Stories from China

China's National Bureau of Statistics reported that profits from industrial enterprises above designated size grew by 15.8% year-on-year in March. Operating income for large-scale industrial enterprises in China rose 0.46% year-on-year in the first quarter. This growth occurred despite Middle East conflict impacting global oil markets and increasing raw material costs. March profits for specific firms jumped 15.8%, exceeding the 15.2% growth seen during the January-February period. The data indicates an uneven economic recovery within the country. China's Ministry of Commerce has formally submitted its assessment of the EU's Industrial Accelerator Act to the European Commission. China has stated its official position and serious concerns regarding the legislation.

Watermelon prices have dropped sharply for wholesalers and retailers due to a complete halt in exports. Watermelon prices have experienced a sharp decline affecting growers and wholesalers. Consequently, importers in the Gulf are no longer purchasing the fruit. The sudden cessation of export demand has left wholesalers and growers facing a market downturn. Watermelon export to the Gulf region has completely stopped due to heightened tensions in that area. Watermelon prices in China have plummeted because exports to the Gulf region have completely stopped.

A social media account affiliated with Chinese state media suggests the delayed release of DeepSeek's V4 model indicates a shift toward deeper integration with China's domestic chip ecosystem. The preview release for the model is expected to occur this Friday. This development follows recent discussions regarding the integration of AI models with specific hardware infrastructures.

New developments in domestic large language models, including Mini Max, suggest potential breakthroughs this week. Recent updates, such as DeepSeek announcing a new version capable of integrating with certain domestic GPUs, have bolstered confidence in the local AI industry chain. These advancements are driving interest in hardware stocks related to the artificial intelligence sector. New software versions can now interface with certain domestic GPU components, boosting hardware stocks in the AI supply chain. However, competition among LLM operators remains intense globally. Companies are facing high capital expenditures and increased volatility in the sector. The competition involved over 100 teams and hundreds of robots. Humanoid machines are transitioning from laboratories to real-world applications, demonstrating the ability to compete with or exceed human physical capabilities.

Guangzhou will implement new breakfast heritage protection regulations starting May 1. These measures aim to protect consumer rights and promote traditional Cantonese breakfast culture. The regulations focus on preserving the freshness and authenticity of local dim sum. This measure aims to ensure consumer rights regarding information and choice. Li Zhigang stated the goal is to provide diners with fresh food and promote local culinary heritage. Menus must explicitly state if items are made on-site using traditional methods. Local authorities plan to issue certifications and rankings for traditional dim sum establishments in the future. Zhu Danfeng of the Guangdong Food Safety Promotion Association stated the rules benefit both consumers and tea houses by guaranteeing food quality. Guangzhou is introducing new regulations to protect the tradition of Dim Sum and breakfast service.

Police in Ningbo responded to a suspicious cash transaction near a hotel around 2:00 PM. Officer Guo Minchao of the Yingzhou District Branch observed a middle-aged man meeting a black-clad individual. The man handed over a white plastic bag following a brief conversation. Authorities suspect the exchange involved a fraud syndicate transferring victim funds. The operation was part of a coordinated deployment to intercept suspected money mules.

China's electric vehicle charging infrastructure reached a total of 21.481 million units by the end of the month. Discussions regarding security in the Hormuz Strait have been noted, with mentions of potential meetings between US officials and leadership. The context involves the strategic importance of the strait and its impact on regional stability. Potential maritime tensions in the Strait of Hormuz are expected to significantly impact global supply chain logic, risk management, and cost structures. Shipping costs and risk pricing are projected to see jumps and increased volatility. Brent crude futures rose by $2.22 to $107.55 per barrel following reports of continued transport restrictions in the Strait of Hormuz. Global crude supplies are tightening due to stalled peace negotiations between the United States and Iran.

China's 168 comprehensive bonded zones achieved an import and export value of 7.2 trillion yuan in 2025. The zones also contributed approximately one-seventh of the country's total import and export value. New policies aim to transition these zones from traditional processing and logistics toward high-end production and services, including bonded repair and testing. This shift aims to enhance supply chain resilience and national strategic security. China's General Administration of Customs is transitioning bonded zone supervision from traditional network management to a digital collaborative system. Pan Cheng, Deputy Director of the Free Trade Zone and Special Area Development Department, stated that the customs administration will accelerate the research and issuance of supporting institutional documents.

The Shanghai Stock Exchange is expanding the scope of extended trading hours to include all A-shares and Exchange Traded Funds (ETFs). This move aims to increase market transparency and stability while providing a low-impact trading period. Analysts suggest the extension improves investor convenience but warns that the 5% daily price limit may delay rather than reduce overall market risk. During periods of bad news, stocks may hit consecutive limit-down prices, potentially causing liquidity to dry up.

An investigation in Jilin Province reveals unauthorized luxury residential construction within a protected ecological zone. Reporters have entered a gated area in the Jilin ecological zone to investigate residential-style cemeteries. These sites, locally known as Citang tombs, feature underground structures approximately 100 square meters in size. Journalists used measuring tapes to document the interior floor areas of these private burial plots. The presence of these large, private tombs within the protected zone is under scrutiny. Cemeteries in the Jilin region are being sold in standardized packages including tombstones for 99,800 yuan per grave. Villagers in Yongquan Village, Jingtai Town, report that the Changye Ecological Zone has occupied their collective farmland and forest land. has utilized 2.172 hectares of farmland for its operations in Yitong County.