Midea Plans Up to 3 Billion Yuan Share Buyback

Midea plans to repurchase about 1.5 billion yuan to 3 billion yuan worth of A shares through centralized bidding on the Shenzhen Stock Exchange.

This represents about 0.2% to 0.39% of the Chinese appliances maker's share capital, according to a Tuesday bourse filing.

The buyback, which will use the company's own funds and will be carried out in 12 months, establishes a maximum price of 100 yuan per share.

The company's Shenzhen shares closed at 70.23 yuan on Tuesday in Shenzhen, up 4.5% from the previous session.

Its Hong Kong listed shares rose over 3% in late afternoon trading.

Hong Kong stocks plummeted on Thursday as investor confidence took a hit after US President Donald Trump introduced a 34% reciprocal tariff on China.

The Hang Seng Index fell 1.52%, or 352.72 points, to end at 22,849.81. The Hang Seng China Enterprises Index slid 1.31%, or 111.37 points, at 8,420.14.

Total US tariffs on imports from China now stand at 54%, following the imposition of a new 34% reciprocal tariff on top of the pre-existing 20% levies.

The White House stated that the reciprocal tariffs on China also "apply equally to articles" of both Hong Kong and Macau.

Techtronic Industries , which generated around 76% of its sales from North America in 2024, plunged 12%, while Nike supplier Shenzhou International retreated 14%.

Home appliance maker Midea Group , which ships appliances to the US, saw its Hong Kong-listed shares slip nearly 5%.

Alibaba , which exports technology and consumer goods to the US, closed 5% lower.

China's Ministry of Commerce has responded to the tariff by warning that it will adopt countermeasures to safeguard China's rights and interests.

"There is no winner in a trade war, and protectionism leads nowhere," Xinhua News Agency reported, citing a spokesperson for the ministry.

Hong Kong financial markets will be closed tomorrow for the Ching Ming Festival. Markets will reopen Monday, April 7.

US President Donald Trump has implemented "reciprocal tariffs" against more than 180 countries on Wednesday, with China bearing the biggest brunt with an additional 34% tariff on Chinese goods.

The US has imposed a 34% reciprocal tariff on China, in addition to the existing 20% levies on the country, bringing the total tariffs on Chinese imports to 54%.

The White House argued that these tariffs are necessary "to rectify trade practices that contribute to large and persistent annual United States goods trade deficits."

The reciprocal tariffs on China also "apply equally to articles" of both Hong Kong and Macau, the White House said.

In response, China said it firmly opposes the latest action, with the Ministry of Commerce warning that it will adopt countermeasures to safeguard China's rights and interests.

"There is no winner in a trade war, and protectionism leads nowhere," a spokesperson for the ministry was quoted by state-run Xinhua News Agency as saying.

The news sent Chinese stocks lower on Thursday, with the Shanghai Composite Index falling 0.2% and the Shenzhen Composite Index slipping 1.4%.

Shares of Luxshare Precision Industry were among the hardest hit, falling 10% in Shenzhen. The company, which is reportedly considering a Hong Kong listing this year, assembles iPhones for US tech giant Apple.

Home appliance maker Midea Group , which ships appliances to the US, also slipped more than 3% in Shenzhen and nearly 5% in Hong Kong.

Trump's announcement of 25% tariffs on more than $460 billion worth of imported vehicles and auto parts annually also dented auto stocks in China.

Shares of Great Wall Motor slid 2% in Shanghai and 4% in Hong Kong, while shares of Guangzhou Automobile Group fell more than 3% in Hong Kong and more than 1% in Shanghai.

US President Donald Trump has implemented "reciprocal tariffs" against more than 180 countries on Wednesday, with China bearing the biggest brunt with an additional 34% tariff on Chinese goods.

The US has imposed a 34% reciprocal tariff on China, in addition to the existing 20% levies on the country, bringing the total tariffs on Chinese imports to 54%.

The White House argued that these tariffs are necessary "to rectify trade practices that contribute to large and persistent annual United States goods trade deficits."

The reciprocal tariffs on China also "apply equally to articles" of both Hong Kong and Macau, the White House said.

In response, China said it firmly opposes the latest action, with the Ministry of Commerce warning that it will adopt countermeasures to safeguard China's rights and interests.

"There is no winner in a trade war, and protectionism leads nowhere," a spokesperson for the ministry was quoted by state-run Xinhua News Agency as saying.

The news sent Chinese stocks lower on Thursday, with the Shanghai Composite Index falling 0.2% and the Shenzhen Composite Index slipping 1.4%.

Shares of Luxshare Precision Industry were among the hardest hit, falling 10% in Shenzhen. The company, which is reportedly considering a Hong Kong listing this year, assembles iPhones for US tech giant Apple.

Home appliance maker Midea Group , which ships appliances to the US, also slipped more than 3% in Shenzhen and nearly 5% in Hong Kong.

Trump's announcement of 25% tariffs on more than $460 billion worth of imported vehicles and auto parts annually also dented auto stocks in China.

Shares of Great Wall Motor slid 2% in Shanghai and 4% in Hong Kong, while shares of Guangzhou Automobile Group fell more than 3% in Hong Kong and more than 1% in Shanghai.

Trump's latest tariffs should have limited impact on major Chinese home appliance names, Morningstar analyst Jeff Zhang says.China's appliance makers, such as Midea Group, Gree Electric Appliances and Zhejiang Supor's earnings exposure to the U.S. market should remain below 5%, he says. Haier Smart Home is most vulnerable to tariff hikes as 20%-25% of its profit comes from the U.S. and the analyst expects it to increase production capacities in the U.S. or Mexico. With reciprocal tariffs also applied to Asean countries like Vietnam, Morningstar thinks manufacturers will need to either ramp up capacities in North America or reduce exposure to the U.S. market. As most Chinese appliance makers see faster sales growth in emerging markets, the second option should be easier to adopt, he adds. (sherry.qin@wsj.com)

By Sherry Qin

Chinese consumer stocks fell sharply Thursday in the wake of President Donald Trump's higher-than-expected tariffs on China and other Asian economies that play a crucial part in its supply chains.

Shenzhou International Group, a major supplier for global apparel brands including Nike and Uniqlo, plunged 14% in Hong Kong. Chinese sportswear maker Anta Sports Products dropped 1.3% and Li Ning was down 1.4%.

Home-appliance maker Midea Group fell 4.6% and 3.5%, in Hong Kong and China trading, respectively. E-commerce giants Alibaba Group and JD.com were 3.85% and 3.8% lower, respectively, as well.

Trump on Wednesday imposed a 34% reciprocal tariff on China, on top of an earlier 20%, much higher than market expectations.

ING Chief Greater China Economist Lynn Song noted that the total 54% tariff is close to the worst-case scenario of 60% tariff Trump threatened on the campaign trail.

The high tariffs imposed on Southeast Asian countries such as Vietnam and Cambodia, which serve as transshipment points for China's exports of intermediate goods, could pose higher-than-expected risks to Chinese exports, Pinpoint Chief Economist Zhiwei Zhang said.

With Asia's production hubs particularly hit, all footwear and apparel companies will see margins affected as costs rise, Jefferies analysts said in a note.

Write to Sherry Qin at sherry.qin@wsj.com