2025-02-11: China's Shift to Market-Based Pricing for Renewable Energy
Japan's Historic 2024 Current Account Surplus
Good Morning,
Below are some of the most important developments in business and economics in Asia today.
▪️ China: China's Shift to Market-Based Pricing for Renewable Energy
Chinese authorities have unveiled a significant change in the pricing mechanism for on-grid electricity from renewable energy sources, such as wind and solar power.
▪️ Japan: Japan's Historic 2024 Current Account Surplus Driven by Foreign Investments and Weak Yen
In 2024, Japan achieved a record current account surplus of 29.26 trillion yen ($193 billion), driven by increased foreign investment returns, a weak yen, and a reduced trade deficit.
▪️ India: BJP's Resurgence Ends AAP's Dominance in Delhi Elections
The Aam Aadmi Party (AAP) experienced a considerable setback in the Delhi assembly election on February 8, 2025, as their seat count dropped precipitously from 62 in 2020 to just 22 seats.
▪️ China: China's Consumer Inflation Surge Amid Weak Producer Prices
In January, China's consumer inflation experienced a substantial rise, marking a significant shift in the country's economic landscape.
▪️ South Korea: Rising Flight Delays Impacting South Korean Airlines
In South Korea last year, 25.7% of domestic airline flights were delayed by at least 15 minutes.
For more information on these developments, please see the full report below.
Thanks for reading,
Rodney J Johnson
Today's Developments
Widely Reported On Issues of Importance
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China's Shift to Market-Based Pricing for Renewable Energy
Chinese authorities have unveiled a significant change in the pricing mechanism for on-grid electricity from renewable energy sources, such as wind and solar power.
Starting February 9, 2025, prices that were previously fixed will now be determined by market forces. This transition aims to align electricity pricing with market supply and demand, enhancing the regulation of the power system. A new pricing settlement mechanism will differentiate between new and existing projects. Projects commencing from June 1, 2025, will adhere to a market-based bidding rate, while current projects will need to adjust in compliance with present policies.
By the end of 2024, China's investment in new energy resources has reached a monumental scale, with an installed capacity of approximately 1.41 billion kilowatts. This capacity exceeds 40% of the national total, outpacing coal-fired plants. The reform is designed to utilize market mechanisms to improve the quality of the new energy sector, addressing the limitations of fixed pricing that do not reflect market dynamics and complicate power system regulation. This evolution is vital for the sector's sustainable growth, supported by lower development costs and enhanced regional power market rules.
The National Development and Reform Commission, in conjunction with the National Energy Administration, has released a notice introducing a sustainable development price settlement mechanism. This mechanism is intended to resolve discrepancies between market transaction prices and established prices, refining spot market governance to facilitate fair participation of new energy sources in real-time and day-ahead markets. Improved policy coordination is necessary to prevent undue cost burdens on new energy projects, advocating for market-driven solutions in energy storage development to ensure equal rights and responsibilities among all market participants.
The new policy framework is set to incentivize investment in the new energy sector, reflecting the government’s dedication to this area. By permitting renewable sources to compete with traditional power, the policy seeks to stabilize revenue for renewable energy producers despite market fluctuations. Experts foresee photovoltaic power benefiting significantly during peak periods, like the summer months, thereby attracting more investors and mitigating underutilization in some regions. Additionally, the notice focuses on addressing inefficiencies in energy storage, promising better outcomes, higher returns, and greater innovation.
References for this Development
China pushes market reform of new energy electricity pricing
Xinhua | English | News
深化新能源上网电价市场化改革
Deepen the market-oriented reform of new energy on-grid electricity prices
Guangming Daily | Local Language | News
市场化改革新政出炉 新能源上网电量全面进入电力市场
Guangming Daily | Local Language | News
新能源发电将全面入市
New energy power generation will be fully launched into the market
Caijing | Local Language | News
新能源上网电价市场化迎重要改革 业界：有利于激发企业投资新能源产业的积极性
STCN | Local Language | News
新能源上网电价市场化迎重要改革 各地年底前出台并实施具体方案
Caijing | Local Language | News
深化新能源上网电价市场化改革——国家发展改革委、国家能源局负责人就相关文件答记者问
Xinhua | Local Language | News
新能源上网电价市场化改革“提速”
The market-oriented reform of new energy on-grid electricity prices is accelerating
STCN | Local Language | News
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Japan's Historic 2024 Current Account Surplus Driven by Foreign Investments and Weak Yen
In 2024, Japan achieved a record current account surplus of 29.26 trillion yen ($193 billion), driven by increased foreign investment returns, a weak yen, and a reduced trade deficit.
This represents a significant 29.5 percent increase from the previous year and marks the highest surplus since record-keeping began in 1985, according to the Finance Ministry. A key contributor to this achievement was the surge in primary income from overseas investments, which increased by 11.3 percent to 40.21 trillion yen, thanks to better returns from offshore subsidiaries across various sectors.
The depreciation of the yen, which averaged 151.48 against the US dollar, played a crucial role by enhancing the value of foreign earnings. Additionally, Japan's goods trade deficit narrowed markedly, decreasing by 40 percent to 3.90 trillion yen. Export growth of 4.5 percent to 104.87 trillion yen was fueled by strong demand for semiconductor-making equipment and vehicles. Although imports also rose by 1.8 percent to 108.77 trillion yen due to higher shipments of personal computers and nonferrous metals, the growth was moderated by declining energy and coal prices.
A notable development in 2024 was the 10.3 percent reduction in the services trade deficit, bringing it down to 2.62 trillion yen. This improvement was largely due to a record travel surplus of 5.90 trillion yen, as 36.87 million foreign tourists visited Japan, spending more than Japanese residents did abroad. This positive trajectory continued, culminating in a current account surplus of 1.08 trillion yen in December 2024, a 17.8 percent increase from the same month the previous year, reflecting Japan's robust international trade performance.
References for this Development
Japan logs record 29.26 tril. yen current account surplus in 2024
Kyodo News | English | News
昨年経常黒字、過去最高＝29．2兆円、配当金など増加―財務省
Yahoo Finance | Local Language | News
２４年国際収支、経常収支は２９兆２６１５億円の黒字
2012 balance of payments and current account surplus of 29.2615 trillion yen
Yomiuri Shimbun | Local Language | News
経常黒字過去最大、29兆円 24年、海外配当が増加 貿易赤字は4割減
The Sankei News | Local Language | News
日本の経常黒字過去最大２９兆円 ２０２４年、海外配当増加
Tokyo Shimbun | Local Language | News
Japan logs record 29.26 trillion yen current account surplus in 2024
The Mainichi | English | News
日本の経常黒字過去最大29兆円 2024年、海外配当増加
Nishi Nippon | Local Language | News
日本の経常黒字、過去最大29兆円 2024年、海外配当が増加
Mainichi Shimbun | Local Language | News
Japan logs record 29 trillion yen current account surplus in 2024
The Mainichi | English | News
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BJP's Resurgence Ends AAP's Dominance in Delhi Elections
The Aam Aadmi Party (AAP) experienced a considerable setback in the Delhi assembly election on February 8, 2025, as their seat count dropped precipitously from 62 in 2020 to just 22 seats.
This outcome casts doubt on several key welfare initiatives previously launched by AAP, such as free water and electricity provisions. In stark contrast, the Bharatiya Janata Party (BJP) staged a notable comeback by securing 48 out of 70 seats, thereby ending their 26-year absence from power in Delhi.
The BJP concentrated its election manifesto on maintaining and expanding existing schemes, with a strong focus on combating corruption. The party’s plans include financial aid for low-income and pregnant women, improved healthcare for the elderly, and the implementation of the Ayushman Bharat Yojana to enhance health and social-security benefits for widows and the disabled. Furthermore, they aim to increase educational opportunities for impoverished students, offer vocational training to Scheduled Caste individuals, and support transport drivers, domestic workers, and farmers. They also intend to fortify welfare programs directed at Delhi’s youth and vulnerable populations.
As discussions progress on the BJP's selection for the new chief minister, Parvesh Verma has emerged as a robust candidate after defeating AAP leader Arvind Kejriwal in the New Delhi constituency. Other potential candidates are Ashish Sood, Pawan Sharma, Vijender Gupta, and Satish Upadhyay, all of whom bring considerable political experience to the table. The possibility of appointing a female candidate remains open, with noteworthy victories by Rekha Gupta and Shikha Roy. There is also talk of selecting someone from outside the legislative assembly, with names like Harsh Malhotra and Manoj Tiwari being mentioned. The final decision will rest with the top echelons of BJP leadership, as confirmed by Delhi BJP president Virendra Sachdeva.
In the Jangpura constituency, Tarvinder Singh Marwah of the BJP emerged victorious over AAP leader Manish Sisodia, securing 38,859 votes and defeating Sisodia by a margin of 675 votes. Although Sisodia conceded defeat and supported Marwah, AAP managed to secure only 22 seats. Meanwhile, the Congress Party's losing streak continued, as they failed to win any seats for the third consecutive election. Marwah, who was formerly an MLA for Congress before joining BJP in 2022, now holds a leadership role within the Delhi BJP's Sikh faction.
The selection process for Delhi’s new chief minister remains underway, with the swearing-in ceremony anticipated after February 13, once Prime Minister Narendra Modi returns from his diplomatic engagements. BJP leaders JP Nadda and Amit Shah are spearheading the process. Speculation suggests that a candidate with roots in diverse communities may be favored, a strategy influenced by previous successes in states like Madhya Pradesh, Rajasthan, and Odisha.
The new legislative assembly reflects a decrease in the representation of women, with only five securing seats compared to eight in 2020. Newly elected female representatives include Rekha Gupta, Poonam Sharma, Neelam Pahalwan, and Shikha Roy from the BJP, along with AAP's former chief minister Atishi. Furthermore, there is a trend toward higher educational qualifications among members, although the average age of the MLAs has increased to 52 years, partly due to the reduction in younger representatives.
The Congress Party faced an acute defeat, securing no seats and losing security deposits for the majority of its candidates. This marks the third consecutive election with such losses. Out of 699 candidates, 555 lost their deposits, although BJP and AAP candidates successfully retained theirs, illustrating the challenging political environment for Congress.
The BJP’s ambitious pledges include a variety of social welfare supports, such as payments to underprivileged women and senior citizens, along with substantial investments in education. Nonetheless, financial feasibility concerns arise due to Delhi's strained budget and diminishing revenues. The BJP may need to rely on central government assistance to meet these promises, emphasizing the necessity of flexibility and prioritization in governance.
Among the newly elected legislators, 31 out of 70 have declared criminal cases. Despite continuing concerns about these allegations, the financial standing of the MLAs has improved, as reflected in their average asset values. The political landscape remains dynamic, with education levels rising among representatives. Nonetheless, BJP leadership is committed to adhering to strict administrative protocols and strategically planning for upcoming governance challenges in Delhi.
References for this Development
Livemint | English | News
Delhi election results: Cong draws blank, loses security deposits in 67 of 70 seats
Hindustan Times | English | News
Livemint | English | News
‘So much hooliganism’: Atishi slams BJP after meeting Kejriwal over Delhi poll setback
Hindustan Times | English | News
BJP's vote share in Delhi polls rises by 13%, AAP sees 10% decline
The Economic Times | English | News
Will play the role of a constructive opposition: Atishi on BJP win Delhi
The Economic Times | English | News
We accept the mandate of Delhi people, will play the role of a constructive opposition: Atishi
The Economic Times | English | News
Discussions on government formation in Delhi take place at Amit Shah’s residence
The Statesman | English | News
Delhi polls: Fewer MLAs with criminal cases average asset value surges
The Economic Times | English | News
'Lost due to its actions': Ex-Kejriwal associate Kiran Bedi on AAP's Delhi defeat
Hindustan Times | English | News
Delhi government formation: BJP begins deliberations
The Economic Times | English | News
Shiv Vihar’ or ‘Shiv Puri’: Winning BJP leader suggests name for Delhi's Mustafabad
Hindustan Times | English | News
Parvesh Verma, BJP 'giant-killer' who defeated Arvind Kejriwal, vows to complete ‘unfinished work’
Hindustan Times | English | News
AAP loses Delhi poll: Will BJP govt scrap Arvind Kejriwal's free water, free electricity schemes?
Hindustan Times | English | News
Who will be new Delhi chief minister? Buzz over these BJP names intensifies day after big win
Hindustan Times | English | News
Delhi's new CM likely to be sworn in after PM Narendra Modi's return from US: Report
Hindustan Times | English | News
Promises vs Pockets: BJP’s real battle begins after historic Delhi win
The Economic Times | English | News
‘Sheesh Mahal’ to Excise policy scam: How BJP crafted its winning narrative in Delhi
The Economic Times | English | News
Delhi’s vote signals a shift towards progress, no more allegations, only governance: Kiran Bedi
The Statesman | English | News
AAP's defeat in Delhi boosts Congress' hopes of resurgence in Punjab
Deccan Herald | English | News
Writing on the wall that AAP couldn’t read: A look at what went wrong for Kejriwal and co
The Economic Times | English | News
Drop in women’s representation in Delhi Assembly 2025: PRS report
Hindustan Times | English | News
How Yamuna controversy sank AAP in Delhi
The Economic Times | English | News
Delhi BJP holds meetings of newly-elected MLAs
The Statesman | English | News
Hindustan Times | English | News
INDIA bloc will regroup for Lok Sabha polls: Rajiv Shukla amid AAP's defeat in Delhi polls
The Economic Times | English | News
Deccan Herald | English | News
BJP’s Blueprint for Delhi: What Modi’s Delhi will look like
The Economic Times | English | News
Delhi election: 80% of total candidates, including 67 Congress leaders, lose deposits
The Economic Times | English | News
Delhi Elections 2025: CM Atishi steps down from her post submits resignation
Livemint | English | News
Delhi poll process concludes with ECI submitting list of winning candidates to LG
The Statesman | English | News
Delhi govt formation LIVE: BJP's swearing-in ceremony likely post PM Modi's US trip
Hindustan Times | English | News
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China's Consumer Inflation Surge Amid Weak Producer Prices
In January, China's consumer inflation experienced a substantial rise, marking a significant shift in the country's economic landscape.
The consumer price index (CPI) increased by 0.5 percent year-on-year and 0.7 percent month-on-month, the highest in five months and a notable jump from December's 0.1 percent rise. The Spring Festival holiday played a crucial role in this increase, spurring demand in sectors such as travel, dining, and shopping. Service prices saw a notable uptick, rising by 0.9 percent and contributing approximately 0.37 percentage points to the CPI. Furthermore, food prices rose by 1.3 percent month-on-month, driven by New Year stockpiling and weather conditions that impacted agriculture.
The Spring Festival also highlighted robust economic activity, with domestic tourism hitting a record 501 million trips, a 5.9 percent increase from the previous year. Tourist expenditure surpassed 677 billion yuan (approximately 94.42 billion US dollars), reflecting a 7 percent rise. Retail and catering sales grew by 4.1 percent, indicating strong consumer momentum and a thriving holiday market.
In an effort to boost domestic demand, China initiated a program in 2024 focused on large-scale equipment upgrades and trade-ins of consumer goods. This initiative aims to modernize factories while offering consumer subsidies for automobiles and home appliances, which in turn boosted spending on food, festive goods, and smart home appliances during the holiday season.
Despite the surge in consumer inflation, the producer price index (PPI) told a different story, falling by 2.3 percent year-on-year in January and continuing the previous month's trend with a 0.2 percent month-on-month decrease. This decline is attributed to reduced industrial production and lower demand for building materials, with stable coal supplies keeping coal prices low. However, international fluctuations in non-ferrous metal prices have introduced some volatility. There is cautious optimism for a post-holiday recovery in industrial activity, which may help stabilize PPI declines.
Core CPI, which excludes food and energy prices, exhibited a favorable trend, increasing by 0.5 percent month-on-month and 0.6 percent year-on-year. This suggests stabilization in overall economic demand. Analysts are optimistic about improved consumer demand and pricing levels, supported by better income and employment conditions. A moderate price recovery is anticipated throughout the year, propelled by enhanced macroeconomic policies and recovering domestic demand.
China's economic environment is currently characterized by rising consumer inflation alongside ongoing declines in producer prices, highlighting a disconnect between consumer spending and weak manufacturing activity. The imposition of new US tariffs presents additional risks to export stability, underlining the importance of effective domestic economic policies to stimulate demand and mitigate potential deflationary pressures. Policymakers are expected to maintain their monetary and fiscal strategies at least until the annual parliament session in March, with a focus on navigating these external uncertainties.
References for this Development
新华社消息丨1月份我国CPI涨幅扩大 PPI同比下降
Xinhua News Agency: my country's CPI growth rate expanded in January, while PPI fell year-on-year
Xinhua | Local Language | News
新华全媒+丨CPI涨幅扩大 PPI同比下降——透视1月份物价数据
Xinhua | Local Language | News
China inflation up on new year spending
The Manila Times | English | News
Economic Watch: China's CPI growth accelerates in January on holiday spending
Xinhua | English | News
1月份居民消费价格指数环比上涨0.7%
The consumer price index rose 0.7% month-on-month in January
Guangming Daily | Local Language | News
2025年1月全国CPI同比上涨0.5%，环比上涨0.7%
In January 2025, the national CPI rose by 0.5% year-on-year and 0.7% month-on-month.
Caijing | Local Language | News
1月份北京居民消费价格环比上涨1.2%
Beijing's consumer price index rose 1.2% month-on-month in January
Beijing News | Local Language | News
China's CPI growth accelerates in January on holiday spending
China Org Cn | English | News
China's CPI sees moderate growth in Jan due to holiday spending: NBS
Peoples Daily | English | News
杨德龙：一月CPI温和上涨主要受春节因素影响 利于央行实施适度宽松货币政策
Sina Finance | Local Language | News
China inflation picks up after Lunar New Year spending boost
Inquirer Net | English | News
China’s Consumer Inflation Quickens, Factory Prices Keep Falling in January
Yicai Global | English | News
国家统计局解读：2025年1月份CPI涨幅扩大 PPI同比下降
Caijing | Local Language | News
China's consumer inflation at 5-month high, producer deflation persists
CNBC | English | News
CPI growth accelerates on holiday spending
China Daily | English | News
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Rising Flight Delays Impacting South Korean Airlines
In South Korea last year, 25.7% of domestic airline flights were delayed by at least 15 minutes.
Out of 678,489 flights, 174,078 experienced delays, with domestic flights responsible for 22.2% and international flights accounting for 29.8%. This represents a 2.1 percentage point increase in the overall delay rate from the previous year. The surge in delays was largely attributed to increased airport congestion due to a higher number of international flights, frequent turbulence, and airspace restrictions impacting international flight routes.
Air Seoul had the highest delay rate for international flights at 46.6%, with Eastar Jet following at 38% and Jin Air at 35.4%. On the other hand, Air Busan registered the lowest international delay rate at 17.3%. In the domestic flight category, T'way Air reported the highest delay rate at 31.3%, with Air Seoul also notable at 31%. Asiana Airlines stood out with the best performance in preventing domestic delays, achieving a rate of 17.2%.
Maintenance issues contributed to 4,648 flight delays, amounting to 0.7% of all flights, showing a slight increase compared to the previous year. Air Premia had the most maintenance delays at 2.7%, followed by T'way Air at 1.1%. These delays indicate areas needing improvement, especially as the demand for air travel continues to grow. Rep. Ahn Tae-joon emphasized the need for airlines to maintain punctuality and conduct thorough inspections to avert future maintenance-related delays.
References for this Development
1 in 4 flights in Korea delayed in 2024 due to air traffic congestion: ministry
Korea Times | English | News
작년 항공기 4대중 1대는 늦게 출발·도착…지연율 ‘이 곳’ 가장 높아
Last year, 1 in 4 aircraft departed or arrived late… Delay rate highest ‘here’
Maekyung | Local Language | News
1 in 4 flights in S. Korea delayed in 2024 due to air traffic congestion: ministry
Yonhap | English | News
One in four Korean airline flights faced delays last year, data reveals
Joongang Ilbo | English | News
작년 항공기 4대 중 1대 늦었다…국제선 지연율 1위 '에어서울'
Last year, 1 out of 4 aircraft were late… Air Seoul ranked 1st in international flight delay rate
Joongang Ilbo | Local Language | News
Operations Media
Key News Articles by Operations Category
Bizdev-Partnering
테무, 韓시장 직진출 움직임…한국인 직원 채용·배송 계약 검토
South Korea | Joongang Ilbo | Local Language | News| Feb. 11, 2025
Temu, a Chinese online shopping platform and subsidiary of Pinduoduo Holdings, is entering the Korean market. As of February 10, 2025, it has begun hiring for key roles in human resources, general affairs, public relations/marketing, and logistics. Some HR positions are already filled, and the company is establishing an integrated logistics system, moving away from relying on multiple customs clearance firms for last-mile delivery.
To enhance its logistics, Temu will contract with major Korean logistics companies through an open bidding process at its headquarters, aiming to strengthen its competitiveness in Korea's e-commerce landscape. This move mirrors AliExpress's strategy, which localised its operations after entering Korea in 2019.
Temu's entry is driven by expected downturns in the U.S. market and the opportunities presented by Korea, the world's fifth-largest e-commerce market with an annual transaction volume of 242 trillion won. As it competes with established players like Gmarket, AliExpress, and Coupang, the competition in Korea’s e-commerce sector is set to intensify.
Economic Growth
経済安保、企業の対米投資を後押し 24年は最高の11兆円
Japan | Nikkei | Local Language | News| Feb. 11, 2025
Investment from Japan to the US hit a record 11.7 trillion yen in 2024, influenced by the US-China conflict and China's economic downturn. This marks a strategic pivot for Japanese firms favoring US investments due to economic security concerns. Consequently, they seem to prioritize investing in the US over boosting exports.
Preliminary data from Japan's Ministry of Finance shows total foreign direct investment rose 17.1% to 31.6325 trillion yen, the highest since 1996, with US investments making up nearly 40%. Notable moves include Nippon Life Insurance Company's planned acquisition of a US life insurance company for about $8.2 billion.
In contrast, investments in China stagnated at 493.1 billion yen, reflecting a nearly 60% drop over the last decade. Conversely, investment in ASEAN countries surged by approximately 36% year-on-year. Experts link the decline in Chinese investments to economic difficulties arising from geopolitical tensions and a faltering real estate market, trends exacerbated by the US-China conflict.
Recent comments from US President Trump highlighted the need to address the trade deficit with Japan, alongside a proposed 25% tariff on certain imports, which could push Japanese firms towards increased local production in the US. Despite a weaker yen raising the costs of overseas investments, Japanese companies are directing more capital abroad, primarily through equity. This shift comes amid dwindling domestic investment in Japan, posing challenges for future foreign investments in light of stagnant consumption and capital expenditure.
Energy Prices
Quảng Ngãi đề xuất dùng khí hóa lỏng nhập khẩu làm điện khí
Quang Ngai proposes using imported liquefied gas to generate electricity
Vietnam | VN Express | Local Language | News| Feb. 11, 2025
Quang Ngai province has proposed using imported liquefied natural gas (LNG) to address delays in the Dung Quat I and III Combined Cycle Gas Turbine Power Plants. These plants, with a combined capacity of 1,500 MW, are essential for national energy security and local economic growth, but the development of the nearby Blue Whale gas field faces setbacks and uncertainty over gas supply timelines.
To counter these delays, officials suggest transitioning to imported LNG in the project's initial phases, which could accelerate construction and support the province's growth targets of 8.5% by 2025. The use of LNG, a cleaner fuel already utilized in other Vietnamese projects like Nhon Trach 3 and 4, aligns with ambitions for regional development by 2030.
In response, Deputy Minister of Industry and Trade Nguyen Sinh Nhat Tan stated that the ministry is coordinating with investors, including ExxonMobil and Vietnam Oil and Gas Group, to enhance project planning. He acknowledged that foreign investor concerns have slowed the transition of the Blue Whale gas field and emphasized a reassessment of production costs for using imported LNG, ensuring thorough analysis for the province and stakeholders.
SK·한화·포스코 '구역전기·자가발전' 확대…전기요금 상승에 脫 한전
South Korea | ET News | Local Language | News| Feb. 11, 2025
SK, Hanwha, and POSCO are ramping up their district electricity and self-generation initiatives in response to rising industrial electricity rates, moving away from KEPCO. Hanwha Energy's Yeosu Eco Energy has secured approval for a 500MW district energy project, enabling direct electricity supply to consumers. The company aims to boost its combined heat and power plant capacity from 250MW to 490MW, targeting nearly 1GW this year. POSCO International is also launching a 500MW project in the Gwangyang National Industrial Complex following challenges in securing power generation permits.
The surge in demand for self-generation is evident, with SK Innovation exploring a 300MW self-generation power plant at its Ulsan Complex and planning to import liquefied natural gas (LNG). S-Oil is investing 263 billion won to set up gas turbine generators and waste heat recovery boilers at its Onsan Plant, intending for all 121MW produced to serve its operational needs. Hyundai Steel is committing 800 billion won to establish a 499MW LNG self-generation facility at Dangjin Steelworks, expected to be operational by 2028.
Overall, the demand for district electricity and self-generation from these firms is projected at 2GW, with ongoing projects potentially increasing this to 4GW. This shift is driven by sharp increases in electricity rates, which have risen over 60% since 2022, now standing at an industrial U rate of 182.7 won/kWh. As the disparity between these rates and costs for district electricity and self-generation grows, large-scale users are increasingly exploring these alternatives to enhance their self-generation capabilities.
Supply Chain Issues
運價連4跌！SCFI失守2000點關卡 本週下跌7.3%、四大航線皆走跌
Taiwan | NOWnews | Local Language | News| Feb. 11, 2025
Freight rates have declined for four consecutive days, with the Shanghai Containerized Freight Index (SCFI) dropping to 1896.65 points on February 7, a decrease of 148.8 points or 7.3%. This fall takes the index below the critical 2000-point mark, affecting all major shipping routes. Notably, the Far East to Europe route saw a significant decline of 15.93%.
The current freight rate for a 20-foot container on the European route is $1,805, down 16%. The Mediterranean route is priced at $3,036, reflecting a 5.3% decrease, while the US West Coast route stands at $3,932 for a 40-foot container, a drop of 4.5%. The US East Coast route also recorded a 5% decline, with prices at $5,490 for a 40-foot container. Similar reductions were observed across other routes, including the Persian Gulf, South America, and Southeast Asia.
Experts attribute the declines to shipping companies stockpiling cargo before the New Year, which moderated the anticipated rate drop. As China resumes work after the holidays, uncertainty looms over the shipping landscape, with tighter freight conditions expected next week. The impending US tariffs on China and their impact on shipments ahead of the critical February 17 shipping week are expected to further complicate the market. Additionally, the delayed tariffs on Mexico and Central and South America’s peak shipping seasons are likely to affect rates in the near future.
Taxes
India offers tax relief for foreign tech experts to boost electronics sector growth
India | The Economic Times | English | News| Feb. 11, 2025
India's government has implemented tax relief measures to attract foreign tech experts to strengthen the electronics sector. Companies can now hire skilled engineers and support teams from abroad, including China, for short durations without complex tax issues. Under the new presumptive taxation regime, only 25% of their remuneration will be taxable while in India. This initiative aims to resolve previous tax uncertainties that discouraged foreign professionals due to compliance challenges and high rates.
Trade Issues and Numbers
Expanding LNG Imports from U.S. in Japan's Interest: Ishiba
Japan | Nippon | English | News| Feb. 11, 2025
Japanese Prime Minister Shigeru Ishiba emphasized that boosting liquefied natural gas imports from the U.S. aligns with Japan's national interests, as discussed in the recent Japan-U.S. summit. He underscored the need to diversify energy sources and expressed intent to help reduce the U.S. trade deficit with Japan, a key concern for President Donald Trump.
Dollar gains on Trump tariff threats, euro near 2-year low
China | CNBC | English | News| Feb. 11, 2025
The dollar rose on February 10, 2025, as President Donald Trump announced 25% tariffs on all steel and aluminum imports, increasing tension in global trade and pressuring the euro, Australian, and New Zealand dollars. Trump indicated a willingness to impose reciprocal tariffs, heightening fears of a trade war, particularly with China's imminent retaliatory tariffs on U.S. goods.
Chinese automakers surge while Korea, Germany, Japan struggle
South Korea | Chosun Ilbo | English | News| Feb. 11, 2025
Chinese automakers are reshaping the global auto industry, with BYD and Geely Group achieving notable success by ranking eighth and tenth in sales, respectively. BYD's sales surged by 41.5%, while Geely saw a 22% increase, marking its debut in the top 10. In contrast, established brands like Toyota, Volkswagen, and Hyundai experienced declines of 3.7%, 2.3%, and 1%, largely due to their heavy reliance on the Chinese market.
Business Releases
By Issuing Business Association
Swiss Business Association Vietnam
Bernese voters accept counter-proposal to solar initiative Swiss Business Association Vietnam | English | Business In the Swiss canton of Bern, there will still be no solar obligation for roof renovations in the future, but there will be one for large car parks. Voters approved the counter-proposal to the solar initiative with 66.6%; the initiative was rejected. +Get the most important news from Switzerland in your inbox In total 181,787 voters voted in favour of the counter-proposal, while 91,218 rejected it. The turnout was 37.4%, canton Bern said on Sunday. The initiative was rejected by 72% of voters. The initiative submitted by the Green Party in 2021 called for all new and existing buildings in the canton to be equipped with a solar system if the roof or façade surfaces are suitable and the installation is reasonable. A transitional period until 2040 would have applied to existing buildings. + Nine issues to be decided in six Swiss cantons This went too far for the cantonal parliament, which drew up a counter-proposal. This only included a solar obligation for roofs on new buildings, but not for façades. It stipulated that, in the case of renovations, property owners would simply have to declare whether roof surfaces were suitable for the use of solar energy. In addition, the counter-proposal now adopted by the electorate includes a solar obligation for larger public parking spaces. The Greens, the Social Democrats, the Protestant Party, the Green Liberal Party, environmental and nature conservation organisations such as the WWF and Greenpeace, the Swiss Traffic Association, the Swiss Energy Foundation, Swissolar, the Small Farmers Association and the Travailsuisse employees’ association had spoken out in favour of the initiative. The counter-proposal was supported by the Centre Party, the Swiss People’s Party, the Radical-Liberal Party, the Federal Democratic Union, the Bernese business associations, the homeowners’ association, the farmers’ association and the Bernese electricity association. Translated from German by DeepL/ts This news story has been written and carefully fact-checked by an external editorial team. At SWI swissinfo.ch we select the most relevant news for an international audience and use automatic translation tools such as DeepL to translate it into English. Providing you with automatically translated news gives us the time to write more in-depth articles. If you want to know more about how we work, have a look here, if you want to learn more about how we use technology, click here, and if you have feedback on this news story please write to english@swissinfo.ch. What are the pros and cons of the new agreement between Bern and Brussels? How might it affect your life? The wave of disinformation is expected to particularly affect direct democracies such as Switzerland or many US states. What are your thoughts on the "environmental responsibility initiative" that will be decided on February 9, 2025. This content was published on Feb 9, 2025 Two-thirds of Swiss people feel that cohesion in the country is “rather weak”, according to a study. Some 83% of respondents even felt that the sense of community was declining. This content was published on Feb 9, 2025 Employees in the Swiss canton of Solothurn will not receive a minimum wage of CHF23 ($25.30) per hour. Voters have clearly rejected a left-wing popular initiative for a minimum wage. This content was published on Feb 9, 2025 Voters rejected the constitutional initiative on lowering the voting age to 16 on Sunday with 79.1% of votes against. This content was published on Feb 9, 2025 Alain Berset, Secretary General of the Council of Europe, sees the current international situation as a wake-up call for Europe. This content was published on Feb 9, 2025 Solothurn and Basel Country will vote on minimum wage initiatives, and Lucerne is deciding on lowering the voting age to 16. This content was published on Feb 9, 2025 The jury of the Prix de Lausanne dance prize has selected nine winners from 85 dancers aged 15 to 18. None was from Switzerland. This content was published on Feb 8, 2025 Ignazio Cassis wants to finalise a free trade agreement between the Mercosur and EFTA blocs in 2025. This content was published on Feb 8, 2025 Pilatus has received an order from the Dutch Air Force for a pilot training system, to be delivered in 2027. This content was published on Feb 8, 2025 Around the world, the areas most suitable for growing the bean could even shrink by 60% if greenhouse gas emissions remain high. This content was published on Feb 7, 2025 The UN Human Rights Council approved the launch of this mechanism in Geneva on Friday, to be followed by an International Commission of Inquiry. In compliance with the JTI standards More: SWI swissinfo.ch certified by the Journalism Trust Initiative You can find an overview of ongoing debates with our journalists here . Please join us! If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch. Follow us Stay informed daily about news in Switzerland with our Briefing in the SWI plus app for the Swiss abroad. SWI swissinfo.ch - a branch of Swiss Broadcasting Corporation SRG SSR SWI swissinfo.ch - a branch of Swiss Broadcasting Corporation SRG SSR
Swiss voters reject green overhaul of economy Swiss Business Association Vietnam | English | Business Swiss voters on Sunday rejected an ambitious proposal by the Young Greens to revamp the country’s economy and bring it into line with “planetary boundaries”. Originally from Ireland, Domhnall worked in research and writing in a couple of European countries before joining swissinfo.ch in 2017. He covers direct democracy and politics and is usually in Bern. Just an hour after voting ended, a majority of the country’s 26 cantons had already said no to the initiative, while projections by the gfs.bern research institute estimated it had garnered only 30% backing across the country. Support was likely confined to left-wing and ecological circles, gfs.bern’s Lukas Golder told Swiss public television, SRF, on Sunday afternoon. Among other voters, however, there was no appetite for such a “drastic” idea – even if the environment remains an important issue for many people, Golder said. The initiative, brought by the youth section of the left-wing Green Party, called for a constitutional amendment requiring the Swiss economy to respect “planetary boundaries” – a scientific concept of thresholds beyond which nature can no longer regenerate itself. To achieve this, things like CO2 emissions, biodiversity loss and water usage would have to have been seriously curbed – for example, the country would have had to decrease its per capita carbon footprint by over 90%, a study by Greenpeace Switzerland reckoned. Backers of the idea, including the left-wing Social Democrats and a coalition of NGOs, did not concretely say how this would be done, though they hinted that big industry and the ultra-rich would have borne the brunt. Parliament would have been responsible for implementing the initiative within ten years. On Sunday the Young Greens complained that the result marked a victory for “defenders of the status quo”, who were ignoring scientific warnings about the scale of the ecological crisis. The opposition campaign had used scaremongering tactics to divert attention away from planetary protection and onto fears of economic losses, the Young Greens said in a press release. Other supporters struck a more moderate tone. Social Democrat Linda de Ventura told SRF the outcome was to be expected; initiatives by youth parties invariably struggle at the ballot box, she said. However, the result was not a “statement against climate protection”: previous votes in favour of new climate and electricity laws show that citizens want to make progress, she said – just not in the form proposed on Sunday. This content was published on Dec 23, 2024 On February 9 the Swiss will vote on a popular initiative on environmental responsibility. It calls for adapting the economy to the planet’s ecological limits within the next ten years. On the opposition side, Maxime Moix from the youth section of the Centre Party agreed on this. Voters care about the environment, he told Swiss public television, RTS. However, they want to protect it “pragmatically” – not in a way that will worsen their quality of life, and not in such a short timeframe, which he called “far-fetched”. Indeed, throughout the campaign, opponents – including the government and a majority in parliament – argued that accepting the initiative would be ruinous for the state’s coffers. The scale of the changes would effectively turn Switzerland into a developing economy, some said. Firms and jobs could move abroad, while consumers would face higher prices, the government warned. “Much of what constitutes the current standard of living in Switzerland would have to be given up,” it wrote. The sense that the vote was a foregone conclusion might have been one factor behind what was a rather low-key campaign. According to Année Politique Suisse, a research group at the University of Bern, media coverage of the initiative was well below average. Other reasons for this may have been the low campaign budgets (on both sides) and “competing media events” like the resignation of Swiss Defence Minister Viola Amherd, announced in January. Whether the initiative could yet have a lasting impact on public opinion remains to be seen. In the Swiss direct democracy system, even failed proposals can sometimes claim success if they manage to foist a new idea onto the agenda – whether it’s Universal Basic Income, the abolition of the army, or – in Sunday’s case – the concept of planetary boundariesExternal link as a guide to ecological stability. This content was published on Feb 24, 2015 Swiss citizens can either propose legislation of their own, or work to defeat legislation already approved by parliament. What are the pros and cons of the new agreement between Bern and Brussels? How might it affect your life? The wave of disinformation is expected to particularly affect direct democracies such as Switzerland or many US states. What are your thoughts on the "environmental responsibility initiative" that will be decided on February 9, 2025. In compliance with the JTI standards More: SWI swissinfo.ch certified by the Journalism Trust Initiative You can find an overview of ongoing debates with our journalists here . Please join us! If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch. Follow us Stay informed daily about news in Switzerland with our Briefing in the SWI plus app for the Swiss abroad. SWI swissinfo.ch - a branch of Swiss Broadcasting Corporation SRG SSR SWI swissinfo.ch - a branch of Swiss Broadcasting Corporation SRG SSR
Swiss Business Association Vietnam
Bernese voters accept counter-proposal to solar initiative Swiss Business Association Vietnam | English | Business In the Swiss canton of Bern, there will still be no solar obligation for roof renovations in the future, but there will be one for large car parks. Voters approved the counter-proposal to the solar initiative with 66.6%; the initiative was rejected. +Get the most important news from Switzerland in your inbox In total 181,787 voters voted in favour of the counter-proposal, while 91,218 rejected it. The turnout was 37.4%, canton Bern said on Sunday. The initiative was rejected by 72% of voters. The initiative submitted by the Green Party in 2021 called for all new and existing buildings in the canton to be equipped with a solar system if the roof or façade surfaces are suitable and the installation is reasonable. A transitional period until 2040 would have applied to existing buildings. + Nine issues to be decided in six Swiss cantons This went too far for the cantonal parliament, which drew up a counter-proposal. This only included a solar obligation for roofs on new buildings, but not for façades. It stipulated that, in the case of renovations, property owners would simply have to declare whether roof surfaces were suitable for the use of solar energy. In addition, the counter-proposal now adopted by the electorate includes a solar obligation for larger public parking spaces. The Greens, the Social Democrats, the Protestant Party, the Green Liberal Party, environmental and nature conservation organisations such as the WWF and Greenpeace, the Swiss Traffic Association, the Swiss Energy Foundation, Swissolar, the Small Farmers Association and the Travailsuisse employees’ association had spoken out in favour of the initiative. The counter-proposal was supported by the Centre Party, the Swiss People’s Party, the Radical-Liberal Party, the Federal Democratic Union, the Bernese business associations, the homeowners’ association, the farmers’ association and the Bernese electricity association. Translated from German by DeepL/ts This news story has been written and carefully fact-checked by an external editorial team. At SWI swissinfo.ch we select the most relevant news for an international audience and use automatic translation tools such as DeepL to translate it into English. Providing you with automatically translated news gives us the time to write more in-depth articles. If you want to know more about how we work, have a look here, if you want to learn more about how we use technology, click here, and if you have feedback on this news story please write to english@swissinfo.ch. What are the pros and cons of the new agreement between Bern and Brussels? How might it affect your life? The wave of disinformation is expected to particularly affect direct democracies such as Switzerland or many US states. What are your thoughts on the "environmental responsibility initiative" that will be decided on February 9, 2025. This content was published on Feb 9, 2025 Two-thirds of Swiss people feel that cohesion in the country is “rather weak”, according to a study. Some 83% of respondents even felt that the sense of community was declining. This content was published on Feb 9, 2025 Employees in the Swiss canton of Solothurn will not receive a minimum wage of CHF23 ($25.30) per hour. Voters have clearly rejected a left-wing popular initiative for a minimum wage. This content was published on Feb 9, 2025 Voters rejected the constitutional initiative on lowering the voting age to 16 on Sunday with 79.1% of votes against. This content was published on Feb 9, 2025 Alain Berset, Secretary General of the Council of Europe, sees the current international situation as a wake-up call for Europe. This content was published on Feb 9, 2025 Solothurn and Basel Country will vote on minimum wage initiatives, and Lucerne is deciding on lowering the voting age to 16. This content was published on Feb 9, 2025 The jury of the Prix de Lausanne dance prize has selected nine winners from 85 dancers aged 15 to 18. None was from Switzerland. This content was published on Feb 8, 2025 Ignazio Cassis wants to finalise a free trade agreement between the Mercosur and EFTA blocs in 2025. This content was published on Feb 8, 2025 Pilatus has received an order from the Dutch Air Force for a pilot training system, to be delivered in 2027. This content was published on Feb 8, 2025 Around the world, the areas most suitable for growing the bean could even shrink by 60% if greenhouse gas emissions remain high. This content was published on Feb 7, 2025 The UN Human Rights Council approved the launch of this mechanism in Geneva on Friday, to be followed by an International Commission of Inquiry. In compliance with the JTI standards More: SWI swissinfo.ch certified by the Journalism Trust Initiative You can find an overview of ongoing debates with our journalists here . Please join us! If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch. Follow us Stay informed daily about news in Switzerland with our Briefing in the SWI plus app for the Swiss abroad. SWI swissinfo.ch - a branch of Swiss Broadcasting Corporation SRG SSR SWI swissinfo.ch - a branch of Swiss Broadcasting Corporation SRG SSR
Swiss voters reject green overhaul of economy Swiss Business Association Vietnam | English | Business Swiss voters on Sunday rejected an ambitious proposal by the Young Greens to revamp the country’s economy and bring it into line with “planetary boundaries”. Originally from Ireland, Domhnall worked in research and writing in a couple of European countries before joining swissinfo.ch in 2017. He covers direct democracy and politics and is usually in Bern. Just an hour after voting ended, a majority of the country’s 26 cantons had already said no to the initiative, while projections by the gfs.bern research institute estimated it had garnered only 30% backing across the country. Support was likely confined to left-wing and ecological circles, gfs.bern’s Lukas Golder told Swiss public television, SRF, on Sunday afternoon. Among other voters, however, there was no appetite for such a “drastic” idea – even if the environment remains an important issue for many people, Golder said. The initiative, brought by the youth section of the left-wing Green Party, called for a constitutional amendment requiring the Swiss economy to respect “planetary boundaries” – a scientific concept of thresholds beyond which nature can no longer regenerate itself. To achieve this, things like CO2 emissions, biodiversity loss and water usage would have to have been seriously curbed – for example, the country would have had to decrease its per capita carbon footprint by over 90%, a study by Greenpeace Switzerland reckoned. Backers of the idea, including the left-wing Social Democrats and a coalition of NGOs, did not concretely say how this would be done, though they hinted that big industry and the ultra-rich would have borne the brunt. Parliament would have been responsible for implementing the initiative within ten years. On Sunday the Young Greens complained that the result marked a victory for “defenders of the status quo”, who were ignoring scientific warnings about the scale of the ecological crisis. The opposition campaign had used scaremongering tactics to divert attention away from planetary protection and onto fears of economic losses, the Young Greens said in a press release. Other supporters struck a more moderate tone. Social Democrat Linda de Ventura told SRF the outcome was to be expected; initiatives by youth parties invariably struggle at the ballot box, she said. However, the result was not a “statement against climate protection”: previous votes in favour of new climate and electricity laws show that citizens want to make progress, she said – just not in the form proposed on Sunday. This content was published on Dec 23, 2024 On February 9 the Swiss will vote on a popular initiative on environmental responsibility. It calls for adapting the economy to the planet’s ecological limits within the next ten years. On the opposition side, Maxime Moix from the youth section of the Centre Party agreed on this. Voters care about the environment, he told Swiss public television, RTS. However, they want to protect it “pragmatically” – not in a way that will worsen their quality of life, and not in such a short timeframe, which he called “far-fetched”. Indeed, throughout the campaign, opponents – including the government and a majority in parliament – argued that accepting the initiative would be ruinous for the state’s coffers. The scale of the changes would effectively turn Switzerland into a developing economy, some said. Firms and jobs could move abroad, while consumers would face higher prices, the government warned. “Much of what constitutes the current standard of living in Switzerland would have to be given up,” it wrote. The sense that the vote was a foregone conclusion might have been one factor behind what was a rather low-key campaign. According to Année Politique Suisse, a research group at the University of Bern, media coverage of the initiative was well below average. Other reasons for this may have been the low campaign budgets (on both sides) and “competing media events” like the resignation of Swiss Defence Minister Viola Amherd, announced in January. Whether the initiative could yet have a lasting impact on public opinion remains to be seen. In the Swiss direct democracy system, even failed proposals can sometimes claim success if they manage to foist a new idea onto the agenda – whether it’s Universal Basic Income, the abolition of the army, or – in Sunday’s case – the concept of planetary boundariesExternal link as a guide to ecological stability. This content was published on Feb 24, 2015 Swiss citizens can either propose legislation of their own, or work to defeat legislation already approved by parliament. What are the pros and cons of the new agreement between Bern and Brussels? How might it affect your life? The wave of disinformation is expected to particularly affect direct democracies such as Switzerland or many US states. What are your thoughts on the "environmental responsibility initiative" that will be decided on February 9, 2025. In compliance with the JTI standards More: SWI swissinfo.ch certified by the Journalism Trust Initiative You can find an overview of ongoing debates with our journalists here . Please join us! If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch. Follow us Stay informed daily about news in Switzerland with our Briefing in the SWI plus app for the Swiss abroad. SWI swissinfo.ch - a branch of Swiss Broadcasting Corporation SRG SSR SWI swissinfo.ch - a branch of Swiss Broadcasting Corporation SRG SSR
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