FX.co ★ China Stocks Gain on Tech Tariff Exemptions

The Shanghai Composite increased by 0.4% to approximately 3,250, while the Shenzhen Component rose 0.7% to 9,905 on Monday. This marked the fifth consecutive session of gains for mainland stocks, following US President Donald Trump's decision to exempt key technology products from reciprocal tariffs. These exemptions apply to various items predominantly manufactured in China, such as smartphones, computers, semiconductors, solar cells, and flat-panel displays. However, US Commerce Secretary Howard Lutnick cautioned that these products might face new, separate tariffs within the next two months. President Trump further clarified that the exempted products remain subject to the existing 20% Fentanyl Tariffs. China's Commerce Ministry welcomed the exemptions as a "small step," but urged the US to completely lift the broader 145% tariff on Chinese goods. Technology shares were at the forefront of the market rally, with strong performances recorded by Luxshare Precision at a 2.0% increase, Goertek at 3.5%, Zhongji Innolight at 6.4%, Shanghai Belling at 4.4%, and Lens Technology at 3.0%.