Zhitong Hong Kong Stock Early Knowledge | The US pressures the EU to impose a 50% tariff starting June 1, international gold prices surge over 2%

[Today's Headlines]

Central Bank, State Administration of Foreign Exchange: Funds raised from overseas listings, and proceeds from share reductions or transfers should, in principle, be remitted back to the domestic market

The People's Bank of China and the State Administration of Foreign Exchange have publicly solicited opinions on the "Notice on the Management of Funds Raised by Domestic Enterprises from Overseas Listings (Draft for Comments)." The opinion proposes to unify foreign currency management policies. Funds raised from overseas listings, proceeds from share reductions or transfers can be remitted back in foreign currency or RMB, and related funds can be transferred in and out using capital account settlement accounts. For funds remitted back in RMB, domestic enterprises can also use RMB bank settlement accounts. For listed entities participating in the "full circulation" of H-shares, dividend payments to domestic shareholders will be distributed in RMB within the domestic market. Funds raised from overseas listings can be converted and used at the discretion of the entity. Listed entities can independently choose foreign exchange risk management methods and conduct spot foreign exchange trading and hedging transactions through banks or brokers.

The opinion states that funds raised from overseas listings, and proceeds from share reductions or transfers should, in principle, be remitted back to the domestic market. If shareholders have surplus funds or if transactions do not materialize, they should promptly remit back to the domestic market. It clarifies the management requirements related to overseas issuance of convertible bonds and conversion of convertible bonds into stocks. Additionally, considering the reasonable demands of enterprises for overseas use, it is clarified that if approvals or filing documents from relevant business authorities such as the National Development and Reform Commission or the Ministry of Commerce have been obtained before overseas listing, they may also retain funds for conducting overseas direct investments or overseas lending.

[Market Outlook]

Overnight U.S. stocks all fell, international gold prices surged over 2%

Overnight, the Dow Jones Industrial Average fell by 256.02 points, a decrease of 0.61%, closing at 41,603.07 points; the Nasdaq fell by 188.53 points, a decrease of 1.00%, closing at 18,737.21 points; the S&P 500 index fell by 39.19 points, a decrease of 0.67%, closing at 5,802.82 points. Star technology stocks fell, with Apple (AAPL.US) down 3.02% and Nvidia (NVDA.US) down 1.16%. Nuclear power concept stocks strengthened, with Oklo Inc (OKLO.US) up 23.04% and NANO Nuclear Energy (NNE.US) up 30.07%. Popular Chinese concept stocks had mixed results, with the Nasdaq Golden Dragon China Index closing up 0.05%. The ADR of the Hang Seng Index fell, closing at 23,503.09 points, down 98.17 points or 0.42% compared to the Hong Kong closing. International gold prices surged over 2%, with the COMEX gold futures settlement price rising by $70.80, an increase of 2.15%, closing at $3,365.80 per ounce.

Due to the Memorial Day holiday, U.S. markets will be closed on May 26 (next Monday), and the UK stock market will also be closed for the Spring Bank Holiday on the same day. Trading for precious metals and U.S. oil futures contracts under CME will end early at 02:30 Beijing time on the 27th, and stock index futures contracts will end early at 01:00 Beijing time on the 27th; trading for Brent crude oil futures contracts under ICE will end early at 01:30 Beijing time on the 27th.

[Hot Topics Ahead] Trump: 50% Tariff on EU Starting June 1, 25% Tariff on Non-US Manufactured Mobile Phone Manufacturers

US President Trump stated that it is "bad" for the US not to sell cars in the EU and that he is not seeking an agreement, imposing a 50% tariff on the EU starting June 1. He mentioned that if they build factories here, a delay can be discussed. Trump announced a 25% tariff on mobile phone manufacturers that do not produce in the US. He warned that if Samsung products are not made in the US, a 25% tariff will be imposed. If Apple and Samsung build factories in the US, they will be exempt from tariffs. He stated that tariffs will be imposed on Apple and Samsung by the end of June.

Guidelines for Compliance with Charging Behavior of Online Trading Platforms Begin to Solicit Opinions

In order to regulate the charging behavior of online trading platforms towards operators within the platform, including commissions, fees, technical service fees, information service fees, and marketing promotion fees, to protect the legitimate rights and interests of operators within the platform and promote the healthy and orderly development of the platform economy, the State Administration for Market Regulation has recently drafted the "Guidelines for Compliance with Charging Behavior of Online Trading Platforms" and is publicly soliciting opinions from society. The "Guidelines" consist of 28 articles, covering five main aspects.

Nvidia Reportedly Launching New AI Chip for Chinese Market, Price Significantly Lower than H20, Mass Production as Early as June

According to a report by Singapore's Lianhe Zaobao on May 25, citing Reuters, US chip giant Nvidia is reportedly launching a new AI chip based on the Blackwell architecture for the Chinese market, with a price significantly lower than the previous H20 chip, expected to begin mass production as early as June.

Peak Shipping Season for US Routes May Arrive Early, Freight Booking Like "Ticket Snatching"

After the adjustment of China-US tariff policies, US buyers are intensifying their "stockpiling," leading to increased shipping activity on US routes. Shenzhen Yantian Port handles over a quarter of the national export volume to the US. Chen Zehao, the duty manager of the Operations Service and Development Department at Yantian International Container Terminal, stated that the traditional peak season was from July to September, but this year it has moved up to June and July. Reporters learned that several shipping companies have announced rate increases for routes from Asia to the US, with 40-foot containers rising by up to $3,000. Industry insiders indicated that this market situation is the result of a combination of changes in capacity and demand.

European Shipping Bottlenecks Expected to Last Until July

The congestion problem at major Nordic shipping hubs is worsening. Due to labor shortages and low water levels in the Rhine River, waiting times for berths at Bremen, Antwerp, and Hamburg have significantly increased. This congestion has also affected other hub ports such as Shenzhen, Los Angeles, and New York, and is expected to last for several weeks. Shipping companies are facing delays and rising costs, which may necessitate freight rate increases. Ongoing trade tensions and tariffs have exacerbated uncertainty and pressure in the shipping industry, with several carriers announcing rate hikes and peak season surcharges.

Wang Jianlin Sells 48 Wanda Plazas Again, Tencent and Other "Familiar Group" Take Over

According to information recently disclosed by the State Administration for Market Regulation, Taima (Zhuhai) Management Consulting Partnership (Limited Partnership), Gaohe Fengde (Beijing) Enterprise Management Service Co., Ltd., Tencent Holdings Limited, Beijing Panda Business Management Co., Ltd., and Sunshine Life Insurance Co., Ltd. have jointly established a joint venture directly or through their respective affiliates And through the joint venture, acquire 100% equity of 48 target companies directly or indirectly held by Dalian Wanda Commercial Management Group Co., Ltd. According to the list, these 48 target companies involve Wanda Plaza projects in multiple first- and second-tier cities such as Beijing, Guangzhou, Chengdu, Hangzhou, Nanjing, and Wuhan.

China Communications Construction Company Limited (03969) recently won important projects worth 3.789 billion yuan

According to Zhitong Finance APP, China Communications Construction Company Limited announced that from March to April 2025, the company won a total of eleven important projects in the rail transit market, including eight important projects in the railway market. The total bid amount for the projects is approximately 3.789 billion yuan, accounting for about 11.67% of the company's audited operating income under Chinese accounting standards for 2024.

China Shenhua Energy Company Limited (01088) plans to invest approximately 2.9295 billion yuan to acquire a 7.43% stake in State Energy Group Financial Company

According to Zhitong Finance APP, China Shenhua Energy Company Limited (01088) announced that on May 23, 2025, the board of directors reviewed and approved the proposal regarding the acquisition of the financial company equity held by Shuohuang Railway, Zhuneng Company, and Baoshen Railway.

Weir Group: Plans to issue H-shares and list on the main board of the Hong Kong Stock Exchange

Weir Group announced on May 23 that the company plans to issue overseas listed shares (H-shares) and list on the main board of the Hong Kong Stock Exchange to accelerate the company's international strategy and overseas business development, enhance overseas financing capabilities, and improve overall competitiveness. This matter still needs to be submitted to the shareholders' meeting for review and requires approval and/or approval from relevant government agencies and regulatory bodies. Currently, the relevant details have not been finalized, and the issuance carries significant uncertainty.

Yuan Da Pharmaceutical (00512) global innovative treatment for Demodex blepharitis product approved for listing by the Macao SAR Drug Regulatory Authority

According to Zhitong Finance APP, Yuan Da Pharmaceutical (00512) announced that the group's global innovative ophthalmic drug GPN01768 (TP-03, Loteprednol Etabonate Eye Drops, 0.25%) for the treatment of Demodex blepharitis has recently been approved for listing by the Macao Special Administrative Region Government Drug Regulatory Authority (Macao Drug Regulatory Authority), marking another important progress for the group in the field of innovative ophthalmic treatment. The product's approval by the Macao Drug Regulatory Authority lays the foundation for future approvals in the Guangdong-Hong Kong-Macao Greater Bay Area and is expected to further promote its implementation in mainland China.

[Stock Highlights]

China General Nuclear Power Corporation (01164): Natural uranium investment income increases with uranium prices

On Friday, Eastern Time, U.S. President Donald Trump signed an executive order to promote the development of the U.S. nuclear power industry, causing related company stock prices to soar. The executive order requires the U.S. Nuclear Regulatory Commission to reduce regulatory measures and expedite the approval of new reactor and nuclear power plant licenses. The order also aims to revitalize U.S. uranium production and enrichment businesses to meet the surging electricity demand.

China General Nuclear Power Corporation achieved an operating revenue of 8.624 billion yuan in 2024, a year-on-year increase of 17.05%; achieved a pre-tax profit of 814 million yuan, a year-on-year increase of 48.3%; and achieved a net profit attributable to shareholders of 342 million Hong Kong dollars, a year-on-year decrease of 31.2% In 2024, the company self-produced and traded 1,294 tU, which is basically flat compared to the previous year, with an average sales price of $75.04/lb U3O8 and an average sales cost of $80.80/lb U3O8. The actual uranium extraction amount for the company was 976 tU, and after deducting processing losses, a total of 964 tU was produced throughout the year, of which the Xie mine produced 407 tU at a production cost of $32/lb U3O8; the Yi mine produced 569 tU at a production cost of $24/lb U3O8. The Ao company had an actual uranium extraction amount of 1,783 tU, and after deducting processing losses, a total of 1,739 tU was produced throughout the year, of which the Zhong mine produced 1,663 tU at a production cost of $22/lb U3O8; the Zha mine produced 120 tU at a production cost of $31/lb U3O8. The average production cost of the mines was $24/lb U3O8, an increase of $4/lb U3O8 year-on-year, mainly due to the supply gap of sulfuric acid leading to an increase in raw material prices, as well as an increase in underground resource usage tax due to rising sales prices