China’s Russian LPG imports jump over 110% in first five months
Imports of Russian liquefied petroleum gas (LPG) into China continued to surge in 2026. Imports totaled 657,400 tons in the first five months of the year, up 112.5% from a year earlier, according to energy information provider JLC. In May alone, imports reached 152,200 tons, marking a 91.7% year-on-year increase. Leveraging border crossings and a significant price advantage, Russian LPG is reshaping supply and demand dynamics across parts of China.
China puts more Japanese firms on export control list
The Ministry of Commerce announced on Monday that it added 20 Japanese entities involved in enhancing the country’s military strength to an export control list to safeguard national security and fulfill nonproliferation obligations, barring domestic exporters as well as overseas organizations or individuals from transferring Chinese-origin dual-use goods to the sanctioned entities. The export ban targets four national defense research institutes for ground, naval and air weapons systems and several military contractors, including nine subsidiaries of Mitsubishi Corp. amid escalating geopolitical tensions between the two countries.
China and the EU establish trade and investment consultation mechanism
China and the European Union agreed to create a new ministerial trade and investment consultation mechanism, opening a structured channel to manage disputes over market access, export controls and a widening trade imbalance. Chinese Commerce Minister Wang Wentao and European Commission trade and economic security chief Maroš Šefčovič chaired the first meeting at EU headquarters in Brussels on Monday and issued a joint statement afterward.
CATL and Ford’s battery factory starts production
Production got underway last month at a Ford Motor Co. plant in Michigan that makes batteries with technology licensed from China’s Contemporary Amperex Technology Co. Ltd. (CATL). Meng Xiangfeng, a vice president at CATL, announced the factory’s operational status at an industry conference on Tuesday. The plant is on track to ship electric vehicle (EV) batteries in 2026, with lithium iron phosphate prismatic batteries to power Ford’s affordable midsize electric trucks, the carmaker said.
EU shifts to conditional opening for Chinese investment
The European Union’s policy on Chinese investment is shifting from an emphasis on free markets to a stance of conditional openness and tighter security controls, according to the China Chamber of Commerce to the EU. A representative of the business group recently told Caixin that European authorities are increasingly prioritizing compliance in sectors such as green technology, digital services and vehicles, while pushing Chinese firms to localize their operations rather than simply exporting products.
Volkswagen urged to build China-developed cars in Germany
Volkswagen could build models developed in China at its German plants to improve factory utilization and protect jobs, Lower Saxony Premier Olaf Lies said, signaling political resistance to any renewed push for plant closures. The comments add pressure on Volkswagen as Europe’s largest automaker weighs deeper restructuring after a sharp profit decline and growing competition from Chinese EV-makers.
Cheng Fubo appointed party chief of state asset regulator
China appointed Cheng Fubo, chairman of Aviation Industry Corp. of China, as Communist Party chief of the State-owned Assets Supervision and Administration Commission on Tuesday. The move places a longtime aerospace and defense executive at the top of the agency that oversees China’s state-owned firms, a core pillar of Beijing’s industrial and economic policy.
Battery-makers urged to shorten supplier payment terms
Two major Chinese industry associations are urging power and energy storage battery manufacturers to shorten payment terms for small and midsize suppliers to no more than 60 days and settle accounts exclusively in cash. The initiative, backed by the Chinese government, aims to ease financial strain on upstream suppliers amid a widening industry imbalance, with battery and raw material producers reaping massive profits while downstream automakers struggle with shrinking margins.
