Tighter oversight of derivatives trading expected

LAWMAKERS are considering a draft law to tighten oversight of derivatives trading to guard against financial risks.

The draft law on futures and derivatives was submitted Monday to the National People’s Congress Standing Committee for a third reading. The proposals outlined in the draft aim to facilitate stronger supervision over institutions, stipulating that financial institutions should obtain approvals, fulfill traders’ duties of suitability management and observe relevant regulations when conducting derivatives trading. It also clarifies rules on swap and forward contracts.

China Merchants Bank shares fall

CHINA Merchants Bank shares fell yesterday after the Chinese lender voted to remove its president and give control to a 27-year company veteran.

The Shenzhen-based bank said late Monday that its board had voted unanimously to remove Tian Huiyu from positions of president and director, “subject to further assignment.” The board also voted to make Wang Liang, who holds the positions of executive director and chief financial officer, among others, “in charge” of the bank’s work. Wang joined the bank in 1995.

Foxconn’s Zhengzhou campus operating normally

THE iPhone assembly campus on the outskirts of the Chinese city of Zhengzhou is operating normally despite lockdowns and mass COVID-19 testing in the area that began last week, the Henan Daily reported yesterday.

“Production at the Foxconn campus is proceeding well with some 200,000 workers,” the newspaper said, quoting Foxconn managers within the compound. The company is cooperating with local government and putting measures in place to ensure worker safety. “The supply lines haven’t been affected by COVID,”the report said.

SAIC-GM-Wuling posts strong NEV sales

SAIC-GM-WULING, based in Liuzhou of South China’s Guangxi Zhuang Autonomous Region, reported strong new energy vehicle (NEV) sales in the first quarter of this year, said the company.

The company, a joint venture between SAIC Motor, General Motors, and Liuzhou Wuling Motors, registered NEV sales of 117,210 units in the January-March period, up 16 percent year on year. SGMW now produces NEV models including the Hongguang MINI EV, the Baojun KiWi EV, and the Wuling Nano EV.