Hyundai Motor Group’s (HMG) executive chairman, Chung Euisun, recently visited the US to join the leaders of several other major South Korean chaebols and support the South Korean government’s renewed efforts to negotiate better access to the world’s largest economy. A similar mission in August failed to change the US Trump administration’s decision to impose a 25% import duty on South Korean imports, while duties on imports from Japan and the EU were recently set at 15%, and at 10% for the UK. This has c ...

Group 1: China's Industrial Policies and Market Impact - China is implementing new export controls on technologies essential for electric vehicle (EV) battery production and rare-earth materials, requiring government approvals for related exports, aimed at protecting intellectual property and maintaining strategic advantages [3] - Tesla is viewed as the top U.S. automaker positioned to navigate China's rare-earth restrictions due to its significant manufacturing presence in Shanghai, which provides insulation from potential supply constraints [4] Group 2: Hong Kong's Financial Developments - The offshore RMB overnight HIBOR has surged by 107 basis points to 2.45182%, indicating tightening liquidity in the offshore yuan market, marking its highest level since April 7 [5] - HashKey Group, operator of Hong Kong's largest licensed crypto exchange, has filed for an Initial Public Offering (IPO) aiming to raise up to $500 million, reflecting the evolving regulatory environment in Hong Kong that supports crypto asset innovation [6] Group 3: Chinese Tech Sector Performance - Baidu's shares have declined over 5%, contributing to a broader drop in Chinese ADRs, as the Nasdaq Golden Dragon China Index fell 2%, indicating mixed market performance and profit-taking after a strong rally [7] - JD Logistics is acquiring a 36.43% stake in Kuayue-Express for up to $892 million, enhancing its on-demand delivery capabilities and competitiveness in the express logistics sector [9] Group 4: Commodity Markets and Consumer Demand - Iron ore prices have risen due to restocking at Chinese steel mills, but profit margins are under pressure from high coke prices and potential trade restrictions on steel [10] - Demand for China's baijiu is slow to recover, with a 20% year-on-year decline in holiday sell-through during the recent Golden Week, indicating challenges in the consumer market [11] Group 5: Taiwan's Defense Strategy - Taiwan is accelerating AI-powered defense upgrades and increasing military spending to counter threats from China, with plans to enhance its air defense system and develop a "Smart Defence Combat System" [12][13] - The government aims to increase defense spending to 5% of GDP by 2030, up from a proposed 3.32% for the next year, amidst U.S. pressure for Taiwan to bolster its defense capabilities [13]

Core Viewpoint - The strategic partnership between Danantara Indonesia, the Indonesia Investment Authority (INA), and Eramet aims to establish a sustainable and integrated electric vehicle (EV) battery raw materials ecosystem in Indonesia, enhancing the country's position in the global nickel supply chain [3][4][5]. Group 1: Partnership Details - A Memorandum of Understanding (MoU) was signed to explore the establishment of a strategic investment platform in the nickel sector, covering both upstream and downstream operations [1][3]. - The signing ceremony was attended by Indonesian President Prabowo Subianto and French President Emmanuel Macron, highlighting the significance of the partnership [2]. Group 2: Objectives and Goals - The partnership aims to conduct a preliminary assessment to identify suitable projects that maximize the potential of Indonesia's national EV ecosystem and prepare a roadmap for future collaboration [3]. - The collaboration emphasizes adherence to strict international standards in asset management, prioritizing efficiency and economic value [3][4]. Group 3: Contributions and Expertise - Danantara Indonesia and INA will manage long-term financing to support investment development, while Eramet will provide technical expertise and experience in large-scale mining projects [4][5]. - Eramet has been active in Indonesia since 2006, contributing to the development of the country's largest nickel deposit and supporting sustainable development initiatives [8][9]. Group 4: Strategic Importance - The partnership is seen as a crucial step in strengthening Indonesia's critical minerals supply chain, particularly in the nickel sector, aligning with INA's investment focus [6][7]. - The collaboration aims to attract high-quality investments into Indonesia's strategic sectors, combining technical excellence with long-term financing structures [7].