.18 to 0.19 yuan drop per liter, marks the fifth fuel price reduction this year, part of broader efforts to support domestic consumption and stabilize industrial operating costs.

Mainland home prices

New home prices in 70 larger cities across China in April were largely unchanged from March but fell 4 percent from the same period last year, according to the Bureau of Statistics. Beijing recorded a monthly gain of 0.1 percent and Shanghai was up 0.5 percent, but prices fell 0.2 percent in Guangzhou and 0.1 percent in Shenzhen. The Chinese government has introduced policies to stabilize the property market, including cuts in mortgage rates.

Borrowing costs rise

US Treasury yields spiked on Monday after Moody's downgraded the sovereign credit rating of the US, citing expanding budget deficits. The 30-year bond hit 5.03 percent – the highest level since 2003 – before retreating below 5 percent. The yield on the benchmark 10-year bond rose to 4.459 percent. Higher borrowing costs hurt the US government, which relies on bond issues to fund its deficits.

Corporate

Huawei releases HarmonyOS PCs

Huawei launched the first personal computers powered by its HarmonyOS system on Monday, with two new laptops, the MateBook Pro and the MateBook Fold Ultimate Design. The latter is the world's lightest and thinnest commercial foldable laptop.

Xiaomi's new mobile chip

Lei Jun, chief executive of phone and carmaker Xiaomi, announced a major products launch for Thursday. Among the products to be unveiled are the company's self-developed XRING-O1 smartphone chip, the long-awaited YU7 electric sports utility vehicle, the 5S Pro smartphone and the Xiaomi Pad 7 Ultra tablet. Lei said the company has spent more than 13.5 billion yuan (US$1.87 billion) developing the new chip. "Chips are the underlying core track for Xiaomi to break through in cutting-edge technology," Lei wrote online.

Nvidia's chip-link system

US-based Nvidia launched a new version of its NVLink technology called NVLink Fusion on Monday, saying it will help chip designers build powerful custom artificial intelligence systems with multiple chips linked together. Nvidia developed NVLink years ago to enable exchange of massive amounts of data between various chips. Earlier, it was reported that Nvidia plans to build a research and development center in Shanghai.

Auto 'brain' abandoned

Ford Motor Co abandoned a project to develop the next-generation electrical "brain" of vehicles that its executives earlier called pivotal to compete with electric car pioneers like Tesla, Reuters reported. Ford had invested heavily in the new system. Industry sources said soaring costs and delays torpedoed the project.