French automotive group PSA, maker of the Peugeot and Citroen brands, said in a statement it will repatriate expat staff and their families from the Wuhan area in China, which is at the center of an outbreak of coronavirus.
It said that 38 people would be evacuated and that the initiative will be executed in full collaboration with the Chinese authorities and the French general consulate.
PSA said the evacuees will remain in quarantine in Changsha before traveling back to their home countries.
Rich Chinese continue to snap up luxury homes in the city-state as they seek a safe and calm offshore location to park their wealth.
Protests in Hong Kong are driving rich Chinese property buyers away from the special administrative region to relatively calm and stable Singapore.
The Lunar New Year period is a particularly busy period for property agents in Singapore catering to this group of buyers – three interviewed by the publication said inquiries among mainland Chinese in the lead up to this period typically jump by 15 percent, with demand intensifying in the past two years.
Property cooling measures, which raised the additional buyer stamp duty on foreigners buying any residential property to 20 percent in July 2018, up from 15 percent, have had little effect on the demand for luxury apartments in Singapore – Chinese buyers of apartments S$5 million ($3.7 million) or more doubled in the third quarter of 2019 from the same period the year before, the report said.
Most buyers purchase properties as an investment and prefer those near landmark locations, according to realtors interviewed by the publication. However, they noted that a growing number of buyers are also buying apartments with the sole purpose of parking their wealth here.
Banks, ATMs, and online banking systems have been overloaded towards the end of the Lunar New Year, forcing customers to wait long hours.
Hoa went to a major bank on Hanoi’s Duy Tan Street early one recent afternoon to process the payment of a loan.
She was happy to notice that her turn would come soon, based on the token number she received, but it took an hour for her to be called.
The bank was full of faces weary from the long wait, which seemed 30 minutes on average. People found ways to occupy themselves, with some even taking out laptops to work while they waited. Others grew restive and frustrated and left early without bothering for their turn to come.
A similar scene has been enacted for several days in many banks. On Tuesday (27th of the last lunar month), the waiting room of a bank in Hanoi’s Dong Da district had around 50 customers waiting at around 3 p.m. Each and every counter was occupied, and the staff had barely any time to break.
Long queues in front of banks have become a common sight these days. At a mall on the city’s Ba Trieu street, people were also lining up in front of ATMs. Some of the machines are broken, some were overloaded due to a large amount of transactions, and some ran out of cash.
In highly frequented places, the number of customers seeking banking services kept increasing day after day, slowing down every operation.
The situation was not much better with online banking systems, which have also been overloaded. Many users complained they could not access their apps, experienced system failure and encountered long delays in carrying out a transaction.
AirAsia Group Bhd and Malindo Air have both halted all flights to and from Wuhan, China, in view of the coronavirus outbreak there.
While Malindo did not specify how long the suspension will be in effect, AirAsia said the canceled flights affect all AirAsia flights bound to Wuhan from Kota Kinabalu, Bangkok and Phuket until Jan 28.
Both airlines, in making the announcement in separate statements today, said they are closely monitoring the situation in Wuhan.
“This is in response to the travel ban from the officials in Wuhan on the coronavirus outbreak to ensure the safety, security, and comfort of air travel to the flight crew and guests or passengers,” said Malindo.
“Passengers who hold a valid booking for travel between Jan 23 and Feb 8 this year may contact our call center at +603-7841 5388 or walk into our ticketing office for further assistance,” it added.
AirAsia, meanwhile, assures that the safety and wellbeing of its guests and Allstars is its top priority. AirAsia is complying with advice and regulations from global and local health authorities, including the World Health Organisation.
“AirAsia guests who are in Wuhan are advised to abide by announcements made by the Government and health authorities, and to contact their respective diplomatic missions or embassies in China for assistance,” it said.
It has also arranged the following alternatives for those who wish to alter their traveling plans to and from Wuhan:
1. Reroute: Reroute to any other mainland China station for flights to Kota Kinabalu, Bangkok and Phuket without additional cost, subject to seat availability. Applicable for all flights until Feb 29, 2020, or
2. Credit account: Retain the value of your fare in your AirAsia BIG Loyalty account for future travel with AirAsia. The online credit account is to be redeemed for booking within 90 calendar days from the issuance date for your travel with us. The actual travel dates can be after the expiry date as long as our flight schedule is out. Applicable for all flights until Feb 29, 2020, or
3. Full refund: Obtain a full refund to your original payment method for the amount equivalent to your booking if flights are canceled. Applicable for all flights until Feb 15, 2020 and return flights from Feb 16-29, 2020.
“Guests whose flights fall into the above date range can obtain a full refund in the amount equivalent to that booking in the form of original payment. Refund requests can be made with AVA at support.airasia.com. From the main menu categories available, click on ‘refund’ then ‘new refund request’ and finally ‘AirAsia flights to/from Wuhan’. From there, simply follow the instructions as directed by AVA.
“For bookings made through travel agents including online travel agents, refund requests are to be made via the respective travel agents,” AirAsia added.
Japanese restaurant franchise Kura Sushi is launching in its third overseas market, China.
The brand has already enjoyed some success in the US and Taiwan, and is now set to open its first Chinese mainland location in Shanghai. Ten further locations are planned for the territory later this year.
According to a Nikkei report, the firm’s current strategy is to “double its revenues outside Japan to ¥300 billion (about US$2.7 billion) in 2030 by increasing its total number of outlets worldwide to 1000”.
The move coincides with Kura Sushi’s launch of its global flagship in Tokyo, where it expects to serve 2000 people per day, including around 600 tourists.
Luxury fashion brand Kenzo has launched a flagship store on Tmall Luxury Pavilion, marking the brand’s first partnership in China with an e-commerce provider.
This also makes Kenzo the first LVMH-owned fashion label to open a standalone store on Alibaba Group’s dedicated platform for luxury and premium brands.
Kenzo’s flagship store features items from its ready-to-wear, footwear, bags and accessories collections. The brand also launched its kung fu-inspired Chinese New Year capsule collection on the Pavilion, featuring Kenzo’s Kung Fu Rat character, a nod to the zodiac animal of the new lunar year.
Two items from the new capsule, a red cap and a zipped card case, also made their global debut on the Pavilion.
To engage young shoppers, the brand also released a Kung Fu Rat-themed animation and interactive racing game inspired by 1950s comics and martial-arts movies from the 1970s. Pavilion users can play the game, featuring Kung Fu Rat and his Chinese-zodiac companions in a race across a hand-painted landscape, to win special perks and benefits.
As part of the launch, Kenzo is also offering some of its first Pavilion customers special-edition boxes for purchases as well as interest-free, flexible payment options via Ant Financial’s consumer-lending service, Huabei.
Burberry sales slumped by half in Hong Kong in the third quarter – but the British luxury-fashion label is lifting its full-year forecast as revenue elsewhere compensates.
Global same-store sales rose by 3 percent as consumers continued to embrace the new collections overseen by incoming creative director Riccardo Tisci.
The company said the improvement was underpinned by growth in full-price sales although that was undermined in part by ongoing disruptions in the Hong Kong retail market and lower levels of marked-down inventory available.
Sales in Asia Pacific grew by a low single-digit percentage driven by Mainland China up mid-teens. American sales were stable, while in Europe, the Middle East and Africa, sales grew by a high single-digit percentage.
“This was another good quarter as new collections delivered strong growth and we continued to shift consumer perceptions of our brand and align the network to our new creative vision,” said CEO Marco Gobbetti. “While mindful of the uncertain macroeconomic environment, we remain confident in our strategy and the outlook for the full year.
“We now expect full-year total revenue to grow by a low single-digit percentage at CER compared to previous guidance of broadly stable. Adjusted operating margin is expected to remain broadly stable at CER despite the impact of disruptions in Hong Kong.”
The company said it was continuing to see a strong response from consumers to Riccardo Tisci’s new collections delivering double-digit growth compared to the prior year. “At the end of the quarter, new products accounted for about 75 percent of the range in mainline stores.”
In China the company continued to focus on inspiring consumers.
“At the end of December we launched our Lunar New Year campaign which has generated a strong early consumer response. In addition, preparations are underway to take our Autumn/Winter 2020 runway show to Shanghai in April and open our first social retail store in Shenzhen, in partnership with Tencent, in the first half of next financial year.”
In Japan, the company opened a new flagship store at the Ginza Marronnier building in Tokyo and globally the company continued to refresh stores with about 60 now completed.
Investment bankers at global banks in Asia will see lower bonuses this year due to a slump in dealmaking in the region.
The bonus pool at UBS’ investment banking unit is 14 percent lower than 2019 for Asia ex-Japan, and 9 percent lower at Morgan Stanley.
At Citi the decline was lower, at 6 percent, while Goldman Sachs kept overall bonuses flat, the report, which cited unnamed sources, said.-
According to the publication, slowing economic growth in China, which reached a 30-year low in 2019, was partly behind the slump in dealmaking, with the value of mergers falling 9 percent. Fee compression was also cited as a factor behind the lower bonuses.
UBS, which is undergoing a global revamp of its business, took a hit as it was suspended from sponsoring IPOs in Hong Kong. The ban was lifted two months early in January.
Following a record year in 2018, Morgan Stanley’s overall investment banking revenue declined about 12 percent, and its Asia bonus pool was cut after lower merger and acquisition fees, a source said.
Reports have stated that the Chinese telco giant has shown immense interest in working with the Indian operators to bring unparalleled cloud networking services.
Through this, China Mobile could potentially own a substantial stake in the business via a holding company framework.
This means that while the China-based telecoms major would not be directly involved in the venture’s day-to-day operations, it would still be eligible for board seats and voting rights within the Indian telecom companies.
According to an unnamed source, reports had surfaced that “top executives of China Mobile met senior management of Bharti Airtel and Vodafone Idea separately in December.”
“China Mobile is interested in the Indian market” and has expressed its desire to become a holding company “with either of these two companies or even both,” the source said.
Business-to-business e-commerce firm, Zall Smart Commerce, will be the latest to apply for a digital banking license in Singapore.
The Chinese company will be part of consortium joined by Japanese trading company Marubeni and Singapore-based Global eTrade Services, a subsidiary of digital solutions provider CrimsonLogic.
The consortium is seeking a wholesale digital banking license in Singapore and it hopes to contribute to the city-state’s development as a global financial hub for trading, Zall said in a statement. It joins 14 other groups that have applied for the same license alongside another seven that have applied for digital full-bank licenses, according to the Monetary Authority of Singapore (MAS) said earlier this month. The regulator added that up to five of the licenses could be issued by June this year.
In addition to its e-commerce business, Zall has some experience in digital finance in mainland China. The firm acquired a virtual banking license for the market in 2017 and has since been operating as Z-Bank.
The Shanghai government announced a series of policies to motivate firms and talent while formally challenging the similar ambitions of nearby Hangzhou.
Shanghai’s municipal government is taking an admittedly expedited path, according to a report citing a statement, to becoming a fintech center and will accelerate this development through a series of incentives including a tax cut on related tech firms to 15 percent (from 25 percent) and attractive housing and medical benefits to lure talent.
Ant Financial, Hangzhou’s homegrown fintech pioneer, also announced yesterday that it would host a fintech conference to support Shanghai’s efforts with expectations to draw up to 30,000 global attendees. The «INCLUSION» conference held in late April will cover themes such as the global digital economy, digital finance, innovative technology, commerce and cities, and sustainability.
Shanghai’s plans parallel that of Hangzhou’s which is also aiming to be a major hub in the field. In May last year, its local government delivered a plan in to transform the city into a global fintech center by 2030 while leveraging the sector to provide 120 billion yuan ($17.4 billion) in added value to the economy by 2022.
Based in Shanghai, the China holding company will support the German insurer’s growth ambitions in the country as it aims to play a larger role in China’s insurance sector and grow with the market.
Global insurer Allianz has opened China’s first fully foreign-owned insurance holding company, the firm announced in a statement on Thursday.
Allianz (China) Insurance Holding Company will be led by chairman Sergio Balbinot and CEO Solmaz Altin. The firm said it hopes the establishment of the company will support Allianz’s growth ambitions in China by enhancing its strategic and financial flexibility to capture business opportunities, further increase Allianz’s investment and drive long-term success in the market.
Allianz received the approval from the China Banking and Insurance Regulatory Commission (CBIRC) to commence operations in November 2019. The launch follows a series of measures recently announced by the Chinese government to further open up and encourage investment in China by foreign financial insurance institutions.
Health and beauty retailer Watsons has partnered with Tencent’s WeChat Work platform to establish an online presence and launch cloud-based WeChat stores this quarter.
Watsons China’s launch on WeChat Work and the establishment of cloud stores will enable the brand to provide more personalised, round-the-clock services to its more than 65 million-strong customer base shopping at Watsons’ 3800 physical outlets – each of which will have a corresponding cloud store under the new system.
“To retain our over 65 million loyal members as well as appeal to new customers, we have to be at the cutting edge of retailing, and find a way to stay close with them,” said Watsons China CEO Kulvinder Birring. “With big data technology, these social-commerce platforms add another dimension to our relationship with customers, enabling us to connect and interact with them, and ultimately become the most-loved brand of our customers.”
“We’ve been working very closely with Watsons,” said WeChat Work senior industry director Hau Lu. “Combining the advantages of both parties, we will further cooperate and jointly search for more business opportunities.”
The new Watsons China’s WeChat Work platform will establish a communication channel in which customers can add store staff as WeChat friends, who then become their personal beauty consultants. Customers can seek advice from store staff at any time, from anywhere, and enjoy one-to-one customer service. If a product is not available from a customer’s nearest branch, store staff can help to order the item in the cloud store system. Customers can also choose to have their order delivered via courier, “click & collect” or the “one-hour flash delivery” service.
“WeChat Work helps us nurture a closer relationship with our customers,” said Wanda Plaza ZhengZhou Watsons store manager Ellen Shen. “They can now contact us any time for personalised service and advice. We’re glad to be able to earn their trust and become their friends. Since its launch, we’ve received very positive response from customers who have added us as friends to enjoy this one-to-one service.”
Watsons has also introduced an AI chatbot called Wilson, who is a virtual spokesperson for the brand available 24/7 via WeChat Work. The bot can provide customers with professional and personalised advice, aimed at providing an entertaining and useful addition to the shopping experience.
DBS Bank (China) announced that it received a Bond Settlement Agent license in the China Interbank Bond Market, making it the first and only Singapore bank to be granted such a license.
DBS Bank (China) has received a Bond Settlement Agent license from the People’s Bank of China to act as a bond settlement agent in the China Interbank Bond Market, the lender said in a statement on Tuesday. Prior to the license, DBS China has been involved in the China bond market as Trial Bond Market Maker in the China interbank bond market for years.
This license will enable DBS China to serve overseas investors who are interested in the China bond market because from now on, we can provide the bond settlement or custody services to them.
The China bond market is the largest in Asia and the second-largest in the world and is of significant interest to international investors. With the license, we look forward to introducing more overseas customers to the China bond market and providing our comprehensive service to international institutional investors said Neil Ge, CEO of DBS China in the statement.
China’s onshore bond market worth was 88 trillion yuan ($13.12 trillion) in February last year, according to the country’s central bank. Since last April, the phased inclusion of Chinese sovereign bonds and debt sold by three key state-owned policy banks into the Bloomberg Barclays Global Aggregate Index has attracted a new group of investors into China’s domestic bonds.
Up to then, inflows have been dominated by central banks and sovereign wealth funds. With the inclusion of China bonds into such indices, private-sector managers following the index would be looking to join the market.
AI-run fruit-vending machines are offering Chinese consumers a new way of buying fruit and vegetables.
The machines, developed two years ago by Beijing Kuo’an Science and Technology, are providing an alternative channel for residents of China’s tier-one and tier-two cities, who traditionally rely on relatively distant large-scale supermarkets and community stores for fruit purchases.
“Every unit of AI fruit vending machines has 24 smaller sections with different types of fruit or vegetables,” said Beijing Kuo’an Science and Technology chairman Guan Luanjun. “Every section has a built-in set of scales. When customers select their fruit, they can use WeChat or AliPay to scan the QR-code on the Chinese fruit-vending machines to open the relevant section. The section automatically slides out to present the customer with its content. The customer can select and take their fruit or vegetables, and then the section automatically calculates the weight that was removed. The customer can then pay for their fruit or vegetables with WeChat or Alipay.”
The vending machines feature cameras on both sides, allowing them to monitor customers who operate them, minimising abuse of the service. In addition, WeChat and Alipay provide payment methods that both vendor and customer trust.
“The main advantage of Convenient E-Fresh machines over traditional, large-scale supermarkets and community stores is the low cost,” said Guan, who adds that the model allows vendors to source fruit at low cost from wholesale markets. “In addition, our automated vending machines only occupy a small area, which means that we save on rent and labour cost in comparison with large-scale supermarkets and community stores that occupy large terrains and employ large numbers of people.”
The firm currently operates 50 AI Chinese fruit-vending machines in Suzhou, and intends to expand operations across the entire Yangzi River Delta area within two years.
“We hope to improve consumer knowledge and consumer recognition of the Convenient E-Fresh brand,” adds Guan. “And we plan to scale our operations within two years with AI vending machine units in 500–1000 districts. Furthermore, we are in negotiations with a number of domestic and overseas suppliers to make sure consumers have a broad choice of beautiful and delicious fruits for low prices. We sincerely hope that our efforts help to improve the entire supply chain.”