Year: 2025

In a decisive trade move against China’s semiconductor industry, the US Trade Representative Office said it had determined that Beijing’s drive for dominance in the sector is “unreasonable and discriminatory” and poses a direct threat to US commerce. In a formal Notice of Action filed with the Federal Register, the agency said the US is implementing a tariff action on a wide range of Chinese semiconductors, with an initial rate of 0 per cent. The rate is set to rise in 18 months, on June 23, 2027, to a higher…

Though it did not come as a surprise, the US’ formal ban on the sale of new drones produced by China marks a “milestone” in the two countries’ strategic competition and technological decoupling, analysts said, with their rivalry continuing across numerous fields despite the temporary trade truce agreed between their leaders in October. Washington’s telecommunications regulator said on Monday that it is adding all foreign producers of drones and critical components – including those made by… South China Morning Post

Catch up on some of SCMP’s biggest China stories of the day. If you would like to see more of our reporting, please consider subscribing. 1. Second reusable rocket recovery failure in a month puts China 10 years behind US The Long March 12A, China’s first state-owned reusable rocket, made its debut launch on Tuesday morning but the recovery of the first stage was a failure. 2. ‘Urgent’: has mainland China changed tone for Taiwan peaceful reunification? Analysts examine Taiwan-related policy… South China Morning Post

China has pledged to empower local governments with city-specific measures to clear housing gluts and optimise supply next year, ramping up efforts to stabilise a real estate market that remains a persistent drag on the world’s second-largest economy. “Municipal governments should fully utilise their autonomy in regulating the property market, adjusting and optimising policies as appropriate,” said Ni Hong, the minister of housing and urban-rural development, at a two-day work conference that… South China Morning Post

Taiwan has bolstered security ahead of the coming holidays to pre-empt potential copycat attacks following a deadly mass stabbing that has left the island on edge. The island’s Ministry of the Interior and National Police Agency (NPA) ordered tighter deployments at transport hubs and major events, increased monitoring of online threats and accelerated reviews of police resources and command procedures. Announced in separate statements on Tuesday, the measures came after last week’s violence… South China Morning Post

The US chip designer plans to fulfil initial orders from existing stock, with shipments expected to total 5,000 to 10,000 chip modules – equivalent to about 40,000 to 80,000 H200 AI chips, the ⁠first and second sources said. Nvidia has also told Chinese clients that it plans to add new production capacity for the chips, with orders for that capacity opening in the second quarter of 2026, the third source said. Advertisement Significant uncertainty remains, as Beijing has yet to approve any H200 purchases and the timeline could shift depending…

Germany’s trade deficit with China is on track to hit a record high in 2025 amid shrinking demand for German goods – a trend that appears unlikely to be reversed in the short term and which could trigger a protectionist backlash, according to analysts. China, already Germany’s biggest import partner, is set to increase its total exports to Germany by 7.2 per cent, with the value reaching €168 billion (US$197 billion), according to a forecast last week by Germany Trade and Invest (GTAI), an economic development agency. Meanwhile, Germany’s exports…

One of China’s largest comic conventions has banned Japanese-themed content and derivative works just a week ahead of its opening amid spiralling tension between Tokyo and Beijing. Organisers of the Comicup (CP) 32nd edition “Pre” event – set to take place in Hangzhou on December 27 and 28 – informed exhibitors and visitors on Friday that there would be a “full-scale adjustment” of content shown throughout the venue. “Due to consideration regarding the current social environment and our cultural… South China Morning Post

The yuan has strengthened in recent months, with the offshore rate hitting its highest level against the US dollar in more than a year, fuelling forecasts that it could reach as high as 6.8 in 2026. The currency’s international profile has also inched upwards as Beijing pushes for wider global use. In this explainer, the Post reviews the yuan’s progress across several fronts, drawing on a recent analysis by Betty Wang, head of North Asia research at Oxford Economics. How far has the yuan advanced internationally? The yuan has seen…