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Manufacturing a Barbie or a Lego brick requires large quantities of plastic, much of which comes from China, the world’s largest producer of the material.So when Mexico hiked tariffs on the Asian giant at the start of 2026, its toy manufacturers, including local factories of Lego and Barbie-maker Mattel, had mixed emotions.On the one hand, they cheered the clampdown on cheaper Asian imports but on the other were left wincing at the rising costs of their inputs. The toy sector is one of a raft of industries impacted by a year of simmering trade tensions between US President Donald Trump’s administration and Mexico, as well as China.Mexico’s car assembly industry, one of the biggest in the world, is also holding its breath, given its reliance on Chinese-produced car parts.President Claudia Sheinbaum argues that the tariffs on China, India and other countries with which Mexico has no trade deal, aim to protect Mexican industry from cut-price competition.Analysts see the levies, however, as an attempt to appease Trump in the run-up to a high-stakes review of Mexico’s three-decade-old trilateral free trade deal with the United States and Canada, USMCA.Trump accuses China of using Mexico as a tariff-free backdoor into the United States and complains that the USMCA, which his first administration negotiated, is weighted against Washington.Saving the treaty is crucial for Mexico, which sends over 80 percent of its exports north of the border.Some Mexican manufacturers say they are prepared to accept the pain of higher input costs if it leads to a positive outcome in the USMCA talks.- Plastic and chips -Polyethylene, the plastic used to make toys, is produced locally by the state-owned oil company Pemex. But according to the toy industry, the company only manufactures 20 percent of what is needed, meaning the rest must be imported. Many toys now also contain electronic chips, which also come primarily from Asia.”If you, as a manufacturer, don’t have the supply (of inputs) in the country, what do you do? You go out and find them,” Miguel Angel Martin, president of the Mexican Toy Industry Association, told AFP. He noted that the Lego sets purchased in the United States and Canada are all made in Mexico and said he hoped that the USMCA review would “be fair and benefit to all three countries.”- ‘Playing both sides’ -China is the elephant in the room in the USMCA negotiations.Canada has been working to diversify its trade relations after being walloped by Trump’s tariffs offensive. In mid-January, it signed a preliminary trade agreement with Beijing.The agreement sparked a furious reaction from Trump, who threatened to impose 100 percent tariffs on Canada if it becomes a “drop off port” for Chinese products destined for the United States.Canadian Prime Minister Mark Carney downplayed Trump’s broadside as part of the hurly burly of the USMCA negotiations.Juan Francisco Torres Landa, a partner at the international law firm Hogan Lovells who focuses on deal making, said Sheinbaum was under pressure to stop “playing both sides” between the United States and China.At the same time, he said, “given our economic dependence (on the United States and China), there is no other option” to working with both.- Survival mode -Some Mexican industries clearly stand to benefit from Sheinbaum’s tariffs blitz, such as the textile and footwear sectors.”In recent years, we have been hit hard by… unfair competition in international trade,” Juan Carlos Cashat, president of a footwear manufacturers’ association in central Guanajuato state, told AFP.“We hope this can have a positive effect in the medium or long term,” he said.Toy manufacturers, by contrast, are in “survival” mode, according to the toy industry association’s Martin.He added that while the USMCA is being renegotiated, the industry will try to absorb most of the costs of its higher inputs.But if the review, due to be completed by July 1, “does not produce a reasonably good outcome for the industry,” he said, “then the consumer will be the one to pay the costs.”

France has said it will impose stricter limits on the acceptable level of a toxin called cereulide in infant formula after potentially contaminated products were recalled in over 60 countries.The infant formula industry has been rocked by several firms recalling batches that could be contaminated with cereulide, which can cause nausea, vomiting, and diarrhoea. French authorities launched an investigation into the deaths in December and January of two babies who were thought to have drunk possibly contaminated powdered milk.At this stage investigators have not established a direct link between the symptoms and the milk consumed.The recalls have raised fresh questions about food safety challenges in the global supply chain.There is no established safety limit for cereulide in infant formula.”Protecting the health of infants is the top priority for health authorities,” the French agriculture ministry said late Friday.The new threshold will be 0.014 micrograms of cereulide per kilogram of body weight, compared to 0.03 micrograms currently, it said.This is the second lowering of a threshold in France in less than two weeks.The recall of potentially contaminated infant formula has heaped scrutiny on Chinese firm Cabio Biotech, the supplier of an ingredient used in infant formula which is suspected of being tainted. Headquartered in the central Chinese city of Wuhan, Cabio Biotech is one of the world’s largest producers of ARA, a fatty acid used primarily in baby formula and food products.The French authorities have referred to a single “Chinese supplier” without naming it.This week the European Commission asked the European Food Safety Authority (EFSA) to establish a standard for cereulide in children’s products. It will issue an opinion on February 2.The European Centre for Disease Prevention and Control said it had received reports of diarrhoea cases in infants following consumption of the products in question, but “no severe cases have been reported”.- Lawsuit -Several manufacturers, including European giants like Nestle, Danone, and Lactalis, have issued recalls of infant formula in France and dozens of countries since December. The toxin is rare and difficult to detect, and some recalls have been carried out as a precaution, some manufacturers said.On Thursday, Nestle provided a detailed timeline of its recalls, acknowledging that around 10 days had passed between the first detection of cereulide in late November and the first recalls on December 10.The Swiss food conglomerate argued that, in the absence of “European regulations on the presence of cereulide in food”, it had followed standard procedures.The detection led to the precautionary recall of all products in contact with the production line where cereulide had been detected.The group stressed that it was the first company to detect the problem.Foodwatch, a European consumer association, has filed a lawsuit accusing manufacturers and the government of acting too slowly.Eight French families, who said their babies suffered severe digestive problems after drinking formula named in the recall, have joined the lawsuit.On Friday, Nestle refuted the accusations made by the watchdog, saying it reserved the right to respond in court “if Foodwatch continues to disseminate misleading information”.”Testing for bacteria of the Bacillus cereus family is routinely offered,” Francois Vigneau of lab testing firm Eurofins said last week. He added however that tests for cereulide were “not part of standard checks”.”In the current context of milk recalls, this test is currently being requested because all stakeholders in dairy products in general, and infant formula in particular, are concerned about the situation,” added Vigneau.According to World Health Organisation estimates from 2019, 23 million people in Europe fall sick from eating contaminated food every year, and an estimated 4,700 people die.

British Prime Minister Keir Starmer wrapped up a four-day trip to China on Saturday, after his bid to forge closer ties prompted warnings from US President Donald Trump.Starmer’s visit was the first to China by a British prime minister in eight years, following in the footsteps of other Western leaders looking to counter an increasingly volatile United States.Leaders from France, Canada and Finland have flocked to Beijing in recent weeks, recoiling from Trump’s bid to seize Greenland and tariff threats against NATO allies.Trump warned on Thursday it was “very dangerous” for Britain to be dealing with China.Starmer brushed off those comments on Friday, noting that Trump was also expected to visit China in the months ahead.”The US and the UK are very close allies, and that’s why we discussed the visit with his team before we came,” Starmer said in an interview with UK television.”I don’t think it is wise for the UK to stick its head in the sand. China is the second-largest economy in the world,” he said.Asked about Trump’s comments on Friday, Beijing’s foreign ministry said “China is willing to strengthen cooperation with all countries in the spirit of mutual benefit and win-win results”.Starmer met top Chinese leaders, including President Xi Jinping and Premier Li Qiang, on Thursday, with both sides highlighting the need for closer ties.He told business representatives from Britain and China on Friday that both sides had “warmly engaged” and “made some real progress”.”The UK has got a huge amount to offer,” he said in a short speech at the UK-China Business Forum at the Bank of China.He signed a series of agreements on Thursday, with Downing Street announcing Beijing had agreed to visa-free travel for British citizens visiting China for under 30 days, although Starmer acknowledged there was no start date for the arrangement yet.The Chinese foreign ministry said only that it was “actively considering” the visa deal and would “make it public at an appropriate time upon completing the necessary procedures”.He also said Beijing had lifted sanctions on UK lawmakers targeted since 2021 for their criticism of alleged human rights abuses against China’s Muslim Uyghur minority.”President Xi said to me that that means all parliamentarians are welcome”, Starmer said in an interview with UK television.He travelled from Beijing to economic powerhouse Shanghai, where he spoke with Chinese students at the Shanghai International College of Fashion and Innovation, a joint institute between Donghua University and the University of Edinburgh.On Saturday, Starmer visited a design institute and met with performing arts students alongside British actress Rosamund Pike, who spoke of her children’s experience learning Mandarin.Later on Saturday, Starmer will arrive in Tokyo for a meeting with Japanese counterpart Sanae Takaichi.- Visas and whisky -The visa deal could bring Britain in line with about 50 other countries granted visa-free travel, including France, Germany, Australia and Japan, and follows a similar agreement made between China and Canada this month.The agreements signed included cooperation on targeting supply chains used by migrant smugglers, as well as on British exports to China, health and strengthening a bilateral trade commission.China also agreed to halve tariffs on British whisky to five percent, according to Downing Street.British companies sealed £2.2 billion ($3 billion) in export deals and around £2.3 billion in “market access wins” over five years, and “hundreds of millions worth of investments,” Starmer’s government said in a statement.Xi told Starmer on Thursday that their countries should strengthen dialogue and cooperation in the context of a “complex and intertwined” international situation.Relations between China and Britain deteriorated from 2020 when Beijing imposed a national security law on Hong Kong and cracked down on pro-democracy activists in the former British colony.However, China remains Britain’s third-largest trading partner, and Starmer is hoping deals with Beijing will help fulfil his primary goal of boosting UK economic growth.British pharmaceutical group AstraZeneca said on Thursday it would invest $15 billion in China through 2030 to expand its medicines manufacturing and research.And China’s Pop Mart, makers of the wildly popular Labubu dolls, said it would set up a regional hub in London and open 27 stores across Europe in the coming year, including up to seven in Britain.

Visiting Prime Minister Keir Starmer said on Friday Britain has a “huge amount to offer” China, after his bid to forge closer ties prompted warnings from US President Donald Trump.Starmer’s trip is the first to China by a British prime minister in eight years, and follows in the footsteps of other Western leaders looking to counter an increasingly volatile United States.Leaders from France, Canada and Finland have flocked to Beijing in recent weeks, recoiling from Trump’s bid to seize Greenland and tariff threats against NATO allies.Trump warned on Thursday it was “very dangerous” for Britain to be dealing with China.Starmer brushed off those comments on Friday, noting that Trump was also expected to visit China in the months ahead. “The US and the UK are very close allies, and that’s why we discussed the visit with his team before we came,” Starmer said in an interview with UK television. “I don’t think it is wise for the UK to stick its head in the sand. China is the second-largest economy in the world,” he said. Asked about Trump’s comments on Friday, Beijing’s foreign ministry said “China is willing to strengthen cooperation with all countries in the spirit of mutual benefit and win-win results”.Starmer met top Chinese leaders, including President Xi Jinping and Premier Li Qiang, on Thursday, with both sides highlighting the need for closer ties.He told business representatives from Britain and China on Friday that both sides had “warmly engaged” and “made some real progress”.”The UK has got a huge amount to offer,” he said in a short speech at the UK-China Business Forum at the Bank of China.The meetings the previous day provided “just the level of engagement that we hoped for”, Starmer said.He signed a series of agreements on Thursday, with Downing Street announcing Beijing had agreed to visa-free travel for British citizens visiting China for under 30 days, although Starmer acknowledged there was no start date for the arrangement yet.The Chinese foreign ministry said only that it was “actively considering” the visa deal and would “make it public at an appropriate time upon completing the necessary procedures”.Starmer hailed the agreements as “symbolic of what we’re doing with the relationship”.He also said Beijing had lifted sanctions on UK lawmakers targeted since 2021 for their criticism of alleged human rights abuses against China’s Muslim Uyghur minority.”President Xi said to me that that means all parliamentarians are welcome”, Starmer said in an interview with UK television.He travelled from Beijing to economic powerhouse Shanghai, where he spoke with Chinese students at the Shanghai International College of Fashion and Innovation, a joint institute between Donghua University and the University of Edinburgh.- Visas and whisky -The visa deal could bring Britain in line with about 50 other countries granted visa-free travel, including France, Germany, Australia and Japan, and follows a similar agreement made between China and Canada this month.The agreements signed included cooperation on targeting supply chains used by migrant smugglers, as well as on British exports to China, health and strengthening a bilateral trade commission.China also agreed to halve tariffs on British whisky to five percent, according to Downing Street.British companies sealed £2.2 billion in export deals and around £2.3 billion in “market access wins” over five years, and “hundreds of millions worth of investments,” Starmer’s government said in a statement.Xi told Starmer on Thursday that their countries should strengthen dialogue and cooperation in the context of a “complex and intertwined” international situation.Relations between China and the UK deteriorated from 2020 when Beijing imposed a national security law on Hong Kong and cracked down on pro-democracy activists in the former British colony.However, China remains Britain’s third-largest trading partner, and Starmer is hoping deals with Beijing will help fulfil his primary goal of boosting UK economic growth.British pharmaceutical group AstraZeneca said on Thursday it would invest $15 billion in China through 2030 to expand its medicines manufacturing and research.And China’s Pop Mart, makers of the wildly popular Labubu dolls, said it would set up a regional hub in London and open 27 stores across Europe in the coming year, including up to seven in Britain. Starmer will continue his Asia trip with a brief stop in Japan on Saturday to meet Prime Minister Sanae Takaichi.

Gold and silver prices dived Friday and European stock markets ended the week up while Wall Street pulled back with investors reassured by US President Donald Trump’s pick to take over as head of the Federal Reserve.The precious metals, viewed as safe-haven investments, had already begun sliding on reports, later confirmed, that Trump had nominated former Fed official Kevin Warsh to replace Jerome Powell as chair of the US central bank.Trump announced his choice Friday on social media, saying that Warsh, a former Morgan Stanley investment banker and Fed governor, “will go down as one of the GREAT Fed Chairmen, maybe the best.”Kathleen Brooks, research director at XTB trading group, said the “interesting pick…may give the market some hope that Fed independence will be preserved.”Trump’s personal attacks on Fed boss Jerome Powell — set to depart in May — have fueled widespread fears among investors that the central bank’s policy independence is under threat, potentially posing an inflation risk to the US economy.- A roller-coaster week -Precious metals prices tumbled on Friday after surging in recent days when investors sought a safe haven over doubts about Trump’s policies.Gold fell as much as 12 percent at one point, retreating below $5,000 an ounce after hitting a record high near $5,600 on Thursday.Silver, which Thursday reached an all-time peak above $120 an ounce, shed around 30 percent to about $82 an ounce. Financial markets have endured a roller-coaster ride this week as traders weathered a weaker dollar, Trump’s threats against Tehran, the president’s resumption of tariff threats and a possible US government shutdown.Asian stock markets closed out the week with some hefty losses following Thursday’s tech-led retreat on Wall Street on renewed concerns over vast investments in artificial intelligence.Healthy earnings from Meta, Samsung and SK Hynix provided much cheer early in the week but Microsoft was punished over worries its costly AI program might not result in financial gains.There are fears that firms’ valuations may be a little too stretched and that markets could be in a bubble, having soared in recent years to record highs on the back of a tech-fueled rally.The dollar pushed higher on Warsh’s nomination.”Most currency strategists would argue that his nomination may be good news for the dollar, which can price out some risks of a more dovish pick,” said Forex.com’s Fawad Razaqzada.”However, for as long as policy uncertainty hangs over the US economy with Trump’s tariff theatrics, the dollar debasement narrative is likely to hold back the greenback from making a meaningful comeback.”Among individual companies, Verizon surged 11.8 percent as it reported its highest quarter of mobility and broadband subscription increases since 2019.- Key figures at around 2110 GMT -New York – Dow: DOWN 0.4 percent at 48,892.47 (close)New York – S&P 500: DOWN 0.4 percent at 6,939.03 (close)New York – NASDAQ Composite: DOWN 0.9 percent at 23,461.82 (close)London – FTSE 100: UP 0.5 percent at 10,223.54 (close) Paris – CAC 40: UP 0.7 percent at 8,126.53 (close)Frankfurt – DAX: UP 0.9 percent at 24,538.81 (close)Tokyo – Nikkei 225: DOWN 0.1 percent at 53,322.85 (close)Hong Kong – Hang Seng Index: DOWN 2.1 percent at 27,387.11 (close)Shanghai – Composite: DOWN 1.0 percent at 4,117.95 (close)Euro/dollar: DOWN at $1.1856 from $1.1929 on ThursdayPound/dollar: DOWN at $1.3688 from $1.3772Dollar/yen: UP at 154.64 yen from 153.61 yenEuro/pound: UP at 86.63 pence from 86.62 penceBrent North Sea Crude: DOWN less than 0.1 percent at $70.69 per barrelWest Texas Intermediate: DOWN 0.3 percent at $65.21 per barrel

Gold and silver prices dived Friday, European stock markets ended the week up while Wall Street fell slightly with investors reassured by US President Donald Trump’s pick to take over as head of the Federal Reserve.The precious metals, viewed as safe-haven investments, had already begun sliding on reports, later confirmed, that Trump had nominated former Fed official Kevin Warsh to replace Jerome Powell as chair of the US central bank.Trump confirmed his choice Friday on Truth Social.”I have known Kevin for a long period of time, and have no doubt that he will go down as one of the GREAT Fed Chairmen, maybe the best,” Trump wrote on his social media platform.”On top of everything else, he is ‘central casting,’ and he will never let you down.” Kathleen Brooks, research director at XTB trading group, said the “interesting pick… may give the market some hope that Fed independence will be preserved”.Trump’s personal attacks on Fed boss Jerome Powell — set to depart in May — have fuelled widespread fears among investors that the central bank’s policy independence is under threat, potentially posing an inflation risk to the US economy.- A rollercoaster week -Precious metals prices tumbled on Friday after surging in recent days when investors sought a safe haven over doubts about Trump’s policies.Gold was down more than eight percent below $5,000 an ounce after reaching a record high of $5,595.47 Thursday.Silver, which Thursday reached an all-time peak above $120 an ounce, shed 20 percent meanwhile in sliding down to $90 an ounce. Financial markets have endured a rollercoaster ride this week as traders weathered a weaker dollar, Trump’s threats against Tehran, the president’s resumption of tariff threats and a possible US government shutdown.Asian stock markets closed out the week with some hefty losses following Thursday’s tech-led retreat on Wall Street on renewed concerns over vast investments in artificial intelligence.Healthy earnings from Meta, Samsung and SK Hynix provided much cheer early in the week but on Thursday, after Microsoft announced a surge in spending on AI infrastructure, that revived concerns that companies could take some time before seeing a return on their investments.There are fears that firms’ valuations may be a little too stretched and that markets could be in a bubble, having soared in recent years to record highs on the back of a tech-fuelled rally.Oil prices regained their poise after an early fall Friday, having surged the day before as Trump ramped up geopolitical tensions with threats of a military strike on Iran.”The building tensions between Iran and the US have driven Brent crude prices to a six-month high,” said Megan Fisher, assistant economist at Capital Economics.”That said, we think that the historical example of last year’s 12-day war (between Iran and Israel with US involvement), and a well-supplied oil market, will still bear down on Brent crude prices by end-2026.”- Key figures at around 1650 GMT -New York – Dow: DOWN 0.7 percent at 48,684.32 pointsNew York – S&P 500: DOWN 0.4 percent at 6,940.69New York – NASDAQ Composite: DOWN 0.5 percent at 23,561.52London – FTSE 100: UP 0.5 percent at 10,223.54 (close) Paris – CAC 40: UP 0.7 percent at 8,126.53 (close)Frankfurt – DAX: UP 1.0 percent at 24,515.73 (close)Tokyo – Nikkei 225: DOWN 0.1 percent at 53,322.85 (close)Hong Kong – Hang Seng Index: DOWN 2.1 percent at 27,387.11 (close)Shanghai – Composite: DOWN 1.0 percent at 4,117.95 (close)Euro/dollar: DOWN at $1.1875 from $1.1962 on ThursdayPound/dollar: DOWN at $1.3716 from $1.3800Dollar/yen: UP at 154.33 yen from 153.04 yenEuro/pound: DOWN at 86.58 pence from 86.67 penceBrent North Sea Crude: UP 0.2 percent at $70.89 per barrelWest Texas Intermediate: UP 0.6 percent at $65.93 per barrel

Hong Kong tycoon Li Ka-shing and his conglomerate CK Hutchison have been tied up in global US-China rivalry since announcing a controversial $19 billion sale of strategic ports in Panama last year.The Li family owns 30 percent of CK Hutchison, which controls ports, retail, infrastructure and other businesses in dozens of countries and reported revenue of $61.4 billion in 2024.Li was Asia’s ninth-richest man, according to the Bloomberg Billionaires Index in January, with a total net worth of more than $42 billion.Nicknamed “Superman” for his business acumen, the 97-year-old and his companies are woven into the fabric of Hong Kong life through everything from internet services to supermarket chains.A Panama Supreme Court decision to annul CK Hutchison’s concession there on Thursday showed how container ports in geopolitically strategic locations have become a prized global currency.- From refugee to billionaire -Li was born in the southern Chinese city of Chaozhou in 1928.A refugee from the Sino-Japanese War who fled mainland China to Hong Kong, he started a business in 1950 manufacturing plastic flowers and named it Cheung Kong after China’s Yangtze River.He reaped big profits in the 1960s after diversifying into property, and extended his businesses into many sectors in the following decades.Li also had a longstanding interest in overseas markets, making investments in the Canadian property and energy sectors in the 1980s.He swam against the tide after Beijing crushed the pro-democracy movement in Tiananmen Square in 1989, becoming the largest Hong Kong investor in mainland China, primarily in the property sector, while foreign businesses fled.He continued to invest heavily on the mainland during the 1990s, the dedicated capitalist courting Beijing’s communist leaders as China began to emerge as an economic superpower.The extent of Li’s investments served as a powerful catalyst for foreign capital entering China in the following decades, propelling its economic miracle.Li also supported China’s education and healthcare sectors through substantial philanthropic funding.He enjoyed close ties with three generations of Chinese leaders, including Deng Xiaoping, the architect of China’s economic opening up.- Weakening ties -That closeness to China’s leadership weakened after Xi Jinping took power in 2012. Beijing hardened its stance towards tycoons under Xi, including those from Hong Kong, and Li found his commercial and political manoeuvres under increasing criticism by government-affiliated media. He has offloaded major property investments in China in recent years in a move seen as part of a quest for stability and a sign of being less reliant on the mainland. Li announced a sweeping reorganisation of his vast business empire in 2015 following the sale of some Chinese assets. Many of the more recent expansions were instead overseas, with CK Hutchison now operating in some 50 countries across telecoms, ports, infrastructure, and retail.Li and his family are also reportedly thinking of spinning off and selling assets across its units.Chinese state media have criticised Li for his apparent decision to divest from some mainland markets and for supposedly showing sympathy to pro-democracy protesters in Hong Kong in 2019.Beijing authorities intensified pressure on CK Hutchison last year, repeatedly criticising the conglomerate’s sale of its Panama Canal ports.The Beijing-based authority overseeing Hong Kong affairs reposted a newspaper editorial titled “Great entrepreneurs have always been outstanding patriots” after the sale plan was announced in March.There has been slow progress in the CK Hutchison port sale negotiations since then, with analysts telling AFP that political factors have become a drag.Panama’s Supreme Court found the laws that allowed CK Hutchison to operate two of the five canal ports “unconstitutional”, ending its decades-long concession.The ports operator, CK Hutchison subsidiary Panama Ports Company, said the decision “lacks legal basis” and threatens thousands of livelihoods.

Panama’s Supreme Court annulled on Thursday the concession allowing Hong Kong-based CK Hutchison to operate ports at the Panama Canal, a ruling that undermines Chinese sway over the waterway.As Beijing and Washington vie for global influence, container ports have become a prized currency — especially those situated in geopolitically strategic locations such as the Panama Canal. Just days into US President Donald Trump’s second term, he threatened to take back the canal — built by the United States and handed to Panama in 1999 — claiming Beijing was effectively “operating” it.Panama has rejected the claim that China had de facto control over the canal, which handles 40 percent of US container traffic, while taking actions to appease Trump.The firm has sought to sell its Panama Canal ports to a consortium led by US asset manager BlackRock. The status of that proposal is unclear following the court ruling.On Thursday the Supreme Court found the laws which allowed CK Hutchison Holdings to operate two of the five ports of the canal “unconstitutional,” according to a court statement.The CK Hutchison subsidiary concerned by the ruling rejected the judgement, saying that it “lacks legal basis”.The ruling “jeopardizes not only PPC (Panama Ports Company) and its contract, but also the well-being and stability of thousands of Panamanian families who depend directly and indirectly on port activity,” it said.Beijing, meanwhile, on Friday vowed to “take all necessary measures to resolutely safeguard the legitimate rights and interests of Chinese companies”.Hong Kong’s government also rejected the decision.The United States and China are the canal’s top users, with around five percent of global maritime trade transiting from there.Panama Ports Company — a CK Hutchison Holdings subsidiary — manages the ports of Cristobal on the canal’s Atlantic entrance and Balboa on the Pacific side.The concession was automatically renewed in 2021 for another 25 years.- Proposed sale status unclear -The lawsuit to cancel the concession was brought before the Panamanian high court last year on allegations that it was based on unconstitutional laws and that the Hong Kong business was not paying taxes.CK Hutchison Holdings is one of Hong Kong’s largest conglomerates, spanning finance, retail, infrastructure, telecoms and logistics.Shares in CK Hutchison declined more than 4 percent on the Hong Kong stock exchange on Friday.Chinese state media has previously slammed the proposed sale to BlackRock, while Beijing has warned parties involved to exercise “caution”, warning of legal consequences should they proceed without their clearance.In April, the Panamanian Comptroller’s Office accused the firm of allegedly failing to pay the state $1.2 billion from its operations, according to an audit by the agency in charge of overseeing public spending.Panama has been trying to avoid being dragged into what President Jose Raul Mulino last year called a “geopolitical conflict.”Mulino has insisted the canal’s neutrality is intact and has urged Washington not to entangle Panama in its rivalry with Beijing. Still, Panama has taken steps to ease the pressure from Washington.Last year it withdrew from China’s Belt and Road Initiative, and earlier this month it announced new joint US-Panama canal defense drills — the fourth since 2025 — aimed at boosting readiness around the 50‑mile (80‑kilometre) trade route.The canal has become a recurring flashpoint as Trump pursues what he calls the updated “Donroe Doctrine,” asserting expanded US authority in the Western Hemisphere.In his inauguration address, the US president said: “We didn’t give it to China, we gave it to Panama. And we’re taking it back.”At the same time, Beijing has sharply criticized moves against its assets in Panama, including the demolition late last year of a monument honoring Chinese workers who helped build the canal and the 19th‑century railway that preceded it.

Asian stocks took a hit on Friday amid fresh worries over vast investments in artificial intelligence, gold and silver tumbled after hitting multiple record highs, and oil retreated on hopes for an easing of US-Iran tensions.Markets have endured a rollercoaster ride this week as traders weathered a weaker dollar, Donald Trump’s threats against Tehran, a resumption of tariff warnings and a possible US government shutdown.Fresh optimism in the tech sector about the future of AI has provided support, however, with healthy earnings from companies including Meta, Samsung and SK hynix providing much cheer.However, the positivity took a hit on Thursday after Microsoft announced a surge in spending on AI infrastructure and revived concerns that companies could take some time before seeing a return on their investments.There are also fears that firms’ valuations may be a little too stretched and markets could be in a bubble, having soared in recent years to record highs on the back of a tech-fuelled rally.”Microsoft suffered its worst session since the COVID‑era crash, falling 12 percent and accounting for over two‑thirds of the S&P 500’s decline,” wrote National Australia Bank’s Rodrigo Catril.”Concerns centred on rising investment spending, slower Azure (cloud service) growth, and a longer runway to monetising AI.”- Trump Fed pick -Wall Street ended mostly in the red, with Dow the only advancer.Asia also struggled amid speculation Trump will pick Kevin Warsh, a former Fed governor and a man considered more hawkish on interest rates, as the next boss of the central bank. The president has said he will name a successor to Jerome Powell on Friday morning US time.Hong Kong, Shanghai, Tokyo, Sydney, Singapore, Taipei and Bangkok were all down. Seoul, Manila and Wellington rose.Paris was flat as data showed France’s economy grew slower last year than 2024. London opened lower but Frankfurt rose.Jakarta rose after a two-day rout sparked by index compiler MSCI calling on regulators to look into ownership concerns.The compiler said: “If insufficient progress is made towards achieving necessary transparency enhancements by May 2026, MSCI will reassess Indonesia’s market accessibility status.”It warned this could result in “a weighting reduction in MSCI Emerging Markets Indexes for all Indonesian securities and a potential reclassification of Indonesia from Emerging Market to Frontier Market status”.Gold was also in retreat, sitting around $5,150 an ounce, a day after topping out above $5,595. Silver was at $106 from a peak of more than $121.The precious metals were also weighed by a slight uptick in the dollar, having tumbled on Trump appearing to be happy to see the world’s reserve currency weaken despite the potential risk of pushing up US inflation.Investors are keeping tabs on developments in the Middle East after the US president sent an “armada” to the region and warned Iran of possible strikes if it did not reach a fresh nuclear deal.Both main contracts were down more than one percent, having spiked as much as five percent Thursday.Still, concerns remain about a conflict in the crude-rich region, which would send prices soaring, also putting upward pressure on inflation.In Washington, the US Senate edged closer to a vote on a funding deal to avert a government shutdown following a bitter standoff over Trump’s sweeping immigration crackdown.Current government funding lapses at midnight on Friday.- Key figures at around 0815 GMT -Tokyo – Nikkei 225: DOWN 0.1 percent at 53,322.85 (close)Hong Kong – Hang Seng Index: DOWN 2.1 percent at 27,387.11 (close)Shanghai – Composite: DOWN 1.0 percent at 4,117.95 (close)London – FTSE 100: DOWN 0.2 percent at 10,150.97 West Texas Intermediate: DOWN 1.7 percent at $64.32 per barrelBrent North Sea Crude: DOWN 1.6 percent at $68.50 per barrelEuro/dollar: DOWN at $1.1940 from $1.1962 on ThursdayPound/dollar: DOWN at $1.3781 from $1.3800Dollar/yen: UP at 153.74 yen from 153.04 yenEuro/pound: DOWN at 86.63 pence from 86.67 penceNew York – Dow: UP 0.1 percent at 49,071.56 (close)

From his newly built three-storey home outside Hanoi, Trinh Tat Thang has watched the surging global gold price with mounting dread.The Vietnamese have a long tradition of holding their wealth in gold, and a parallel practice of borrowing the asset from relatives to build homes, rather than cash from a bank.But the debt must be repaid in gold.Family members loaned Thang four glittering one-luong bars — a standard Vietnamese unit equivalent to 1.2 troy ounces — to break ground on his house in 2022.At the time, they were worth around $10,000 on the local market. Prices have nearly tripled since then and he now owes the equivalent of more than $29,000.”I truly don’t know when and how I can settle the debts,” said the 44-year-old, who earns less than $700 a month from his job in pharmaceutical marketing.”This crazy high cost for gold worries me sick,” Thang said.The extraordinary run-up in gold prices — which topped $5,000 an ounce for the first time on Sunday — has brought unexpected windfalls to millions of Vietnamese holding hallmarked bars and rings seen as symbols of luck.But it has also touched off a wave of speculation, made traditional wedding gifts unaffordable for many, and all but ended the informal gold mortgage system.”There probably aren’t many people left in this country who would borrow gold these days,” said Thang.”I have a good house, but also a huge debt on my shoulders. It wasn’t worth it.”- ‘Suddenly rich’ -Despite a recent boom in real estate and cryptocurrency investment, many Vietnamese families still see physical gold as the safest place to park their savings.Gold bars, rings and necklaces can be handed down to the next generation as wedding gifts or inheritance bequests. They also offer a hedge against inflation.Vietnamese savers have socked away around 400 tonnes of the precious metal at home, according to government auditors.Among them is 74-year-old Tran Thi Lan, who has amassed a treasure trove of gold rings, bracelets and bars over decades.She has given much of it away to her children and grandchildren, but keeps the rest hidden away in her wardrobes “for future needs”.”I have suddenly become very rich. I am a billionaire now,” said the retired shop owner, counting in Vietnamese dong.”My kids always made fun of me for my obsession with gold. But now they admit that my traditional saving style was efficient.”- ‘Queuing for gold’ –Vietnam does not have a national gold exchange, and domestic banks do not offer individuals access to online trading platforms for precious metals.Bars and rings trade at a premium to the world price at gold and jewellery shops across the country, where bullion emblazoned with dragons is sold alongside ornate goldware inlaid with pearls and rubies.Demand has soared along with the market price, and eager buyers queue up every day for the chance to buy what they hope will be an appreciating asset.Many jewellers in the Vietnamese capital say they regularly run out of stock, and some buyers are willing to pay cash now for gold that will not be delivered for weeks.For the last year, office worker Huong has taken half a day off every month to stand in line to buy gold on Hanoi’s Tran Nhan Tong street.”My efforts have paid off,” she said, adding she would “earn quite an amount” if she sold her holdings now.Still, she wishes she had heeded earlier the advice of her mother and grandmother who “always reminded me that gold is the safest haven”.But for the many not looking to cash in on the gold rally, the run-up has turned traditional rites such as weddings into financial hardships.When her best friend got married seven years ago, Tran Tu Linh gave her a gold ring weighing just over 0.1 ounces.But the 29-year-old would not expect her friend to return the favour if she were to marry now, saying the cost would be a “burden”.She added: “Life will be easier without being obsessed with the gold price.”