East Asia

Officials said that an anti-graft committee in Nepal charged 55 'officials', including five ex-ministers and a Chinese contractor, with?corruption? in the construction of a Chinese funded airport in western Nepal. The Commission for the Investigation of Abuse of Authority filed the case on Sunday at the Anti-Corruption Special Court, accusing the officials and the Chinese company of illegally?inflating the costs of building the Pokhara International Airport to more than $74 millions. Yagya?Regmi is the assistant spokesperson for the Special Court. She said that CIAA demanded that the inflated cost of?the project be repaid by the accused. This included China CAMC...

The Brazilian Federal Audit Court (TCU), voting six to three, recommended that operators of existing container terminals in the Santos Port be banned from participating 'in the first stage of bidding for the planned mega terminal. This decision is a blow for companies like Danish shipping group Maersk and MSC, which already operate container terminals at the largest port in Latin America. These companies can only enter the second phase of auction if they do not receive any?valid bids. The two-phased model proposed by Antaq, the port regulator, and challenged in court by Maersk, could be beneficial to 'new entrants...

The Brazilian Federal Audit Court (TCU), on Monday, recommended that operators of other mega container terminals in Santos be banned from bidding for the first phase of the auction, citing possible concentration of the market. This decision is a blow for companies like Danish shipping group Maersk and MSC that operate container terminals at Latin America's biggest port. These companies can only enter the second phase of bidding if the first one does not receive valid bids. Maersk challenged the two-phase model proposed by port regulator Antaq in court. It could be beneficial to new entrants in Asia, or companies...

The powerful earthquake of magnitude 7.6 that struck Japan's northeast late Monday prompted tsunami warnings and evacuation orders. The Japan Meteorological Agency said that a tsunami of up to three metres (10 feet), could strike Japan's northeastern coastline after an earthquake estimated at 7.6 magnitude occurred offshore, at 11:15 pm (1415 GMT), according to the JMA. JMA reported that tsunami warnings had been issued for Hokkaido and Aomori prefectures, as well as Iwate. A 40cm tsunami was observed in Aomori’s Mutsu Ogawara port and Hokkaido’s Urakawa port before midnight. The agency said that the epicentre was located 80 km (50...

Four sources reported on Friday that the ESPO blend crude cargoes from Russia, which loaded in Chinese ports in December, were sold at a discount between $5 and $6 per barrel compared to ICE Brent, marking the lowest differential in history. Discounts in China have widened due to a drop in demand, after state refiners stopped buying as a result of recent Western sanctions. Private players are also more cautious. Traders said that ESPO blend oil cargoes were being sold at discounts between $0.50 and $1 per barrel under ICE Brent, as recently as October. In October, the United States...

Four sources with knowledge of the matter have confirmed that commodity trader Mercuria plans to remove significant quantities of copper from London Metal Exchange storage facilities in Asia. Prices are rising on account of expectations of a shortage. LME copper prices reached a record of $11,540 per metric ton Wednesday, partly because of anticipated shortages in the coming year due to disruptions to mine supplies including accidents and incidents in Indonesia and Chile. Mercuria, a Swiss company, has cancelled or designated for delivery over 40,000 tonnes of copper stored in LME facilities in South Korea. Taiwan Sources familiar with the...

Sources say that Grafton stored Citi's lead under a rental agreement. Trafigura has recently acquired Grafton Citi Looking at Taiwan and Malaysia By Pratima Desai Three sources familiar with the situation said that Citigroup would move its lead stocks out of Singapore and into Malaysia or Taiwan, at a cost estimated to be $5 million, due to a lack in storage space, as well as a lack of rent deals. After Trafigura purchased the warehouse company, Citi decided to remove its lead stocks and search for other rent deals. London Metal Exchange-approved warehouses are sharing rental income from their approved...

A light aircraft with a powerful U.S. radar mounted under its belly, which tracks Chinese warships and collects data for its operator to give to Taipei security forces, is flying over the blue waters of Taiwan's eastern coast. Apex Aviation, a small Taiwanese operator better known for training pilots and charter flights is now pitching surveillance flights to the government, which has begun engaging civil firms in developing new technology for its "whole society resilience" initiative. The government has invited businesses, research groups and other organisations to take on more active roles, including backing up communications and logistics, shoring up...

Kenya and two Chinese firms began construction on a $1.5billion highway expansion in East Africa Friday. This marked Beijing's return after years of absence to major infrastructure developments. The partners will finance the project in two phases using a combination of debt and equity, a model which is becoming more popular after China's traditional loan model raised concerns about borrowers' debt loads. Kenya chose to use the public-private model for funding the highway because it would have taken "a lifetime" to secure normal budgetary allocations, said President William Ruto. The next option, borrowing, was also unaffordable, given the debt load...

The Italian court ruled plans for the largest suspension bridge in the world between Italy's mainland and Sicily's island would violate EU environmental and procurement rules. However, the government has said that it will not abandon the flagship project. The government of Prime Minister Giorgia Melons says that the 3,666 metre bridge planned over the Strait of Messina, which is longer than the one in Turkey, will bring prosperity to the traditionally poorer areas and aid the movement of NATO troops. In a 33-page decision published late Thursday, the Court of Auditors stated that the government had failed to justify...

Kenya and two Chinese firms will begin construction on a $1.5billion highway expansion in East Africa this Friday. This marks Beijing's return after years of absence to major infrastructure developments. The partners will finance the project in two phases using a combination of debt and equity. This model is becoming more popular after China's traditional loan model raised concerns about borrowers' debt loads. Kefa SEDA, Director General of Public-Private Partnerships at Kenya's Finance Ministry told the official launch that "we don't have the room to borrow more money." The project will upgrade a vital transport corridor connecting Kenya's port city...

BlackRock and MSC’s bid to buy most of CK Hutchison’s global port operations is facing a major obstacle in Europe. EU antitrust regulators are set to investigate the Spanish part of the deal. CK Hutchison, owned by Hong Kong tycoon Li Kashing, wants to sell 80% of its stake in the $22.8billion ports business. This includes 43 ports in 23 different countries. It is a politically sensitive transaction that has become entangled in tensions between China and the United States. BlackRock and MSC could be asked to make concessions in exchange for the clearance of the Spanish deal, as a...

A notice published by the London Metal Exchange on Friday revealed that Henry Bath & Son, a warehouse operator in Hong Kong has been the latest company to register a facility at the London Metal Exchange. According to the LME's notice, the warehouse is located in Hong Kong’s New Territories in the Kwai-Chung district. It can store nickel, lead and zinc, as well as copper, aluminum and aluminium alloy. The LME approved the first Hong Kong warehouses in January of this year. Its aim is to provide a gateway into mainland China, which is the largest metals consumer in the...

Indian businessman Prateek gupta was accused of orchestrating a $600m metals fraud by commodity group Trafigura. He told a court in India on Friday that he didn't know who within his companies had allegedly made fake documents for selling the same cargo to multiple customers. The long-running trial concluded on Friday with the testimony. It will resume again on December 10, for closing arguments. Trafigura, a Geneva-based company, sued Gupta in more than two years. It claimed that he had orchestrated a ruse where he and his firms agreed to deliver pure nickel instead of steel or scrap. Trafigura's lawyers...

Lawyers at Trafigura said that Prateek Gupta’s claims that the group devised a secret plan to exchange expensive nickel for low value metals are full of contradictions. The Indian businessman was giving evidence in an ongoing fraud case. Trafigura, a Swiss commodity trader, sued Gupta two years ago. It claimed that he was behind a scam where he and his firms agreed to deliver pure nickel but instead delivered scrap steel or other metals. Gupta countered by claiming that Trafigura staff themselves designed the scheme at the heart of the case. Trafigura, however, has denied this claim repeatedly. Gupta, who...

Lawyers for Trafigura accused Prateek gupta, an Indian businessman who gave his first testimony on Wednesday, of a long history of fraud. Gupta admitted that he was under investigation for fraud in India but denied these allegations when he appeared in the High Court of London. Trafigura, a Swiss company, sued Gupta two years ago. It claimed that he was behind a scam where he and his firms agreed to deliver pure nickel but instead delivered scrap steel or other metals. Nathan Pillow, a Trafigura lawyer, cited two more fraud cases in which low-value metals were substituted with nickel. Gupta...

China Gas Holdings, a privately-controlled city gas distributor, has hired an ex-senior trader of the Chinese utility GCL Group as its head of global natural gas sales. Xiong Xin was the head of gas trading for GCL New Energy Holdings (a unit of GCL Holdings), a solar power company, until early 2024. He joined China Gas in Oct. Xiong has nearly a decade's worth of experience in trading at the state oil giant CNOOC, and privately owned Chinese gas company ENN, before he joined GCL. He now heads China Gas’ growing liquefied gas trading business, as well as liquefied petrol...

Investors cited concerns over Prime Minister Sanae Takayichi's plans to spend. The yield on the 20-year JGB rose by up to 2 basis points to 2,695%. And for the 30-year JGB, it rose by 2 bps to 3,195%. These are their highest levels since October. Takaichi announced this week that she would set a new fiscal goal extending over several years in order to allow for more flexibility with spending. This is a way to water down Japan's commitment towards fiscal consolidation. Takashi Fujiwara is the chief fund manager of Resona Asset Management’s fixed income division. The increase in yields...

The London Metal Exchange said Thursday that it intends to set permanent rules imposing restrictions on members who have large positions in contracts near them due to low inventory levels. Hong Kong Exchanges and Clearing Ltd., the world's largest and oldest market for industrial metals which is owned, placed temporary restrictions on June following a spike in premiums for copper contracts near by. LME stated that these measures were implemented in response to a low-stock situation combined with large positions in nearby dates. This had led the LME Special Committee to instruct market participants to reduce their large on-exchange position....

ANE (Cayman), a Chinese-based transport and delivery services company, said Tuesday that a consortium including its largest shareholder Centurium Capital and Temasek, had offered to buy it out. The deal valued the group at HK$14.33bn ($1.84bn). Shareholders can choose between a cash payment of HK$12.18 for each ANE share, an alternative share, or a mix of both. The cash consideration represents a premium to the last closing price of the company on October 24, which was 29.6%. Centurium Capital owns around 24.32% ANE shares. Temasek, True Light and other investors do not hold any ANE shares. ANE had earlier this...

United Parcel Service on Tuesday forecast revenue for the fourth quarter above Wall Street estimates, relying on price increases to offset a soft demand from business-to-business in the U.S. The company estimated revenue at about $24 billion. According to LSEG data, analysts' average quarterly revenue was $23.8 billion. In premarket trading, shares of the company rose 12%. The largest parcel delivery company in the world reported a net profit of $1.48billion, or 1.74 cents per share for the three-month period ended September 30. This compares to $1.50billion, or 1.76 cents per share a year ago. UPS and FedEx have seen...

ANE (Cayman), said that it received on Friday a conditional offer from a consortium, including Centurium and Temasek, for a potential take-private transaction which could lead to the delisting of ANE from Hong Kong Stock Exchange. In a filing to the stock exchange, the Chinese transport and delivery company stated that an indicative proposal had been submitted on 17 September. It involved Centurium Capital which owns approximately 24,422% of ANE shares and entities related to Temasek, True Light Capital and other companies. After trading was resumed after the announcement on September 18, shares in ANE fell 12%. According to the...

Wall Street fell on Thursday as signs of weakness among regional banks frightened investors who were already on edge due to the U.S. - China trade tensions. Zions Bancorporation shares fell after the regional lender disclosed an unexpected loss in two loans made to its California division. This added to investor anxiety about hidden credit pressure as lenders navigate economic uncertainty while interest rates are still relatively high. Western Alliance's slump also fueled concerns about regional banks after it announced it had initiated a lawsuit for fraud against one of their borrowers. Investors were watching the S&P 500, which recently...

Transnet's CEO announced on Thursday that a South African court had ordered China's CRRC E-Loco, which has been in a long-running dispute with Transnet, to release locomotive parts it had refused to provide. This decision is a boost to the plans of Transnet to improve its performance. Both parties are involved in a legal battle after Transnet halted 1,064 locomotives supplied by four original equipment manufacturers, including CRRC E-Loco. Transnet claimed that contracts for 2014 worth $54.4 billion rand (3.18 billion dollars) were illegally awarded by previous company leadership. Transnet reported that in 2023 161 locomotives provided by CRRC E-Loco...