China’s consumer prices fell into negative territory in February, marking the first deflationary trend in over a year. The national consumer price index declined 0.7 percent year-on-year, reversing a 0.5 percent gain in January, according to the Chinese National Bureau of Statistics.

Deflation hits China despite stimulus efforts

Tesla Inc. is projected to announce an 8% increase in third-quarter electric vehicle deliveries this Wednesday, according to Wall Street analysts, primarily driven by strategic incentives and financing plans in China. This growth comes despite broader economic challenges and intensifying competition in the world's largest automotive market.

Industry experts, surveyed by LSEG, anticipate the electric vehicle pioneer to report deliveries of approximately 469,828 vehicles for the quarter, marking its strongest third-quarter performance to date. This figure represents a significant increase from the approximately 435,000 vehicles delivered in the same period last year.

The projected growth is largely attributed to Tesla's tactical response to sluggish consumer spending in China, where the company faces both economic headwinds and rising competition from domestic manufacturers, notably BYD. In a strategic pivot this spring, Tesla introduced a comprehensive package of incentives, including:

- Attractive insurance deals 
- Discounts on select paint options 
- Zero-interest financing for up to five years

These initiatives appear to have successfully stimulated sales, with data from the China Passenger Car Association (CPCA) indicating stronger performance in July and August, reversing a trend of declining deliveries over the previous two quarters.

Scott Acheychek, Chief Operating Officer of REX Financial, which manages Tesla-focused exchange-traded funds, emphasized the significance of the Chinese market: "China, accounting for one-third of Tesla's sales, remains a crucial growth driver for the company."

Breaking down the anticipated deliveries by model, Deutsche Bank analysts forecast:

- Approximately 139,000 Model 3 sedans 
- Around 296,400 Model Y SUVs 
- A combined total of 13,350 premium Model S sedans and Model X SUVs 
- An estimated 13,500 Cybertruck pickups

The company's performance in China has been further bolstered by increased government support, including:

1. Enhanced subsidies encouraging the transition from traditional vehicles to electric alternatives 
2. The inclusion of Tesla vehicles, particularly the popular Model Y SUV, in government procurement lists

Looking at the broader picture for 2024, Ken Mahoney, CEO of Tesla investor Mahoney Asset Management, suggests that the combination of strong Chinese sales and the recent interest rate reduction by the U.S. Federal Reserve could position Tesla to match its projected 2023 delivery target of 1.8 million vehicles.

However, Tesla faces significant challenges in maintaining its growth trajectory:

- Slowing EV demand in the United States 
- Reduced subsidies in European markets 
- The need to deliver approximately 979,000 vehicles in the second half of 2023 to achieve its annual target

The company's future strategy appears to be shifting, with CEO Elon Musk's announcement of an upcoming robotaxi product unveiling on October 10. This move represents a significant pivot from Tesla's previous focus on developing an affordable electric car, and some analysts suggest it could potentially unlock substantial value for the company.

First-half delivery figures for 2023 reached approximately 831,000 vehicles. The pressure is now on Tesla to demonstrate strong performance in the latter half of the year to maintain investor confidence and address concerns about future EV demand. This comes at a critical juncture as the company balances multiple strategic initiatives:

- Ramping up Cybertruck production, with goals of reaching 250,000 units annually by next year 
- Navigating varying market conditions across different global regions 
- Developing and introducing new technological innovations

As Tesla approaches this crucial earnings announcement, the automotive industry and investors alike will be watching closely to see if the company's strategic decisions in China will indeed translate into the anticipated delivery growth, potentially setting the stage for continued expansion in 2024 and beyond. 
&nbsp;

Tesla Inc. is projected to announce an 8% increase in third-quarter electric vehicle deliveries this Wednesday, according to Wall Street analysts, primarily driven by strategic incentives and financing plans in China.

Tesla Inc. is projected to announce an 8% increase in third-quarter electric vehicle deliveries this Wednesday, according to Wall Street analysts, primarily driven by strategic incentives and financing plans in China. This growth comes despite broader economic challenges and intensifying competition in the world's largest automotive market. Industry experts, surveyed by LSEG, anticipate the electric vehicle pioneer to report deliveries of approximately 469,828 vehicles for the quarter, marking its strongest third-quarter performance to date. This figure represents a significant increase from the approximately 435,000 vehicles delivered in the same period last year. The projected growth is largely attributed to Tesla's tactical response to sluggish consumer spending in China, where the company faces both economic headwinds and rising competition from domestic manufacturers, notably BYD. In a strategic pivot this spring, Tesla introduced a comprehensive package of incentives, including: - Attractive insurance deals - Discounts on select paint options - Zero-interest financing for up to five years These initiatives appear to have successfully stimulated sales, with data from the China Passenger Car Association (CPCA) indicating stronger performance in July and August, reversing a trend of declining deliveries over the previous two quarters. Scott Acheychek, Chief Operating Officer of REX Financial, which manages Tesla-focused exchange-traded funds, emphasized the significance of the Chinese market: "China, accounting for one-third of Tesla's sales, remains a crucial growth driver for the company." Breaking down the anticipated deliveries by model, Deutsche Bank analysts forecast: - Approximately 139,000 Model 3 sedans - Around 296,400 Model Y SUVs - A combined total of 13,350 premium Model S sedans and Model X SUVs - An estimated 13,500 Cybertruck pickups The company's performance in China has been further bolstered by increased government support, including: 1. Enhanced subsidies encouraging the transition from traditional vehicles to electric alternatives 2. The inclusion of Tesla vehicles, particularly the popular Model Y SUV, in government procurement lists Looking at the broader picture for 2024, Ken Mahoney, CEO of Tesla investor Mahoney Asset Management, suggests that the combination of strong Chinese sales and the recent interest rate reduction by the U.S. Federal Reserve could position Tesla to match its projected 2023 delivery target of 1.8 million vehicles. However, Tesla faces significant challenges in maintaining its growth trajectory: - Slowing EV demand in the United States - Reduced subsidies in European markets - The need to deliver approximately 979,000 vehicles in the second half of 2023 to achieve its annual target The company's future strategy appears to be shifting, with CEO Elon Musk's announcement of an upcoming robotaxi product unveiling on October 10. This move represents a significant pivot from Tesla's previous focus on developing an affordable electric car, and some analysts suggest it could potentially unlock substantial value for the company. First-half delivery figures for 2023 reached approximately 831,000 vehicles. The pressure is now on Tesla to demonstrate strong performance in the latter half of the year to maintain investor confidence and address concerns about future EV demand. This comes at a critical juncture as the company balances multiple strategic initiatives: - Ramping up Cybertruck production, with goals of reaching 250,000 units annually by next year - Navigating varying market conditions across different global regions - Developing and introducing new technological innovations As Tesla approaches this crucial earnings announcement, the automotive industry and investors alike will be watching closely to see if the company's strategic decisions in China will indeed translate into the anticipated delivery growth, potentially setting the stage for continued expansion in 2024 and beyond.

Tesla poised for record Q3 deliveries as Chinese market strategy pays off

Signs of a downward spiral of deflation in China's economy is emerging. This casts doubt on the future of the world's second-largest economy and prompts demands for swift intervention. While wages are falling, data released on Monday showed that consumer price increase was almost nonexistent through much of the economy, with the exception of food prices. Bloomberg economics and experts at BNP Paribas predict that the gross domestic product deflator, a more comprehensive indicator of economic prices, would likely continue its current five-quarter decline until 2025. That would be the longest period of deflation in china since data tracking started in 1993. It's a cycle the world has seen before in japan, starting in the 1990s during a period that came to be known as its "Lost decades."

China's deflation to sprial further

China's yearly growth target is under pressure. The reason: The country's consumer prices rose at a slower-than-expected rate last month. This adds to the evidence that officials are having trouble getting households to spend.

China's consumer prices rose less than expected in August

Saudi Aramco is expanding its investments in China as part of a strategic push to transform more of its crude oil into chemicals. This move is set to include additional investments in chemical plants in China this year and next.

Saudi Aramco targets more chemical plants in China

Recent earnings reports from US consumer giants reveal a significant drag from the Chinese market, despite its large population and economic potential.

Weak Chinese demand hits big corporations

China's property market struggles with a slew of unsold homes. The government has unveiled a $41 billion plan to convert them into affordable housing. But will it be enough to revive the ailing sector?

Modest returns expected from China's affordable housing push

On Monday, Asian stocks were a mixed bag, with enduring worries about a slowdown in China's economy offsetting positive signals from U.S. markets regarding the possibility of an early interest rate cut by the Federal Reserve.

Global Markets Roundup: Asia shares mixed as investors wait for key data

A mysterious screenshot triggered a $450 billion rally in Chinese markets. Molly Gambhir tells you how

Gravitas: A screenshot triggers a rally in Chinese markets

China’s currency yuan slipped to a 14-year low against the US dollar and also hit a record low in the international trading market on Wednesday, despite the country’s central bank’s best efforts to stem the flow.

The Chinese currency fell to 7.2 to the dollar in the international market for the time since a separate currency trading system was established outside mainland China over a decade ago.

In the onshore markets as well, the yuan depreciated to 7.2 to the dollar, its lowest level since January 2008.

The People’s Bank of China issued a statement on Wednesday evening in a bid the calm the nerves of the investors, stating that it is strictly monitoring the market movements.

“The foreign exchange market is of great importance, and maintaining its stability is the top priority,” it stated.

The bank urged investors not to bet on the unilateral appreciation or depreciation of the yuan, and called on regional banks to curb such activity.

It also said some companies have been engaging in currency speculation or flouting regulations, without giving details.

Also read |&nbsp;<a href="https://www.wionews.com/world/as-pound-slips-bank-of-england-steps-into-buy-bonds-and-restore-parity-520510">As pound slips, Bank of England steps in to buy bonds and restore parity</a>

The yuan “has withstood the test of many rounds of external shocks…You will lose if you keep betting”, it said.

The slide of the Chinese currency follows the US interest rate hikes which prompted traders to convert money into dollars in search of higher returns.

Also read |&nbsp;<a href="https://www.wionews.com/world/pound-hits-all-time-low-against-dollar-as-liz-truss-tax-cuts-come-under-pressure-519650" target="_blank">Pound hits all-time low against dollar as Liz Truss' tax cuts come under pressure</a>

A weaker currency generally augurs well for the Chinese exporters as it makes goods cheaper abroad, but it can also lead to investors pulling their money out of the country.

Apart from China, there have been many Asian markets which saw their currency fall against the dollar, after US Fed hiked interest rates.

Last week, the Bank of Japan intervened to support the yen for the first time since 1998, after the currency weakened against the dollar.

WATCH WION LIVE HERE: 

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" loading="”lazy”" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

China’s currency yuan slipped to a 14-year low against the US dollar and also hit a record low in the international trading market on Wednesday, despite the country’s central bank’s best efforts to stem the flow.

China’s currency yuan slipped to a 14-year low against the US dollar and also hit a record low in the international trading market on Wednesday, despite the country’s central bank’s best efforts to stem the flow. The Chinese currency fell to 7.2 to the dollar in the international market for the time since a separate currency trading system was established outside mainland China over a decade ago. In the onshore markets as well, the yuan depreciated to 7.2 to the dollar, its lowest level since January 2008. The People’s Bank of China issued a statement on Wednesday evening in a bid the calm the nerves of the investors, stating that it is strictly monitoring the market movements. “The foreign exchange market is of great importance, and maintaining its stability is the top priority,” it stated. The bank urged investors not to bet on the unilateral appreciation or depreciation of the yuan, and called on regional banks to curb such activity. It also said some companies have been engaging in currency speculation or flouting regulations, without giving details. Also read | As pound slips, Bank of England steps in to buy bonds and restore parity The yuan “has withstood the test of many rounds of external shocks…You will lose if you keep betting”, it said. The slide of the Chinese currency follows the US interest rate hikes which prompted traders to convert money into dollars in search of higher returns. Also read | Pound hits all-time low against dollar as Liz Truss' tax cuts come under pressure A weaker currency generally augurs well for the Chinese exporters as it makes goods cheaper abroad, but it can also lead to investors pulling their money out of the country. Apart from China, there have been many Asian markets which saw their currency fall against the dollar, after US Fed hiked interest rates. Last week, the Bank of Japan intervened to support the yen for the first time since 1998, after the currency weakened against the dollar. WATCH WION LIVE HERE:

China’s yuan slides to record 14-year low against US dollar

Two new research have come to the fore that conclusively links the origins of the COVID-19 virus to Huanan Seafood Market in Wuhan, China, indicating that the virus emerged from the animals sold in the market and that it was not a lab creation.

According to CNN, the studies were posted online as preprints in February and have now undergone peer review. They were published on Tuesday in the journal Science.

Though both studies took different approaches, they arrived at the same conclusion—the animal market in Wuhan was most likely the epicentre for the Covid.

What does the first study say?

In the first study, the Chinese scientists and evolutionary biologist Michael Worobey and his colleagues from the University of Arizona collated data by using mapping tools and a social media app to determine the spatial and environmental analysis.

They claimed that the coronavirus was probably present in live animals sold at the market in late 2019 but maintained that the "exact circumstances remain obscure."

“This is an indication that the virus started spreading in people who worked at the market but then started to spread into the local community,” Worobey said in a press conference, reports AP news agency.

The scientists claimed that the earliest COVID-19 cases emanated among market vendors who sold these live animals or people who shopped there. They believe that there were two separate viruses circulating in the animals that infected people.

"All eight COVID-19 cases detected prior to December 20 were from the western side of the market, where mammal species were also sold," the study says.

The second study

The other study, however, gives a microscopic analysis to determine when the first coronavirus infection jumped from animals to humans starting with the earliest sample genomes in December 2019 and extending through mid-February 2020.&nbsp;

According to this research, the earliest version of the coronavirus probably had two lineages, which scientists call A and B. It said that these lineages were the result of at least two cross-species transmission events into humans.

Also read |&nbsp;<a href="https://www.wionews.com/world/strict-restrictions-in-place-at-chinese-city-of-wuhan-amid-rise-in-covid-cases-501003" hreflang="en">Strict restrictions in place at Chinese city of Wuhan amid rise in Covid cases</a>

The study claims that the first animal-to-human transmission probably came from lineage B and happened around November 18, 2019. They found the lineage B type in people who had a direct connection to the animal market.

They suggest that lineage A was introduced into humans from an animal within weeks or even days of the infection from lineage B. This lineage was found in samples from humans who lived or stayed close to the market.

Also read |&nbsp;<a href="https://www.wionews.com/world/who-states-monkeypox-transmission-not-limited-to-gay-men-says-not-the-case-everywhere-501026" hreflang="en">WHO states monkeypox transmission not limited to gay men, says 'not the case everywhere'</a>

"These findings indicate that it is unlikely that SARS-CoV-2 circulated widely in humans prior to November 2019 and define the narrow window between when SARS-CoV-2 first jumped into humans and when the first cases of COVID-19 were reported," the study says.

&nbsp;"As with other coronaviruses, SARS-CoV-2 emergence likely resulted from multiple zoonotic events."

The scientists concluded&nbsp;by hoping&nbsp;that they can determine exactly what animal may have become first infected and how to reduce the chances of future pandemics.

(With inputs from agencies)

&nbsp;

WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

Two new research have come to the fore that conclusively links the origins of the COVID-19 virus to Huanan Seafood Market in Wuhan, China, indicating that the virus emerged from the animals sold in the market and that it was not a lab creation.

Two new research have come to the fore that conclusively links the origins of the COVID-19 virus to Huanan Seafood Market in Wuhan, China, indicating that the virus emerged from the animals sold in the market and that it was not a lab creation. According to CNN, the studies were posted online as preprints in February and have now undergone peer review. They were published on Tuesday in the journal Science. Though both studies took different approaches, they arrived at the same conclusion—the animal market in Wuhan was most likely the epicentre for the Covid. What does the first study say? In the first study, the Chinese scientists and evolutionary biologist Michael Worobey and his colleagues from the University of Arizona collated data by using mapping tools and a social media app to determine the spatial and environmental analysis. They claimed that the coronavirus was probably present in live animals sold at the market in late 2019 but maintained that the "exact circumstances remain obscure." “This is an indication that the virus started spreading in people who worked at the market but then started to spread into the local community,” Worobey said in a press conference, reports AP news agency. The scientists claimed that the earliest COVID-19 cases emanated among market vendors who sold these live animals or people who shopped there. They believe that there were two separate viruses circulating in the animals that infected people. "All eight COVID-19 cases detected prior to December 20 were from the western side of the market, where mammal species were also sold," the study says. The second study The other study, however, gives a microscopic analysis to determine when the first coronavirus infection jumped from animals to humans starting with the earliest sample genomes in December 2019 and extending through mid-February 2020. According to this research, the earliest version of the coronavirus probably had two lineages, which scientists call A and B. It said that these lineages were the result of at least two cross-species transmission events into humans. Also read | Strict restrictions in place at Chinese city of Wuhan amid rise in Covid cases The study claims that the first animal-to-human transmission probably came from lineage B and happened around November 18, 2019. They found the lineage B type in people who had a direct connection to the animal market. They suggest that lineage A was introduced into humans from an animal within weeks or even days of the infection from lineage B. This lineage was found in samples from humans who lived or stayed close to the market. Also read | WHO states monkeypox transmission not limited to gay men, says 'not the case everywhere' "These findings indicate that it is unlikely that SARS-CoV-2 circulated widely in humans prior to November 2019 and define the narrow window between when SARS-CoV-2 first jumped into humans and when the first cases of COVID-19 were reported," the study says. "As with other coronaviruses, SARS-CoV-2 emergence likely resulted from multiple zoonotic events." The scientists concluded by hoping that they can determine exactly what animal may have become first infected and how to reduce the chances of future pandemics. (With inputs from agencies) WATCH WION LIVE HERE

Two new studies confirm COVID-19 virus originated from Wuhan animal market

On Tuesday, two new studies were published in journal Science that said the Covid virus originated from China’s Wuhan animal market. Both pointed out that the virus was transmitted from live animals and infected the people, including the vendors, who were present in the market.

The latest studies attest to the long-held assertions that the virus originated in China as it was here the first cases emerged. COVID-19 was first detected in Wuhan in late 2019.&nbsp;

As the virus was taking its toll on the world over, causing deaths and destroying livelihoods, the call for a probe first came from the United States. Former president Donald Trump repeatedly accused China of engineering the virus from a lab in Wuhan. And when Joe Biden took over, he asked for a report on the origins of Covid-19, "including whether it emerged from human contact with an infected animal or from a laboratory accident".

Soon, other countries joined in and sought a thorough probe to see how the virus emerged in the first place.

WHO's failure

But much of the larger criticism was directed at the World Health Organisation (WHO) which showed initial reluctance to declare Covid a public health emergency.

The WHO first learned of a “mysterious pneumonia outbreak” in Wuhan on December 31, 2019. But it was not until January 30, 2020, that WHO chief Tedros Adhanom Ghebreyesus declared the situation a Public Health Emergency of International Concern —the highest level of alarm under international health rules.

It was lambasted for allowing more than a year to pass before managing to send in a team of international experts to investigate the origins of the virus, and was accused of allowing China to dictate the parameters of their mission.

Amid intense criticism, WHO finally decided to send a team of legal experts to Wuhan to determine the origins of the virus

Did China pressure WHO to drop lab theory?

In February 2021, the WHO-led team travelled to China to investigate the origins of the COVID-19 pandemic.

But according to reports, China refused to cooperate with the WHO team when the team sought raw data on the 174 identified cases of Covid-19 from Wuhan in December 2019.

Microbiologist Dominic Dwyer, who was one of the members&nbsp;of WHO visiting Wuhan, told Reuters and the New York Times that as a “standard practice” the team requested raw patient data from early cases.&nbsp;He added that his team only received a summary.

"That's why we've persisted to ask for that," Prof Dwyer said at the time. "Why that doesn't happen, I couldn't comment. Whether it's political or time or it's difficult... But whether there are any other reasons why the data isn't available, I don't know. One would only speculate."

China’s response

From the start, China has shown signs of apprehension whenever the Wuhan market was blamed for the Covid pandemic. When US and other countries sought probe and asked for data, Beijing accused the West of “blame shifting”.

Beijing has emphatically rejected the idea that coronavirus could have come from Wuhan, alleging that Washington is attempting to politicise its origins.

Moreover, it also pushed a counter-theory blaming the US for spreading the virus without any scientific evidence.

Also read |&nbsp;<a href="https://www.wionews.com/world/strict-restrictions-in-place-at-chinese-city-of-wuhan-amid-rise-in-covid-cases-501003" hreflang="en">Strict restrictions in place at Chinese city of Wuhan amid rise in Covid cases</a>

On July 7 last year, Chinese ministry spokesperson Zhao Lijian had blamed the US Army for introducing the virus in Wuhan.

Also read |&nbsp;<a href="https://www.wionews.com/world/two-new-studies-say-covid-19-virus-originated-from-wuhan-animal-market-501032" hreflang="en">Two new studies confirm Covid virus originated from Wuhan animal market</a>

“When did patient zero begin in US? How many people are infected? What are the names of the hospitals? It might be US army who brought the epidemic to Wuhan. Be transparent! Make public your data! US owe us an explanation!” Zhao had written on Twitter.

Zhao did not offer any evidence for his suggestion that the US military might be to blame for the outbreak in China.

WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

On Tuesday, two new studies were published in journal Science that said the Covid virus originated from China’s Wuhan animal market. Both pointed out that the virus was transmitted from live animals and infected the people, including the vendors, who were present in the market.

On Tuesday, two new studies were published in journal Science that said the Covid virus originated from China’s Wuhan animal market. Both pointed out that the virus was transmitted from live animals and infected the people, including the vendors, who were present in the market. The latest studies attest to the long-held assertions that the virus originated in China as it was here the first cases emerged. COVID-19 was first detected in Wuhan in late 2019. As the virus was taking its toll on the world over, causing deaths and destroying livelihoods, the call for a probe first came from the United States. Former president Donald Trump repeatedly accused China of engineering the virus from a lab in Wuhan. And when Joe Biden took over, he asked for a report on the origins of Covid-19, "including whether it emerged from human contact with an infected animal or from a laboratory accident". Soon, other countries joined in and sought a thorough probe to see how the virus emerged in the first place. WHO's failure But much of the larger criticism was directed at the World Health Organisation (WHO) which showed initial reluctance to declare Covid a public health emergency. The WHO first learned of a “mysterious pneumonia outbreak” in Wuhan on December 31, 2019. But it was not until January 30, 2020, that WHO chief Tedros Adhanom Ghebreyesus declared the situation a Public Health Emergency of International Concern —the highest level of alarm under international health rules. It was lambasted for allowing more than a year to pass before managing to send in a team of international experts to investigate the origins of the virus, and was accused of allowing China to dictate the parameters of their mission. Amid intense criticism, WHO finally decided to send a team of legal experts to Wuhan to determine the origins of the virus Did China pressure WHO to drop lab theory? In February 2021, the WHO-led team travelled to China to investigate the origins of the COVID-19 pandemic. But according to reports, China refused to cooperate with the WHO team when the team sought raw data on the 174 identified cases of Covid-19 from Wuhan in December 2019. Microbiologist Dominic Dwyer, who was one of the members of WHO visiting Wuhan, told Reuters and the New York Times that as a “standard practice” the team requested raw patient data from early cases. He added that his team only received a summary. "That's why we've persisted to ask for that," Prof Dwyer said at the time. "Why that doesn't happen, I couldn't comment. Whether it's political or time or it's difficult... But whether there are any other reasons why the data isn't available, I don't know. One would only speculate." China’s response From the start, China has shown signs of apprehension whenever the Wuhan market was blamed for the Covid pandemic. When US and other countries sought probe and asked for data, Beijing accused the West of “blame shifting”. Beijing has emphatically rejected the idea that coronavirus could have come from Wuhan, alleging that Washington is attempting to politicise its origins. Moreover, it also pushed a counter-theory blaming the US for spreading the virus without any scientific evidence. Also read | Strict restrictions in place at Chinese city of Wuhan amid rise in Covid cases On July 7 last year, Chinese ministry spokesperson Zhao Lijian had blamed the US Army for introducing the virus in Wuhan. Also read | Two new studies confirm Covid virus originated from Wuhan animal market “When did patient zero begin in US? How many people are infected? What are the names of the hospitals? It might be US army who brought the epidemic to Wuhan. Be transparent! Make public your data! US owe us an explanation!” Zhao had written on Twitter. Zhao did not offer any evidence for his suggestion that the US military might be to blame for the outbreak in China. WATCH WION LIVE HERE

How China tried to spin Covid origins theory when world pointed at Wuhan

With an idea to give EU firms better access to the Chinese market, China and the European Union are likely to clinch a new investment deal this week.

Reports: EU and China likely to clinch new investment deal this week

The cases of coronavirus were reported in China's capital Beijing in the past five days, health authorities said the virus was detected on "chopping boards" used to handle imported salmon at Xinfadi market. However, China's CDC has now confirmed that their is no evidence for this theory.

Inside Xinfadi | China's largest market | Market at centre of Beijing's 2nd COVID-19 wave

After 106 cases of coronavirus was reported in China's capital Beijing in the past five days, health authorities said the virus was detected on "chopping boards" used to handle imported salmon at Xinfadi market

Beijing's wholesale Xinfadi market at the centre of new COVID-19 cluster

Alibaba Group has agreed to buy e-commerce business Kaola from Chinese gaming company NetEase for $2 billion, adding a platform that specializes in supplying curated luxury goods from abroad to domestic consumers.

Alibaba, which is looking for new revenue drivers as the e-commerce market at home matures, will also invest $700 million for a minority stake in Netease's music streaming arm as it takes on Chinese market leader Tencent Music.

The long-rumoured Kaola deal and the music investment highlight at once a defensive move to keep niche growth players out of the hands of e-commerce rivals such as Pinduoduo and Alibaba's flexibility in adopting new strategies.

Kaola, launched by NetEase in 2015, aggressively targets shoppers in China by offering products from top brands such as Gucci, Shisheido and Burberry, primarily sourcing goods directly from suppliers to resell to consumers.

Its more curated product line up based on popularity ensures it a loyal consumer base of shoppers, whereas Alibaba's Tmall allows a larger range of overseas brands to launch and manage virtual storefronts on its platform, said Ker Zheng, who tracks China's online retail sector at consultancy Azoya.

"Kaola does not have to share user time or basket space with cheaper, non-imported products," said Zheng.

Kaola and Yanxuan, another NetEase-run line of private-label, company-branded goods, accounted for nearly half the gaming company's revenue in the June quarter.

NetEase does not break down sales from Kaola.

Playing defence

The Kaola deal will boost Alibaba's access to wealthy Chinese buyers, who account for more than a third of the luxury goods sector's worldwide revenues, as online sales slow at home.

Online retail sales in China grew 17.8 per cent in the first half of 2019, versus 32.4 per cent a year earlier, government data shows.

The acquisition will also help the tech giant face rising competition from rivals such as Pinduoduo.

In response to competition from Pinduoduo, which offers group-buying deals on household goods, Alibaba has already revamped Juhuasuan, its group-buying service.

It also launched Taobao Xinxuan, a line of private-label, house-brand goods.

"Pinduoduo has a will to move towards international brands or cross-border e-commerce, so in the future, they would definitely want Kaola. For Alibaba, they'd want to prevent this," said Liu Yiming, who tracks China's e-commerce sector at the research division of 36kr.

The investment in NetEase Cloud Music, along with private-equity firm Yunfeng, which is backed by the tech giant's founder Jack Ma, is also a way for Alibaba and NetEase to ally against a common rival,&nbsp;Tencent Holdings.

Tencent Music dominates the Chinese music streaming market with an 83.8% share through three streaming services, according to Quest Mobile and Macquarie Research, but it recently reported the slowest increase in a key growth metric.

It is under investigation by China's antitrust authority in a review that could end exclusive licensing deals it forged with the world's biggest record labels, Bloomberg has reported.

Alibaba Group has agreed to buy e-commerce business Kaola from Chinese gaming company NetEase for $2 billion, adding a platform that specializes in supplying curated luxury goods from abroad to domestic consumers.

Alibaba Group has agreed to buy e-commerce business Kaola from Chinese gaming company NetEase for $2 billion, adding a platform that specializes in supplying curated luxury goods from abroad to domestic consumers. Alibaba, which is looking for new revenue drivers as the e-commerce market at home matures, will also invest $700 million for a minority stake in Netease's music streaming arm as it takes on Chinese market leader Tencent Music. The long-rumoured Kaola deal and the music investment highlight at once a defensive move to keep niche growth players out of the hands of e-commerce rivals such as Pinduoduo and Alibaba's flexibility in adopting new strategies. Kaola, launched by NetEase in 2015, aggressively targets shoppers in China by offering products from top brands such as Gucci, Shisheido and Burberry, primarily sourcing goods directly from suppliers to resell to consumers. Its more curated product line up based on popularity ensures it a loyal consumer base of shoppers, whereas Alibaba's Tmall allows a larger range of overseas brands to launch and manage virtual storefronts on its platform, said Ker Zheng, who tracks China's online retail sector at consultancy Azoya. "Kaola does not have to share user time or basket space with cheaper, non-imported products," said Zheng. Kaola and Yanxuan, another NetEase-run line of private-label, company-branded goods, accounted for nearly half the gaming company's revenue in the June quarter. NetEase does not break down sales from Kaola. Playing defence The Kaola deal will boost Alibaba's access to wealthy Chinese buyers, who account for more than a third of the luxury goods sector's worldwide revenues, as online sales slow at home. Online retail sales in China grew 17.8 per cent in the first half of 2019, versus 32.4 per cent a year earlier, government data shows. The acquisition will also help the tech giant face rising competition from rivals such as Pinduoduo. In response to competition from Pinduoduo, which offers group-buying deals on household goods, Alibaba has already revamped Juhuasuan, its group-buying service. It also launched Taobao Xinxuan, a line of private-label, house-brand goods. "Pinduoduo has a will to move towards international brands or cross-border e-commerce, so in the future, they would definitely want Kaola. For Alibaba, they'd want to prevent this," said Liu Yiming, who tracks China's e-commerce sector at the research division of 36kr. The investment in NetEase Cloud Music, along with private-equity firm Yunfeng, which is backed by the tech giant's founder Jack Ma, is also a way for Alibaba and NetEase to ally against a common rival, Tencent Holdings. Tencent Music dominates the Chinese music streaming market with an 83.8% share through three streaming services, according to Quest Mobile and Macquarie Research, but it recently reported the slowest increase in a key growth metric. It is under investigation by China's antitrust authority in a review that could end exclusive licensing deals it forged with the world's biggest record labels, Bloomberg has reported.

Alibaba dials up luxury push with $2 billion buys of Netease e-commerce arm

Singapore's third derivatives exchange kicked off trading&nbsp;on Friday&nbsp;with the launch of palm oil futures, as the largely China-backed bourse looks to get a foothold in the region in preparation for other contracts down the line.

The Asia Pacific Exchange (APEX) hopes the US&nbsp;dollar-denominated palm olein futures will give traders another option beyond benchmark ringgit-denominated contracts and is touting the market as a place for Southeast Asian sellers and other international players to get access to Chinese buyers.

"Right now, China's market is more domestic, we are trying to bring out the Chinese market to international players," APEX's Chief Executive Eugene Zhu told reporters after the launch.

APEX's September palm olein futures contract opened at $635 a tonne and was last down 0.3 percent. A November contract was up 1.7 percent after opening at $650 a tonne.

"Traded volume in the first half-hour seems very good, but we need to see if this is just first-day euphoria or if the market can sustain," said a palm oil futures trader in Kuala Lumpur. He declined to be identified as he was not authorised to speak with media.

Under the contracts, palm olein is for physical delivery, on a Free on Board (FOB) basis, at Pasir Gudang and Port Klang in Malaysia, while in Indonesia, it is for delivery at Belawan and Dumai ports. Those two countries produce nearly 90 percent of the world's palm oil, used to churn out products ranging from chocolate to soap.

APEX's major shareholders include Chinese conglomerate CEFC China Energy, Chinese futures commission merchant Xinhua Group and other international investment funds.

China is the world's No.2 buyer of palm oil, with the commodity comprising about 70 percent of its edible oil imports.

Zhu, the former head of the Dalian Commodity Exchange (DCE), said the palm futures would complement other exchanges in the region.

"There will arbitrage opportunities and it will help to generate more volumes for all the exchanges," Zhu said.

The benchmark palm oil contract on the Bursa Malaysia Derivatives Exchange was trading down 1.1 percent&nbsp;on Friday, while the most-active palm olein contract on the DCE had eased slightly.

Bursa Malaysia launched dollar-denominated crude palm oil and palm olein contracts over the last decade, but Kuala Lumpur-based traders said trading volumes for both contracts are close to zero due to a lack of market makers.

APEX plans to offer other futures and options based on commodities from sectors including agriculture, energy, petrochemicals and metals, as well as on interest rates and stock indices.

'Right now, China's market is more domestic, we are trying to bring out the Chinese market to international players,' APEX's Chief Executive Eugene Zhu said

Singapore's third derivatives exchange kicked off trading on Friday with the launch of palm oil futures, as the largely China-backed bourse looks to get a foothold in the region in preparation for other contracts down the line. The Asia Pacific Exchange (APEX) hopes the US dollar-denominated palm olein futures will give traders another option beyond benchmark ringgit-denominated contracts and is touting the market as a place for Southeast Asian sellers and other international players to get access to Chinese buyers. "Right now, China's market is more domestic, we are trying to bring out the Chinese market to international players," APEX's Chief Executive Eugene Zhu told reporters after the launch. APEX's September palm olein futures contract opened at $635 a tonne and was last down 0.3 percent. A November contract was up 1.7 percent after opening at $650 a tonne. "Traded volume in the first half-hour seems very good, but we need to see if this is just first-day euphoria or if the market can sustain," said a palm oil futures trader in Kuala Lumpur. He declined to be identified as he was not authorised to speak with media. Under the contracts, palm olein is for physical delivery, on a Free on Board (FOB) basis, at Pasir Gudang and Port Klang in Malaysia, while in Indonesia, it is for delivery at Belawan and Dumai ports. Those two countries produce nearly 90 percent of the world's palm oil, used to churn out products ranging from chocolate to soap. APEX's major shareholders include Chinese conglomerate CEFC China Energy, Chinese futures commission merchant Xinhua Group and other international investment funds. China is the world's No.2 buyer of palm oil, with the commodity comprising about 70 percent of its edible oil imports. Zhu, the former head of the Dalian Commodity Exchange (DCE), said the palm futures would complement other exchanges in the region. "There will arbitrage opportunities and it will help to generate more volumes for all the exchanges," Zhu said. The benchmark palm oil contract on the Bursa Malaysia Derivatives Exchange was trading down 1.1 percent on Friday, while the most-active palm olein contract on the DCE had eased slightly. Bursa Malaysia launched dollar-denominated crude palm oil and palm olein contracts over the last decade, but Kuala Lumpur-based traders said trading volumes for both contracts are close to zero due to a lack of market makers. APEX plans to offer other futures and options based on commodities from sectors including agriculture, energy, petrochemicals and metals, as well as on interest rates and stock indices.

New Singapore exchange kicks off trading with palm oil futures

Traders in the liquefied petroleum gas (LPG) market face a &quot;career-ruining&quot; glut that has led to millions of dollars in losses as Chinese buyers, far from coming to the rescue, are in a stand-off with oil companies to cancel deals. 
 
LPG, a historically niche and dislocated market, has ballooned with the advent of US exports due to the shale boom. The United States went from an importer to the largest single exporter of propane in just a few years, rivalling the West Asia Gulf producers. 
 
&quot;I can&#39;t remember it being this bad. There was massive new production out of the US and people hoped the Chinese market might absorb it,&quot; one LPG trader said. 
 
&quot;There was strong buying in the first four months of the year with low oil prices but that stopped and the market is now a few million tonnes long.&quot; 
 
Traders scrambling to mitigate losses&nbsp; 
 
A glut was expected, but its severity caught most by surprise and will likely serve as a warning to those trading liquefied natural gas, which is increasingly oversupplied. 
 
LPG is the collective term for propane and butane. The United States exports mostly propane used for heating and in the petrochemical industry to make propylene, a base for plastics manufacturing. 
 
Traders have been left scrambling to mitigate losses as China has failed to be the driver of demand. 
 
At least five companies- Vitol, Gunvor, Shell, BP and EDF Trading cancelled July-loading cargoes out of the two major Texas LPG terminals, preferring to pay penalties of up to $1 million per cargo. 
 
Many LPG traders signed up for multi-year contracts but premiums to the US benchmark on a spot basis sunk by about $40 a tonne this year, undercutting the term lifters. 
 
The contracts were also signed when the US benchmark was around a $150 to $200-per-tonne discount to the European benchmark and Saudi Arabia&#39;s official selling price. But spreads shrunk dramatically in 2016, making US exports suddenly unappealing to Asia. 
 
Chinese end-users are now cancelling or renegotiating their term contracts, taking advantage of product overhangs in the Middle East and a cheaper alternative feedstock, naphtha. 
 
Asian demand slowed earlier this year on weak propylene margins, which led to run cuts and delayed new plant start-ups. After hitting a trough, the market is expected to rebalance by the year-end though supply will continue to outpace demand. 
 
&quot;Non-associated gas output means there will be a steady rise in natural gas liquids output despite the oil price doldrums. This trend will continue in the medium term,&quot; Al Troner, head of Asia Pacific Energy Consulting in Houston, said. 
 
Showdown in Court 
 
The disputes have, in some cases, devolved into open altercations and tanker stand-offs. 
 
At an LPG conference earlier this year in China, one trader said he saw &quot;serious arguments between the Chinese and the US suppliers outside the hall at the caf? ... Everyone pretended not to be eavesdropping but stopped chatting and just stood still&quot;. 
 
Targa Resources, operator of an export terminal in Texas, has been stung by contracts with Chinese buyers and is seeking &quot;damages in excess of $1,000,000&quot; from China Soft Packaging Group, documents filed by Targa at a Texas county court showed. 
 
China Soft Packaging declined to comment and Targa did not respond to requests for comment. 
 
&quot;The US suppliers already made fat margins earlier (in 2015) and they should be ready for price negotiations,&quot; a senior source with one of the east China-based LPG buyers said. 
 
Hong Kong-based Oriental Energy International Trading has also had disputes with Targa and Greek LPG trader Naftomar. Targa let Oriental&#39;s Kikyo tanker languish for weeks offshore Texas in June. Naftomar&#39;s Constellation ship is now stuck outside China&#39;s Ningbo port, a senior trader at Naftomar said. 
 
Singapore-based SK Chemical Trading recently cancelled contracts with Naftomar, Petredec and Shell after its end-user Zhejiang Shaoxing Sanyuan Petrochemical Co reneged on its orders. The companies did not respond to requests for comment. 
 
One trader said the price rout was ruining careers and had &quot;gunfight at the O.K. Corral-type implications&quot;, referring to one of the most famous shootouts from the days of the American Wild West. 
 
(Reuters)

A glut was expected but its severity caught most by surprise and will likely serve as a warning to those trading liquefied natural gas

Traders in the liquefied petroleum gas (LPG) market face a "career-ruining" glut that has led to millions of dollars in losses as Chinese buyers, far from coming to the rescue, are in a stand-off with oil companies to cancel deals. LPG, a historically niche and dislocated market, has ballooned with the advent of US exports due to the shale boom. The United States went from an importer to the largest single exporter of propane in just a few years, rivalling the West Asia Gulf producers. "I can't remember it being this bad. There was massive new production out of the US and people hoped the Chinese market might absorb it," one LPG trader said. "There was strong buying in the first four months of the year with low oil prices but that stopped and the market is now a few million tonnes long." Traders scrambling to mitigate losses A glut was expected, but its severity caught most by surprise and will likely serve as a warning to those trading liquefied natural gas, which is increasingly oversupplied. LPG is the collective term for propane and butane. The United States exports mostly propane used for heating and in the petrochemical industry to make propylene, a base for plastics manufacturing. Traders have been left scrambling to mitigate losses as China has failed to be the driver of demand. At least five companies- Vitol, Gunvor, Shell, BP and EDF Trading cancelled July-loading cargoes out of the two major Texas LPG terminals, preferring to pay penalties of up to $1 million per cargo. Many LPG traders signed up for multi-year contracts but premiums to the US benchmark on a spot basis sunk by about $40 a tonne this year, undercutting the term lifters. The contracts were also signed when the US benchmark was around a $150 to $200-per-tonne discount to the European benchmark and Saudi Arabia's official selling price. But spreads shrunk dramatically in 2016, making US exports suddenly unappealing to Asia. Chinese end-users are now cancelling or renegotiating their term contracts, taking advantage of product overhangs in the Middle East and a cheaper alternative feedstock, naphtha. Asian demand slowed earlier this year on weak propylene margins, which led to run cuts and delayed new plant start-ups. After hitting a trough, the market is expected to rebalance by the year-end though supply will continue to outpace demand. "Non-associated gas output means there will be a steady rise in natural gas liquids output despite the oil price doldrums. This trend will continue in the medium term," Al Troner, head of Asia Pacific Energy Consulting in Houston, said. Showdown in Court The disputes have, in some cases, devolved into open altercations and tanker stand-offs. At an LPG conference earlier this year in China, one trader said he saw "serious arguments between the Chinese and the US suppliers outside the hall at the caf? ... Everyone pretended not to be eavesdropping but stopped chatting and just stood still". Targa Resources, operator of an export terminal in Texas, has been stung by contracts with Chinese buyers and is seeking "damages in excess of $1,000,000" from China Soft Packaging Group, documents filed by Targa at a Texas county court showed. China Soft Packaging declined to comment and Targa did not respond to requests for comment. "The US suppliers already made fat margins earlier (in 2015) and they should be ready for price negotiations," a senior source with one of the east China-based LPG buyers said. Hong Kong-based Oriental Energy International Trading has also had disputes with Targa and Greek LPG trader Naftomar. Targa let Oriental's Kikyo tanker languish for weeks offshore Texas in June. Naftomar's Constellation ship is now stuck outside China's Ningbo port, a senior trader at Naftomar said. Singapore-based SK Chemical Trading recently cancelled contracts with Naftomar, Petredec and Shell after its end-user Zhejiang Shaoxing Sanyuan Petrochemical Co reneged on its orders. The companies did not respond to requests for comment. One trader said the price rout was ruining careers and had "gunfight at the O.K. Corral-type implications", referring to one of the most famous shootouts from the days of the American Wild West. (Reuters)

Oil traders lose millions as LPG glut shocks market

Wal-Mart Stores Inc said on Monday it plans to sell its Chinese e-commerce business Yihaodian to Chinese online retailer JD.com Inc for a 5 per cent equity stake in JD.com, a strategic alliance that aims to expand WalMart&#39;s reach in China. 
 
Under the deal, JD.com will issue about 145 million new class A shares to Wal-Mart, worth about $1.5 billion at JD.com&#39;s current valuation. 
 
Shares of Wal-Mart rose 26 cents, or 0.4 per cent, to $71.21 in afternoon New York Stock Exchange trading. JD.com&#39;s ADRs were up nearly 8 per cent, or $1.56, at $21.58 
 
Wal-Mart took a stake in Yihaodian, which has focussed on online grocery sales and caters to affluent female customers, in 2011 before taking full ownership last July. 
 
That deal combined Yihaodian&#39;s local expertise with Wal-Mart&#39;s global sourcing and supply chain capabilities, but growth was hindered when Wal-Mart narrowed the number of sellers on the site, according to a note from Barclays issued on Monday. 
 
In the latest agreement, JD.Com, China&#39;s second-largest online retailer, will control the Yihaodian brand and website, while Walmart will continue to operate the Yihaodian direct sales business and will sell on the Yihaodian marketplace. 
 
The deal will give Walmart access to JD.Com&#39;s online traffic and expand its reach into the Chinese market. Sam&#39;s Club China will open a flagship store on JD.Com and utilise its delivery network, the companies said. Walmart&rsquo;s China stores will be listed as a preferred retailer on JD.com&rsquo;s crowd-sourced platform, O2O JV Dada. 
 
Brian Yarbrough, an analyst with Edward Jones, said the deal with JD.com was a more cost-effective way for Wal-Mart to get its products and name in the marketplace by partnering with a large, experienced player. 
 
&quot;It doesn&#39;t mean that they&#39;ve pulled away, but to me it tells me they are trying to make smarter investments,&quot; said Yarbrough. 
 
Walmart&rsquo;s financial adviser on the deal was Morgan Stanley &amp; Co. LLC and its legal advisor was Morrison &amp; Foerster LLP. JD.com&rsquo;s legal advisors were Orrick Herrington Sutcliffe LLP and Han Kun Law Offices. 
 
(Reuters)

The deal will give Walmart access to JD.Com's online traffic and expand its reach into the Chinese market

Wal-Mart Stores Inc said on Monday it plans to sell its Chinese e-commerce business Yihaodian to Chinese online retailer JD.com Inc for a 5 per cent equity stake in JD.com, a strategic alliance that aims to expand WalMart's reach in China. Under the deal, JD.com will issue about 145 million new class A shares to Wal-Mart, worth about $1.5 billion at JD.com's current valuation. Shares of Wal-Mart rose 26 cents, or 0.4 per cent, to $71.21 in afternoon New York Stock Exchange trading. JD.com's ADRs were up nearly 8 per cent, or $1.56, at $21.58 Wal-Mart took a stake in Yihaodian, which has focussed on online grocery sales and caters to affluent female customers, in 2011 before taking full ownership last July. That deal combined Yihaodian's local expertise with Wal-Mart's global sourcing and supply chain capabilities, but growth was hindered when Wal-Mart narrowed the number of sellers on the site, according to a note from Barclays issued on Monday. In the latest agreement, JD.Com, China's second-largest online retailer, will control the Yihaodian brand and website, while Walmart will continue to operate the Yihaodian direct sales business and will sell on the Yihaodian marketplace. The deal will give Walmart access to JD.Com's online traffic and expand its reach into the Chinese market. Sam's Club China will open a flagship store on JD.Com and utilise its delivery network, the companies said. Walmart’s China stores will be listed as a preferred retailer on JD.com’s crowd-sourced platform, O2O JV Dada. Brian Yarbrough, an analyst with Edward Jones, said the deal with JD.com was a more cost-effective way for Wal-Mart to get its products and name in the marketplace by partnering with a large, experienced player. "It doesn't mean that they've pulled away, but to me it tells me they are trying to make smarter investments," said Yarbrough. Walmart’s financial adviser on the deal was Morgan Stanley & Co. LLC and its legal advisor was Morrison & Foerster LLP. JD.com’s legal advisors were Orrick Herrington Sutcliffe LLP and Han Kun Law Offices. (Reuters)

Wal-Mart to sell its China e-biz to JD.com for 5% stake

chinese-market

Chinese Market, News on Chinese Market, stories on Chinese Market, articles on Chinese Market, Chinese Market stories at Wion, Chinese Market news, Chinese Market latest news

chinese market

Deflation hits China despite stimulus efforts

Tesla poised for record Q3 deliveries as Chinese market strategy pays off

China's deflation to sprial further

China's consumer prices rose less than expected in August

Saudi Aramco targets more chemical plants in China

Weak Chinese demand hits big corporations

Modest returns expected from China's affordable housing push

Global Markets Roundup: Asia shares mixed as investors wait for key data

Gravitas: A screenshot triggers a rally in Chinese markets

China’s yuan slides to record 14-year low against US dollar

Two new studies confirm COVID-19 virus originated from Wuhan animal market

How China tried to spin Covid origins theory when world pointed at Wuhan

Reports: EU and China likely to clinch new investment deal this week

Reports: EU and China likely to clinch new investment deal this week

Inside Xinfadi | China's largest market | Market at centre of Beijing's 2nd COVID-19 wave

Beijing's wholesale Xinfadi market at the centre of new COVID-19 cluster

Alibaba dials up luxury push with $2 billion buys of Netease e-commerce arm

New Singapore exchange kicks off trading with palm oil futures

Oil traders lose millions as LPG glut shocks market

Wal-Mart to sell its China e-biz to JD.com for 5% stake