Central Huijin Investment Ltd. (Central Huijin), a Chinese state-owned investment company, said it had once again increased holdings of exchange-traded funds (ETF) and will continue to expand it in the future to "resolutely safeguard" the stable operation of the capital market.
ETF is a basket of securities that are pooled together into one fund which is traded on a stock exchange. Typically, ETFs track a particular index, sector, commodity, or other assets.
The company said in a statement that it firmly believes in the development prospects of China's capital market and fully recognizes the current investment value of A-shares.
The statement immediately injected dynamics into the market. The CSI 300 ETF finished the trading day with collective surges in the trading volume, narrowing the declines in multiple indicators such as the Shanghai Composite Index and the Shenzhen Component Index.
"In the face of mounting uncertainties in the global economic and trade environment and sharp fluctuations in global financial markets, time actions from state-owned investors have released strong policy signals, which will effectively guide market expectations, prevent market overshooting, and mitigate external shocks," said Wang Qing, chief macro analyst of Golden Credit Rating.
China Chengtong Holdings Group, a state-owned assets management and capital operation company, said on Monday that its two subsidiaries have increased their holdings of ETFs and stocks of central enterprises, in a bid to "resolutely safeguard" the stable operation of the capital market.
The state-owned company also expressed faith in the development prospects of China's capital market and pledged to continue buying stocks of central enterprises and sci-tech innovation companies, so as to support the high-quality development of listed companies.
China's Central Huijin increases holdings of exchange-traded funds
European industrial leaders and exhibitors at the ongoing Bauma 2025 in Munich voiced mounting concerns over the latest U.S. tariff policies, warning that they could disrupt global supply chains and undermine strategic cooperation.
During the week-long world’s leading trade fair for construction machinery, many industrial insiders pointed out that the newly expanded tariffs encompass an extensive range of products and come with a sharp hike in rates, which are likely to disrupt market dynamics and supply chain resilience in the global engineering machinery industry.
Many analysts believe that the geopolitical considerations behind these policies have become increasingly prominent, further intensifying the strategic uncertainties that European enterprises face in the global market.
"I believe that these tariffs are not good for the market, because at the end it will be bad not only for Europe but also for the State in the long period. I believe that the market should be regulated by innovation, by a nice competition and with competition that is based on the technological race, not with an artificial thing that is coming in the market and is creating problem for all the Europe," said Claudio Ancetti, an Italian expert on construction machinery industry.
The United States market accounts for roughly 10 to 13 percent of Germany’s total exports in recent years, and is one of the largest single export markets for Germany's construction machinery industry. Therefore, the impact of changes in tariff policies on the entire industry is obvious.
Germany's mechanical engineering industry association VDMA has issued a warning, stating that the extensive punitive tariffs imposed by the Trump administration will cause serious damage on both sides of the Atlantic. Not only will they fail to solve the bilateral trade issues, but they will also trigger a spiral confrontation of mutual barriers.
Furthermore, the U.S. manufacturing industry, in several key technological fields, still highly relies on the supply of mechanical equipment from Europe, especially Germany. For decades, German and European machinery manufacturers have been important partners of the U.S. industrial system, but now, this cooperative chain is facing the risk of being artificially severed.
The damage will not only hit European exporters hard but also seriously impede the process of industrial transformation and upgrading in the United States itself.
"The U.S. tariff policies will certainly cause many destructive impacts. It's not a good thing for people. But we are not directly affected. The victims are the U.S. customers. They have to pay these tariffs and additional fees," said Andreas Diener, a German construction machinery supplier.
Industry insiders also noted that tariffs have shifted from being just a basic trade instrument to becoming an important variable in shaping corporate strategy within today’s highly interconnected global industrial chain.
In addition to calling on major economies to return to rationality and enhance multilateral coordination, the companies are attempting to find stable development anchor points amid the uncertainties of the geo-economic situation by accelerating the adjustment of supply chain layout and deepening cross-regional cooperation.
US tariffs threaten transatlantic supply chains: European industry insiders
