Today's Headlines The Ministry of Finance and the State Taxation Administration announced that tobacco enterprises' tobacco advertising and business promotion expenses are uniformly disallowed as deductions when calculating taxable income. According to a December 29th announcement regarding the pre-tax deduction of advertising and business promotion expenses, for enterprises in cosmetics manufacturing or sales, pharmaceutical manufacturing, and beverage manufacturing (excluding alcoholic beverages), expenses up to 30% of the annual sales (operating) revenue are deductible; the excess portion can be carried forward to subsequent tax years for deduction. The announcement is effective from January 1, 2026, to December 31, 2027. Interpretation: The standard pre-tax deduction ratio for advertising and business promotion expenses for general enterprises is 15%. The aforementioned three industries enjoy a doubled 30% deduction ratio, significantly reducing taxable income, thereby lightening the tax burden and boosting net profit. The excess portion can also be carried forward indefinitely to future years, further enhancing tax planning flexibility. This announcement continues and clarifies the tax support policy for industries with high marketing investment, significantly benefiting listed companies and SMEs in these sectors, particularly those reliant on brand promotion and market expansion, effectively improving their cash flow and profitability.
Market Outlook: US Stock Indices All Close Lower; Precious Metals Sector Leads Declines Overnight, the Dow Jones Industrial Average fell 249.04 points, or 0.51%, to close at 48,461.93. The S&P 500 index dropped 24.2 points, or 0.35%, to 6,905.74. The Nasdaq Composite Index declined 118.75 points, or 0.5%, to 23,474.35. Most major tech stocks fell, with Tesla down over 3% and Nvidia down over 1%. The precious metals sector led the declines, with Harmony Gold falling over 8%, and Pan American Silver and Kinross Gold both down over 5%. Most popular Chinese concept stocks declined, although Nio rose over 4%. Alibaba fell over 2%, and Miniso dropped nearly 2%. The Hang Seng Index ADR rose proportionally, closing at 25,711.51 points, up 76.28 points or 0.30% from the Hong Kong close. Precious metals futures collectively plunged. At the close, the COMEX gold futures front-month contract fell $202.50, or 4.45%, to $4,350.2 per ounce. The COMEX silver futures front-month contract dropped $5.556, or 7.20%, to $71.64 per ounce.
Hotspot Preview: National Energy Administration Aims to Optimize Charging Infrastructure Service Efficiency and Promote Planning and Construction of High-Power Charging Facilities The National Energy Administration held a symposium on December 26th to advance the construction of a high-quality charging infrastructure system in 2025. The meeting outlined next steps: through improving facilities, enhancing services, and strengthening safety, solidly promote the implementation of the "Three-Year Doubling" action plan for electric vehicle charging facility service capacity, and accelerate the building of a high-quality charging infrastructure system. This involves improving the charging infrastructure service network and increasing the coverage rate of charging facilities in key scenarios like residential areas and rural regions; optimizing the service efficiency of charging infrastructure and promoting the planning and construction of high-power charging facilities; striving to enhance the quality of charging operation services and effectively safeguard consumer rights; accelerating the cultivation of a healthy industrial ecosystem and deepening the large-scale application pilot of vehicle-grid interaction; and strengthening the safety management of charging infrastructure to prevent and mitigate safety risks in the charging sector.
SFC Withdraws Restriction Notices on Three Brokerages; Assets Restricted in Sino Han Case to be Returned The Hong Kong Securities and Futures Commission (SFC) has withdrawn restriction notices issued to three brokerages, which had prohibited them from dealing with or processing funds or assets in specific client accounts. These accounts were involved in the case of Sino Han Health Industry Holdings Ltd. disclosing false or misleading information in its financial statements. The three brokerages are Changjiang Securities Brokerage (Hong Kong) Limited, Haitong International Securities Company Limited, and Kingston Securities Limited.
Ganfeng Lithium (01772): Receives Notice of Case Transfer for Prosecution from Yichun Public Security Bureau Ganfeng Lithium Group announced that on December 29, 2025, it received a notice of case transfer for prosecution from the Yichun Public Security Bureau. The case, involving alleged unit crime of insider trading, has been transferred to the procuratorate for review and prosecution. This matter represents a normal subsequent judicial procedure following the administrative penalty imposed by the Jiangxi Securities Regulatory Bureau. The company's production and operational activities remain normal and orderly, and the matter is not expected to affect normal operations. The company will continue to monitor developments and fulfill its information disclosure obligations promptly.
Sinopec Shanghai Petrochemical (00338): Sinopec Corp. Plans to Subscribe for up to RMB 300 Million in New Registered Capital of Wholly-Owned Subsidiary Sinopec Shanghai Petrochemical announced that its wholly-owned subsidiary, Inner Mongolia New Jinshan Carbon Fiber Co., Ltd., plans to increase its registered capital by RMB 600 million. Sinopec Corp. intends to subscribe for up to RMB 300 million of the new capital through a non-public agreement, at the same subscription price as other strategic investors selected via public listing, representing no more than 25% of the post-increase shareholding. The remaining planned capital increase of up to RMB 300 million will be subscribed by other strategic investors selected through a public listing process.
Tiande Chemical (00609) Plans to Acquire 49% Equity in Non-Wholly-Owned Subsidiary Weifang Zhongying Chemical for RMB 88 Million Tiande Chemical announced that on December 29, 2025, the buyer, Weifang Binhai Petrochemical Co., Ltd. (an indirect wholly-owned subsidiary of the Company), the seller, Zhejiang Zhongshan Chemical Group Co., Ltd., and the target company, Weifang Zhongying Chemical Co., Ltd., entered into an equity transfer agreement. The seller agreed to sell the equity interest (representing 49% of the equity in the target company) for a consideration of RMB 88 million. Upon completion, the target company will become an indirect wholly-owned subsidiary of the Company. The target company is primarily engaged in the research, development, manufacture, and sale of chemical products.
Shandong Molong Petroleum Machinery (00568): Implements Debt Restructuring, Settles RMB 361 Million Debt with Assets Shandong Molong Petroleum Machinery announced that on December 29, 2025, its board of directors passed a resolution on debt restructuring, approving the signing of a tripartite agreement with a vegetable wholesale company and Huarong Agriculture. Following the previous transfer of Shouguang Maolong equity, Huarong Agriculture owed RMB 452 million. Under this arrangement, the vegetable wholesale company will use assets valued at approximately RMB 362 million to settle RMB 361 million of this debt on its behalf. After completion, the remaining debt owed by Huarong Agriculture will be approximately RMB 91 million. The transaction does not constitute a connected transaction or a major asset reorganization. It requires approval from the shareholders' meeting and state-owned asset authorities. If completed, it will help the company recover receivables, stabilize production, and reduce costs, but uncertainties exist regarding asset transfer and approval.
SMIC (00981): Plans to Acquire 49% Equity in SMIC North for Approximately RMB 40.601 Billion SMIC announced that regarding its proposed acquisition of a 49% equity interest in SMIC North, on December 29, 2025, the Company and the seller entered into a supplemental agreement. The parties have determined the final consideration for the proposed acquisition and the number of consideration shares to be issued. The final consideration is approximately RMB 40.601 billion, and the total number of consideration shares to be issued is 547,182,073.
Longpan Technology (02465): Controlling Subsidiary to Reduce Production and Conduct Maintenance on Some LFP Production Lines Longpan Technology announced that since the fourth quarter of 2025, the lithium iron phosphate production lines of its controlling subsidiary, Changzhou Liyuan New Energy Technology Co., Ltd., have been operating beyond full capacity. To ensure the safe, stable, and efficient operation of these LFP production lines, starting January 1, 2026, Changzhou Liyuan will implement a planned production reduction and maintenance schedule on some production lines, expected to last for one month. This maintenance is estimated to reduce LFP production by approximately 5,000 tons and is not expected to have a material impact on the Company's 2026 operating performance.
Tianqi Lithium (09696): Investee Company SQM Completes Strategic Collaboration with Codelco Tianqi Lithium announced on December 29 that on December 27, 2025 (Chile time), its investee company, SQM, disclosed that it had completed its strategic collaboration with Chilean state-owned copper miner Codelco. The name of the joint venture company, SQM Salar, will be changed to Nova Andino Litio SpA. The merger is executed according to the terms agreed in the Partnership Agreement signed on May 31, 2024, but remains subject to one dissolutive condition: pending a ruling by the Supreme Court of Chile on the appeal filed by Tianqi Chile, a wholly-owned subsidiary of the Company. SQM's announcement stated that according to the Partnership Agreement, the preferential and economic rights attached to Class A and Class B shares of the joint venture company took effect from January 1, 2025, including dividend distribution and payment methods stipulated in the agreement.
China Energy Engineering Corporation (03996): Subsidiary Consortium Wins RMB 6.864 Billion Ecological Comprehensive Management Project China Energy Engineering Corporation announced that a consortium formed by its subsidiaries China Gezhouba Group Road & Bridge Engineering Co., Ltd. and China Power Engineering Consulting Group Northwest Electric Power Design Institute Co., Ltd., along with Huashi Design Group Co., Ltd., has won the bid for the Henghe and Yuehe River Basin Ecological Comprehensive Management Project in the Hengkou Demonstration Zone, Ankang City, Shaanxi Province. The bid amount is approximately RMB 6.864 billion. The project's construction content includes watershed management, transportation infrastructure, urban renewal, water conservancy facilities, and environmental protection engineering, with a total construction period of 36 months. The relevant parties have not yet formally signed the contract with the project owner, and the aforementioned project still carries uncertainty. Investors are advised to be aware of the investment risks.
Guolian Minsheng (01456): Shareholding Ratio in Minsheng Securities Rises to 99.98% Guolian Minsheng announced that it successfully acquired 81.543 million shares of Minsheng Securities, representing 0.72% of its total shares, held by Oceanwide Holdings through a judicial auction. Recently, the company received the "Enforcement Ruling," which rules that the ownership of the aforementioned shares belongs to the company. On December 29, 2025, Minsheng Securities issued a new share certificate to the company. The number of Minsheng Securities shares held by the company increased to 11.37 billion shares, and the ratio rose to 99.98%.
Ping An Life Insurance Continues to Increase Holdings in Agricultural Bank of China (01288) H-Shares; Stake Exceeds 19% of Total H-Shares Latest information from HKEX's Disclosure Easy shows that Ping An Life Insurance increased its holdings by 44.05 million Agricultural Bank H-shares in the market on December 22. After this increase, Ping An Life's holdings of ABC H-shares rose to 5.842 billion shares, exceeding 19% of the bank's total H-share count.
GRAND PHARMA (00512)'s Introduced World's First Epinephrine Nasal Spray for Severe Allergic Reactions Receives Drug Registration Certificate GRAND PHARMA announced that recently, Neffy®, the world's first epinephrine nasal spray for the emergency treatment of Type I allergic reactions (including severe anaphylaxis) in adult and pediatric patients weighing 30kg or more (2mg specification), which the Group obtained through cooperation with You'er Pharmaceutical, has received a drug registration certificate from the National Medical Products Administration (NMPA). The Group holds exclusive commercialization rights for this product within the cooperative channels in Mainland China and non-exclusive commercialization rights in the Hong Kong Special Administrative Region. It plans to achieve localized production within 24 months after product approval.
Stock Focus: CTG DUTY-FREE (01880): Wholly-Owned Subsidiary Signs Beijing Capital International Airport Duty-Free Project Contract CTG DUTY-FREE announced that its wholly-owned subsidiary, China Duty Free Group Co., Ltd., has signed the "Beijing Capital International Airport Duty-Free Project Contract" with Beijing Capital Airport Commerce Co., Ltd. The project is located in the international departure restricted area and the arrival area of Terminal 3 at Beijing Capital International Airport, with a total area of 10,646.74 square meters. The operating period runs from February 11, 2026, to February 10, 2034. The operating fee is calculated as the sum of the guaranteed minimum operating fee for the respective billing year and a percentage of actual sales. The guaranteed minimum operating fee for the first year is RMB 480 million, and the sales commission rate is 5%. The signing of this contract is conducive to the company consolidating its channel advantages in core airports and is expected to have a positive impact on future operating performance development.
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