Weekend News Summary: China has approved a certain number of compliant applications for rare earth exports; the US resumes processing international student visas for Harvard University

Important news affecting the market over the weekend includes: He Lifeng will visit the UK and hold the first meeting of the China-US economic and trade consultation mechanism; the Ministry of Commerce: Implementing export controls on rare earths is in line with international practices, and a certain number of compliant applications have been approved in accordance with the law; the US State Department instructs consulates to resume processing international student visas for Harvard University.

Macro and Market Headlines

Li Qiang Holds Phone Call with Canadian Prime Minister Trudeau

On the morning of June 6, Premier Li Qiang of the State Council had a scheduled phone call with Canadian Prime Minister Justin Trudeau. Li Qiang pointed out that China's and Canada's development represents opportunities for each other, not threats. There are no fundamental conflicts of interest between the two countries; instead, there is a tradition of friendship and mutual benefit. He hoped that Canada would work with China, view China's development objectively and rationally, achieve mutual success, and jointly promote prosperity. China is willing to work with Canada to jointly uphold multilateralism and free trade, and promote the development of economic globalization and the multilateral trading system in the right direction, injecting more stability into world peace and development. Trudeau expressed that the Canada-China relationship has experienced setbacks in the past few years, and Canada is willing to restart the relationship. He looks forward to resuming high-level exchanges and dialogue mechanisms with China in areas such as diplomacy, economy, and trade, and strengthening practical cooperation in areas such as trade, agriculture, energy, and environmental protection.

He Lifeng to Visit the UK and Hold the First Meeting of the China-US Economic and Trade Consultation Mechanism

A spokesperson for the Ministry of Foreign Affairs announced: At the invitation of the UK government, He Lifeng, member of the Political Bureau of the CPC Central Committee and Vice Premier of the State Council, will visit the UK from June 8 to 13. During the visit, he will hold the first meeting of the China-US economic and trade consultation mechanism with the US side.

Ministry of Commerce: Implementing Export Controls on Rare Earths is in Line with International Practices; a Certain Number of Compliant Applications Have Been Approved in Accordance with the Law

In response to reporters' questions about export control measures on medium-heavy rare earths, a spokesperson for the Ministry of Commerce stated that rare earth-related items have dual-use (civilian and military) attributes, and implementing export controls on them is in line with international practices. With the development of industries such as robotics and NEVs, the demand for medium-heavy rare earths in civilian applications is growing in various countries. As a responsible major country, China fully considers the reasonable needs and concerns of various countries in civilian applications, reviews export license applications for rare earth-related items in accordance with laws and regulations, has approved a certain number of compliant applications in accordance with the law, and will continue to strengthen the approval process for compliant applications. China is willing to further strengthen communication and dialogue on export controls with relevant countries to facilitate compliant trade.

Ministry of Commerce: Currently, Price Commitment Consultations Between China and the EU on the EV Case Have Entered the Final Stage, but Both Sides Still Need to Make Efforts

A spokesperson for the Ministry of Commerce answered reporters' questions about the meeting between Minister Wang Wentao and Valdis Dombrovskis, European Commissioner for Trade and Economic Security, during his visit to France. Q: Has there been any new progress in the price commitment consultations for the anti-subsidy case on EVs? Could you provide the latest updates?

A: Minister Wang Wentao and Commissioner Šefčovič held professional and in-depth discussions on the EV case, pushing it a significant step forward towards a proper resolution. Currently, the price commitment consultations between China and the EU on the EV case have entered the final stage, but efforts from both sides are still needed. The EU proposed exploring new technical paths simultaneously, and China will evaluate the feasibility of the EU's proposal from legal and technical perspectives. Both sides instructed their working teams to intensify efforts to find a mutually acceptable solution that complies with their respective legal provisions and WTO rules, in order to properly resolve trade disputes.

The central bank increased its gold reserves for the seventh consecutive month

According to central bank data, gold reserves stood at 73.83 million ounces (approximately 2,296.37 mt) at the end of May, up 60,000 ounces (approximately 1.86 mt) MoM, marking the seventh consecutive month of gold reserve increases.

SAFE: China's foreign exchange reserves stood at $3,285.3 billion at the end of May

Statistics from the State Administration of Foreign Exchange (SAFE) showed that as of the end of May 2025, China's foreign exchange reserves stood at $3,285.3 billion, up $3.6 billion from the end of April, a rise of 0.11%. In May 2025, influenced by factors such as the fiscal policies, monetary policies, and economic growth prospects of major economies, the US dollar index fluctuated slightly, and global financial asset prices showed mixed performance. Factors such as exchange rate conversions and changes in asset prices collectively contributed to the rise in foreign exchange reserves during the month. China's economy continued to rebound and improve, with the quality of economic development steadily enhancing, providing support for the foreign exchange reserves to remain basically stable.

Next week, reverse repo operations worth 930.9 billion yuan will mature in the central bank's open market

Data showed that the central bank conducted reverse repo operations totaling 930.9 billion yuan in the open market this week, while reverse repo operations worth 1,602.6 billion yuan matured in the open market this week. Consequently, the central bank's open market operations resulted in a net withdrawal of 671.7 billion yuan on a full-caliber basis this week. Next week, reverse repo operations worth 930.9 billion yuan will mature in the central bank's open market.

Industry News

SSE: Will push publicly listed firms to further increase dividend payouts and make good use of market value management tools such as share buybacks, M&A, and investor communications

The Shanghai Stock Exchange (SSE) held a symposium on high dividends, significant returns, and enhancing the value of publicly listed firms. Relevant officials from the SSE stated that China's capital market system, structure, and institutional mechanisms are continuously improving, and the foundations and conditions for high-quality development are being continuously consolidated. Confidence in Chinese assets should remain firm. In the future, the SSE will push publicly listed firms to further increase dividend payouts, raise the frequency of dividends, and make good use of market value management tools such as share buybacks, M&A, and investor communications to continuously enhance the investment value of companies. On the product supply side, the product system related to dividend indices will be continuously enriched to meet the diverse investment needs of the market and promote the positive interaction between long-term capital, patient capital, and high-quality equity assets.

MIIT: Implementing the "AI + Manufacturing" Initiative to Deepen the Industrial Application of AI with Industrial Intelligence as the Focus

Li Lecheng, Minister of Industry and Information Technology, chaired a meeting of the Ministry's Leading Group for the Integration of Informatization and Industrialization on June 6th. The meeting heard reports on key tasks in the field of informatization and industrialization integration, reviewed the "2025 Work Priorities for the Integration of Informatization and Industrialization by the Ministry of Industry and Information Technology," and studied and deployed ideas and measures to advance the integration. The meeting called for the implementation of the "AI + Manufacturing" initiative to accelerate the intelligent upgrading of key industries and create an "upgraded version" of intelligent manufacturing. Efforts should be made to enhance the supply capacity of software and hardware products, strengthen the research on key core technologies such as industrial software and intelligent sensors, accelerate the construction of high-quality industrial datasets, and consolidate the data foundation for the industrial application of AI. The cultivation of "small, fast, lightweight, and accurate" digital products and low-cost digital general-purpose tools should be intensified. With industrial intelligence as the focus, the industrial application of AI should be deepened to drive the innovation and iteration of industrial datasets and large industrial models.

SASAC: Promoting the Concentration of State-owned Capital in Key Industries and Strategic Emerging Industries

The State-owned Assets Supervision and Administration Commission of the State Council (SASAC) issued the "Measures for the Administration of Central Enterprise Development Planning," placing greater emphasis on industrial orientation. A three-tier planning system, comprising the "Overall Development Plan for Central State-owned Enterprises + Key Task Planning + Enterprise Planning," has been established, with industrial optimization and adjustment as the key content of the three-tier planning. This aims to promote the concentration of state-owned capital in key industries and strategic emerging industries that are crucial to national security and the lifeline of the national economy, as well as in public services, emergency response capabilities, and public welfare sectors related to the national economy and people's livelihood.

China National Coal Association Holds Meeting: Promoting Efficient Allocation of Resources and Elements to Achieve Dynamic Balance in Coal Supply and Demand

The China National Coal Association and the China Coal Transportation and Distribution Association are scheduled to hold the "2025 Summer National Coal Trading Conference" from July 10th to 11th. The theme of this conference is "Promoting Efficient Allocation of Resources and Elements to Achieve Dynamic Balance in Coal Supply and Demand." The conference aims to earnestly implement the decisions and deployments of the CPC Central Committee and the State Council, continuously enhance the viability, competitiveness, development potential, and sustainability of the coal industry chain and supply chain, and maintain stable and healthy economic development and overall social stability.

China's Marine Energy Development and Utilization Technologies Have Entered the World's First Echelon

While attaching great importance to the protection of the marine ecological environment, China is also developing and utilizing the ocean in a scientific and rational manner. Ocean energy refers to various types of renewable energy sources derived from the ocean, with reserves far exceeding humanity's current energy needs. Currently, China's technological innovation capabilities in the field of ocean energy development and utilization have entered the world's top tier.

The Hong Kong SAR Government will fund over HK$10 billion for the development of artificial intelligence (AI).

Hong Kong SAR Chief Executive John Lee Ka-chiu attended and delivered a speech at the opening ceremony of the 16th Cross-Strait and Hong Kong-Macao Economic and Trade Cooperation Seminar hosted by the Chinese Manufacturers' Association of Hong Kong on Saturday. Lee stated that Hong Kong is actively developing the AI industry and will establish a "Technology and Innovation Industry Guidance Fund" with a scale of HK$10 billion to strengthen the guidance of market funds and promote the development of strategic emerging and future industries such as AI and robotics.

Company News

Boeing Resumes Aircraft Deliveries to China

A Boeing 737 MAX aircraft took off from Seattle, US, on Saturday and has now landed in Hawaii before continuing its journey to China. This aircraft, originally a new plane awaiting delivery at Boeing's Zhoushan factory, was returned to the US in April. This also marks Boeing's first resumption of aircraft deliveries to China since April.

Desay SV: Shareholders Huichuangtou and Shenhua Investment Plan to Reduce Their Stakes by 3% and 1.45% Respectively

Desay SV announced that it has received a notification letter regarding the share reduction plans from shareholders Huichuangtou and Shenhua Investment. Due to its own capital needs, Huichuangtou plans to reduce its stake by no more than 16.4 million shares, accounting for 3% of the company's current total share capital, through concentrated bidding or block trading within three months after 15 trading days. Similarly, Shenhua Investment, also due to its own capital needs, plans to reduce its stake by no more than 7.9803 million shares, accounting for 1.45% of the company's current total share capital, through concentrated bidding or block trading within three months after three trading days.

Jiechuang Intelligence: Plans to Purchase Servers for Intelligent Computing Cloud Services with a Budget Not Exceeding 600 Million Yuan

Jiechuang Intelligence announced that it plans to purchase servers to provide intelligent computing cloud services to customers, with a total procurement amount expected not to exceed 600 million yuan. Due to considerations of commercial confidentiality and strategic development, specific details about the counterparty will not be disclosed in accordance with relevant regulations. Upon completion of the transaction, it will, on the one hand, provide computing equipment support for the company to build intelligent computing clusters and carry out intelligent computing cloud service businesses, and on the other hand, offer computing power support for the company to develop industry-specific large-scale model products and AI agent products. This is an important layout for the company to implement its AI strategy and continuously promote business upgrading and transformation.

*ST Haiyue: Receives Decision to Terminate Stock Listing, with the Expected Last Trading Date Set for July 4

*ST Haiyue announced that the Shanghai Stock Exchange has decided to terminate the listing of the company's stocks. The starting date for the delisting consolidation period is June 16, 2025, and the expected last trading date is July 4, 2025. On the same day, *ST Haiyue announced that it had received a notice of investigation from the China Securities Regulatory Commission (CSRC) on June 6, 2025, as the company was suspected of violating laws and regulations in information disclosure. The CSRC decided to initiate an investigation into the company.

LONGi Green Energy: Shareholder HHLR Plans to Reduce Holdings by No More Than 0.5% of the Company's Shares

LONGi Green Energy announced that shareholder HHLR plans to reduce its holdings of the company's shares by no more than 37.8902 million shares (i.e., no more than 0.50% of the company's total share capital) through centralized bidding transactions within three months after 15 trading days from the date of this announcement. During the share reduction period, if the company undergoes any changes in its total share capital due to bonus share issues, capitalization of share premiums, new share issuances, rights offerings, or cancellation of repurchased shares, the proportion of shares the shareholder intends to reduce will remain unchanged, and the number of shares to be reduced will be adjusted accordingly based on changes in the company's total share capital.

BlueFocus: Planning to Issue H Shares and List on the Main Board of the Hong Kong Stock Exchange

BlueFocus announced that, to advance the company's "Global Development" strategy and establish an international capital operation platform, the board of directors has approved the issuance of overseas-listed shares (H shares) and the application for listing on the main board of the Hong Kong Stock Exchange. The company will complete this issuance and listing at an appropriate time within the validity period of the shareholders' resolution.

Vanke A: Shenzhen Metro Group Plans to Provide the Company with a Loan of No More Than 3 Billion Yuan

Vanke A announced that its largest shareholder, Shenzhen Metro Group Co., Ltd., plans to provide the company with a loan of no more than 3 billion yuan to repay the principal and interest of bonds issued by the company in the public market, as well as the interest on specified loans agreed upon by Shenzhen Metro Group. The loan term will not exceed 36 months, and the loan interest rate will be the 1-year Loan Prime Rate (LPR) published by the National Interbank Funding Center on the business day preceding the drawdown date of each loan, with a floating point of minus 66 basis points, currently at 2.34%.

LB Group: Plans to Repurchase Shares for 500 Million to 1 Billion Yuan

LB Group announced that the company plans to repurchase shares for 500 million to 1 billion yuan to implement equity incentives or employee stock ownership plans. The repurchase price will not exceed 24.82 yuan per share.

*ST Tianyu: The Company and One of Its Actual Controllers, Yan Chunyu, Are Under Investigation by the CSRC for Suspected Violations of Laws and Regulations in Information Disclosure

*ST Tianyu (300205.SZ) announced that the company and one of its actual controllers, Yan Chunyu, received a notice of investigation from the China Securities Regulatory Commission (CSRC) on June 6, 2025, as they were suspected of violating laws and regulations in information disclosure. The CSRC decided to initiate investigations into the company and Yan Chunyu. The company will actively cooperate with the CSRC's work and strictly fulfill its information disclosure obligations in accordance with regulatory requirements. The aforementioned matters will not have a significant impact on the company's normal production and business operations.

Roborock: Plans to Issue H Shares and List on the Hong Kong Stock Exchange

Roborock announced that the company intends to issue shares (H shares) overseas and list on the Main Board of the Hong Kong Exchanges and Clearing Limited. This matter is subject to review by the company's shareholders' meeting and requires filing, approval, and/or authorization from relevant government agencies and regulatory bodies. As of the date of this announcement, specific details have not yet been determined.

Sino Wealth Electronic: Controlling Shareholder Plans Changes to Corporate Control, Stock Trading Halted

Sino Wealth Electronic announced that the company has received notice from its controlling shareholder, Welland International, that it is currently planning matters related to changes in corporate control. At present, all parties involved have not yet signed relevant agreements and intend to discuss and negotiate specific transaction plans, agreements, and other related matters. The specific situation will be subject to the relevant agreements signed by all parties. This may lead to changes in the company's controlling shareholder and actual controller. To ensure fair information disclosure, avoid abnormal fluctuations in the company's stock price, and safeguard the interests of investors, the company's stock will be suspended from trading starting June 9, 2025, with the expected suspension period not exceeding two trading days. There is still uncertainty regarding whether this transaction can be ultimately implemented and the outcome of its implementation.

Overseas News

US State Department Instructs Consulates to Resume Processing Visas for International Students Enrolling at Harvard University

According to a June 7 report by The Washington Post, the US State Department notified embassies and consulates worldwide on June 6 to resume processing visas for international students planning to enroll at Harvard University. This decision overturned the visa denial directive issued just the day before. According to the report, a cable sent by the US State Department at 19:55 on June 6 stated, "Consular sections must now resume processing student and exchange visitor visas for Harvard University." Currently, no relevant information has been published on the US State Department's official website.

Trump Urges Powell to Cut Interest Rates by "One Percentage Point"

US President Trump stated that "it's too late, sir" (referring to Fed Chairman Powell), and that Powell's tenure at the US Fed has been a disaster. He noted that Europe has already implemented 10 interest rate cuts, while the US has not made any. Trump urged Powell to cut interest rates by "one percentage point."

Trump: Hopes Musk "Achieves Good Results at Tesla," Has No Plans to Talk to Musk

Speaking to reporters on Air Force One, Trump stated that the cost-cutting measures promoted by the Department of Government Efficiency (DOGE) have "been a great help to us," and he hopes Musk "achieves good results at Tesla." He also said, "I have no plans to talk to Musk." Trump added that he has not yet considered whether to continue keeping Tesla vehicles at the White House.

US Stock Market's Three Major Indexes Close Higher Collectively on Friday, with Popular Tech Stocks Generally Rising

The US stock market's three major indexes closed higher collectively on Friday. The Dow Jones Industrial Average rose 1.05%, accumulating a 1.17% gain for the week; the Nasdaq Composite Index rose 1.2%, accumulating a 2.18% gain for the week; and the S&P 500 Index rose 1.03%, accumulating a 1.5% gain for the week. Popular tech stocks generally rose, with Google and Tesla rising more than 3%, Amazon rising more than 2%, Nvidia, Apple, and Meta rising more than 1%, and Broadcom falling 5%. Cryptocurrency and automobile manufacturing sectors led the gains, with Circle rising more than 28% and Trump Media & Technology Group rising more than 4%. Coinbase rose nearly 3%. The precious metals sector led the declines, with Harmony Gold falling more than 5%, Royal Gold falling more than 4%, and Gold Fields falling more than 3%. Lululemon fell 20%, marking its worst single-day performance since March 2020.

Trump Signs Multiple Executive Orders Aimed at Enhancing US Capabilities in Drones and Related Fields

The US White House stated on the 6th local time that US President Trump signed multiple executive orders. 1. An executive order was signed to ensure US airspace sovereignty and safe airspace. The order established the "Federal Task Force on Restoring US Airspace Sovereignty" to review and propose solutions to address threats from unmanned aircraft systems. 2. An executive order was signed to ensure the US maintains its leadership position in the R&D, commercialization, and export of drones. 3. An executive order was signed to strengthen national cybersecurity. 4. An executive order was signed aimed at promoting the development of US supersonic aviation. The order instructs the Federal Aviation Administration (FAA) to abolish the ban on overland supersonic flights, establish interim noise-based certification standards, and abolish other regulations that hinder supersonic flight.