This text is an on-site model of our FirstFT publication. Subscribers can signal as much as our Asia, Europe/Africa or Americas version to get the publication delivered each weekday morning. Discover all of our newsletters here
Good morning and welcome again to FirstFT Asia. In right this moment’s publication:
-
China pulls again from US personal fairness investments
-
CATL’s battery breakthrough
-
The legacy of Pope Francis
Chinese language state-backed funds are reducing off new funding in US personal fairness, in response to a number of individuals acquainted with the scenario, within the newest salvo towards President Donald Trump’s commerce struggle.
What to know: State-backed funds have been pulling back from investing in the funds of US-headquartered personal capital corporations in latest weeks in response to stress from the Chinese language authorities, in response to individuals with data of the matter. Chinese language buyers would not make new fund commitments to US corporations, the individuals mentioned. One added that some have been backing out of allocations that they had been planning to make, in instances the place that they had not but made a remaining dedication.
Why Chinese language funds are pulling again: A number of buyout executives mentioned Chinese language buyers had modified their strategy to US personal fairness for the reason that commerce struggle started. China has borne the brunt of US tariffs introduced previously three weeks that threaten to considerably curtail commerce between the world’s two greatest economies. Trump has imposed new tariffs of as much as 145 per cent on Chinese language exports and Beijing has retaliated with 125 per cent tariffs.
Why it issues: In latest a long time, Chinese language sovereign wealth funds have poured billions of {dollars} into lots of the largest US personal capital teams together with Blackstone, TPG and Carlyle Group. Prime business executives informed the FT that the fallout from Trump’s commerce struggle was prompting some analysis of the place to speculate. “There undoubtedly are questions from international buyers and shoppers about what’s taking place right here,” Blackstone president Jonathan Grey mentioned on an earnings name final week.
-
US-China commerce struggle: Beijing has warned it is going to retaliate towards international locations that negotiate commerce offers with the US “on the expense of China’s pursuits”.
-
Opinion: Ruchir Sharma explains how the commerce struggle will reorder the worldwide financial system — not burn it down.
Right here’s what else we’re maintaining tabs on right this moment:
-
Financial information: South Korea publishes March PPI inflation charge information and Hong Kong reviews month-to-month labour market figures.
-
World financial system: The IMF’s World Financial Outlook is printed. Kristalina Georgieva, the managing director of the IMF, warned final week that the fund was preparing to cut growth forecasts amid commerce turmoil and market volatility.
-
China-Kenya ties: Kenyan President William Ruto begins a five-day state go to to China.
Don’t miss the chance to affix Unhedged’s Robert Armstrong and different FT specialists on Wednesday as they talk about how Trump’s insurance policies are shaping markets in a subscriber-only webinar. Register for free.
5 extra prime tales
1. China’s CATL has unveiled upgraded battery cells it claims can supply sooner charging for electrical automobiles than its rival BYD. The world’s greatest EV battery maker mentioned yesterday {that a} new model of its flagship Shenxing battery cell might supply a 520km vary from simply 5 minutes of charging time. Read more about CATL’s breakthrough.
2. Wall Road shares and the greenback tumbled amid mounting uncertainty over the US financial system as Trump renewed his assaults on Federal Reserve chair Jay Powell. The greenback fell to a three-year low towards a basket of its large buying and selling companions after the US president stepped up his criticism of Powell — whom he known as “Mr Too Late” — for not reducing charges.
-
Extra US information: Harvard College has sued the Trump administration to dam its “illegal” efforts to freeze greater than $3bn in federal funding and improve authorities oversight of the venerable establishment.
3. US and Philippine forces are to conduct their first “full battle check” for preventing collectively in flashpoints equivalent to Taiwan or the South China Sea. The 2 international locations’ annual Balikatan workouts, which started yesterday, mix parts practised over the previous two years — equivalent to targeting enemy ships with missiles from shore or protecting islands from attack — right into a struggle situation beneath lifelike circumstances.
4. The US Federal Commerce Fee has sued ride-hailing app Uber, saying it made “false or misleading” claims about its subscription service. The case alerts that the Trump administration will proceed to clamp down on Large Tech teams regardless of latest overtures made by executives within the business.
5. Crypto on line casino takings have soared to tens of billions of {dollars} a yr, new information confirmed, as gamblers bypassed blocks of their house international locations to wager on unregulated offshore platforms. Regardless of being unlawful in most international locations, wagers paid in cryptocurrency final yr generated $81.4bn in gross gaming income — a fivefold rise since 2022.
Obituary: Pope Francis, 1936-2025
The reign of Pope Francis, who has died on the age of 88, will probably be remembered for ruthless power struggles and acrimonious doctrinal disputes between liberals and conservatives that have been fought on the highest ranges of the Vatican and the worldwide Roman Catholic Church.
We’re additionally studying . . .
Chart of the day
Western carmakers will battle again towards home rivals in China at this week’s Shanghai auto present, launching new software and intelligence capabilities in automobiles produced with native companions as they try a comeback on the earth’s largest automobile market.
Take a break from the information
Donald Trump appears to be having a huge impact on a small ski village within the Swiss Alps. Discover out why stunning Andermatt has seen such a huge surge in property demand from US consumers.
