China Stocks Edge Lower on Trade Uncertainty
2025-10-22 02:26
By
Jam Kaimo Samonte
1 min. read
The Shanghai Composite slipped 0.07% to close at 3,914 while the Shenzhen Component lost 0.62% to 12,997 on Wednesday, snapping a two-day winning streak as persistent trade uncertainty weighed on sentiment.
US President Donald Trump said he expects to reach a favorable trade deal with China but warned that his planned meeting with President Xi Jinping may not take place.
Meanwhile, US Treasury Secretary Scott Bessent is set to meet with Chinese officials over the weekend to ease tensions, with disputes over China’s rare earth export controls and Trump’s threat of steep tariff hikes remaining major sticking points.
Technology and materials stocks led losses, with notable declines in Foxconn Industrial (-3.7%), Giga Device (-3.7%), ZTE Corp (-2.5%), Zijin Mining (-2%), and China Northern Rare Earth (-3%).
On the monetary policy front, amrkets are ramping up bets that the People's Bank of China will lower interest rates before the year ends to cushion the econiomy from trade risks.