Daily Buzz: 16 June 2025

Top News

Iran-Israel war escalates, truce urged

The aerial war between Israel and Iran entered its third day with no truce in sight. Both sides reported mounting casualties as they exchanged missile and drone attacks. Israel, which started the conflict with an overnight attack on Friday, said it won't stop the bombardment until Iran's nuclear facilities are destroyed, and Iran has vowed to retaliate in kind.

Israeli missiles struck an Iranian oil depot and refinery, heightening global fears about oil prices and supply through the vital Hormuz Strait on Iran's border. Crude oil prices have jumped more than 7 percent since the outbreak of hostilities.

At the United Nations, Chinese Ambassador Fu Cong told an emergency meeting of the Security Council that the growing conflict could have "serious consequences." He added, "China urges Israel to immediately stop all risky military actions to avoid further escalation of tensions." Chinese Foreign Minister Wang Yi, in a call with his Israeli counterpart, said Israel's attacks against the sovereignty of Iran violate international law and disputes should be resolved through diplomacy. Both sides, he added, should seek peaceful coexistence, and China stands ready to play a constructive role in that process.

US President Trump said he and Russian President Vladimir Putin, an ally of Iran, agreed in a phone call on Saturday that the war needs to stop.

The Iran-Israeli conflict is expected to top the agenda as leaders of the Group of Seven industrialized nations began a summit in Canada on Sunday.

Lee urges Korean reconciliation

Newly elected South Korean President Lee Jae-myung on Sunday marked the 25th anniversary of the landmark North-South Joint Declaration by calling for a renewed commitment to inter-Korean dialogue and peace. In a social media statement, Lee pledged to seek an end to hostile actions and resume cooperation with North Korea. The original declaration laid the groundwork for reconciliation, independent reunification efforts, family reunions and economic cooperation. Relations in recent years have been frozen.

Shanghai film festival begins

The 27th Shanghai International Film Festival opened in a glittering ceremony that paid tribute to the 120th anniversary of Chinese cinema, the 130th anniversary of world cinema and Shanghai's long contribution to the movie industry. The opening of the 10-day event on Saturday saw a record number of tickets sold. The festival comes as China's film industry basks in global success, with domestically produced movies becoming box office hits abroad.

A spectacle parade, a wave of protests

President Donald Trump, who in the past has expressed admiration for grand military parades staged in Beijing, Pyongyang, Moscow and Paris, finally realized his wish for one in Washington on Saturday. The largest event of its kind in the US since 1991, the parade was held to celebrate the 250th anniversary of the US army and coincided with Trump's 79th birthday. It featured 6,000 soldiers and tanks, armored vehicles and other military equipment.

Meanwhile, in 1,500 cities across the country, thousands turned out for anti-Trump demonstrations called by the "No Kings" protest group, which claims Trump is acting like an absolute monarch instead of an elected president.

Top Business

China National Nuclear to build Kazakhstan reactor

China National Nuclear Corp and Russia's Rosatom have been chosen to lead separate consortiums to build two nuclear power plants in Kazakhstan, the country's atomic energy agency said on Saturday. The announcement came just days before President Xi Jinping makes an official visit to Kazakhstan to attend the China-Central Asia Summit.

Kazakhstan, a country rich in oil and gas reserves, lost its nuclear-power capacity in 1999 when the BN-350 reactor on the shores of the Caspian Sea was decommissioned. Kazakhstan said it plans have 2.4 gigawatts of nuclear generating capacity by 2035.

Separately, China National Petroleum Corp signed an agreement with Kazakhstan's national gas company earlier this year to buy more gas through 2026.

Xi highlights five-year plans

China's top political journal Qiushi is publishing a major article today by President Xi Jinping, emphasizing the importance of planning in national governance. The piece, drawn from Xi's speeches over the past decade, calls China's five-year plans cornerstones of rapid modernization and social development. China is now drafting the five-year plan for 2026-30. Xi urges policymakers to prioritize national rejuvenation and quality growth in long-term development. The piece signals stability as China navigates global headwinds and internal structural challenges.

Economy & Markets

Trading HK stocks with yuan

Chinese mainland investors are expected to be able to buy and sell Hong Kong stocks directly in yuan by the end of the year, officials from the Stock Connect program that links Hong Kong and mainland markets told the Caixin Summer Summit. The announcement comes amid a surge of investment from the mainland that has helped fuel the recent recovery in Hong Kong's stock market.

Vanke takes loss on share repurchase

Ailing property developer China Vanke sold all the shares it repurchased about three years ago at a 62 percent discount to their original buyback price to comply with regulatory requirements. The sale raised 479 million yuan (US$67 million). The incurred loss reflected the steep decline in the company share price over that period. Under Chinese regulations, repurchased shares must be sold within 36 months or canceled.

Corporate

Temu resumes direct deliveries to US

Discount e-commerce site Temu, which is owned by Chinese online retailer PDD Holdings, resumed direct-delivery shipments from China to the US after Washington and Beijing agreed on a framework for a trade deal last week. The company had suspended a big portion of its US business after the Trump administration revoked the duty-free status of its small parcels of low-cost clothing and household goods.

Porsche drops prices

Porsche lowered its prices in China by 20-30 percent to clear inventory amid a slump in mainland sales, according to dealerships. The German automaker's sales in China have declined for three straight years. They fell 42 percent in the first quarter of 2025.

Tencent denies interest in Nexon

Tencent denied a report that it is considering purchase of South Korean gaming company Nexon, Beijing News reported. An earlier report said the Chinese technology giant was exploring a US$15 billion takeover.

Renault chief stepping down

Renault Chief Executive Luca de Meo is leaving the French carmaker after five years, the company said on Sunday. The newspaper Le Figaro reported that he will become the head of Gucci-owner Kering, saying he will replace Francois-Henri Pinault at the luxury-goods company.

Duoli to acquire Spanish subsidiary

Duoli Automotive Technology, a Chinese maker of automotive stamping, die casting and welding equipment, plans to invest 91.5 million (US$13 million) to buy a 52 percent stake in the Chinese subsidiary of Spanish auto-parts supplier Fagor Ederlan. Kunshan-based Fagor Ederlan Auto Parts is a designated supplier to automakers that include BMW and Mercedes-Benz.

AESC stalls US factory construction, opens French plant

Japan-based AESC Group, a battery subsidiary of Shanghai-based Envision Group, has paused construction on a US$1.6 billion factory in the US amid "market uncertainty," the company said in a statement. The project was initially announced in 2022, and construction began in 2023. Meanwhile, AESC began production at a new facility in France earlier this month. It will supply batteries to Renault.

Comac to expand into Laos

The Commercial Aircraft Corporation of China (Comac) is poised to take a majority stake in Lao Airlines, the flag carrier of Laos, the Vientiane Times reported. The deal would see Comac help the airline stem losses and upgrade its operations in exchange for the airline using the Chinese plane-maker's jets.