📈 Economy & Finance

1. Chinese overseas M&A reached a five-year high in Q1 2026, with offshore transactions worth nearly $10 billion targeting resources, consumer goods and manufacturing. The Financial Times reports that Chinese acquirers are pressing through despite mounting regulatory barriers in Western jurisdictions, signalling renewed appetite for outbound expansion. (FT)

2. China made Brazil its top global investment destination in 2025, deploying US$6.1 billion across a record 52 projects — a 45% year-on-year jump. Chinese miners, automakers and tech firms now operate across 20 Brazilian states, complicating Washington’s effort to reassert influence in Latin America. (SCMP/Reuters)

3. Zhejiang Huayou Cobalt agreed to acquire ASX-listed Atlantic Lithium for roughly US$210 million, securing access to lithium assets in Ghana and Côte d’Ivoire. The deal underscores China’s intensifying race to lock in upstream EV battery raw materials across Africa amid global supply-chain competition. (Nikkei Asia)

4. Orient Securities disclosed details of its merger plan, a deal that would propel the combined entity into the top ten of China’s listed brokerages by assets. The transaction reflects Beijing’s continued push to consolidate the domestic securities industry and forge globally competitive financial champions. (Caixin)

5. The yuan extended gains against the dollar, with technical analysts at Reuters projecting further appreciation room. Beijing’s stronger daily fixings, alongside dollar weakness amid Middle East tensions, have lifted USD/CNY sentiment toward the 6.70 level cited by ING strategists. (Reuters)

🏛️ Politics & Policy

6. China handed suspended death sentences to two former defence ministers for corruption, in what the Wall Street Journal described as the most extensive military purge since the Mao era. The verdicts mark a dramatic escalation of Xi Jinping’s anti-graft campaign within the People’s Liberation Army leadership. (WSJ)

7. Beijing announced that Brunei’s Crown Prince Haji Al-Muhtadee Billah will pay an official visit to China from 11–15 May at Vice President Han Zheng’s invitation. The trip is expected to deepen ASEAN engagement as Beijing courts regional partners ahead of the Trump–Xi summit. (MFA)

8. China formally objected to the EU’s draft revised Cybersecurity Act, which could bar Chinese firms from critical infrastructure projects and force replacement of Chinese hardware at a cost exceeding €367.8 billion. Spokesperson Lin Jian warned Beijing would take “resolute measures” if discriminatory provisions proceed. (MFA)

🔬 Technology & Innovation

9. Stellantis and Leapmotor agreed to begin joint EV production in Europe, with two models to be assembled in Spain. The expanded tie-up signals how legacy automakers are partnering with Chinese players to compete with low-cost imports while navigating the EU’s tariff regime on China-made electric vehicles. (Reuters)

10. Bloomberg Intelligence flagged that Tencent and Alibaba face slowing earnings growth as AI-related capex mounts. Despite robust cloud computing demand, intense domestic price competition and margin pressure are expected to limit material upside for either firm’s cloud divisions through 2026. (Bloomberg)

11. Three Chinese firms made TIME’s 2026 list of the ten most influential AI companies. Foreign Ministry spokesperson Lin Jian credited China’s “self-reliant innovation", highlighting its strengths in large-scale deployment, full-stack capabilities and open-source ecosystems, and inviting foreign enterprises to expand AI cooperation in China. (MFA)

12. Suzhou-based Dreame, known for robot vacuums, unveiled an ambitious diversification roadmap — branded internally as a “$100 trillion vision” — extending into appliances, mobility and robotics. Caixin reports the bet will test the limits of China’s “make-everything” tech-conglomerate playbook. (Caixin)

13. Tech billionaire Chen Tianqiao’s AI start-up MiroMind suspended its mainland China services and relocated some staff to Singapore. The move follows heightened regulatory scrutiny in the wake of the Meta-Manus controversy, illustrating compliance pressures on cross-border AI ventures. (SCMP)

🌍 International Relations

14. Iranian Foreign Minister Abbas Araghchi visited Beijing this week as China sought to position itself as a mediator in the U.S.–Israel–Iran conflict. Lin Jian said China maintains high-level communication with all parties, including Israel, and is promoting a ceasefire under Xi Jinping’s “four propositions” for the region. (MFA)

15. A China-owned, Marshall Islands-flagged refined oil tanker with Chinese crew was attacked near the Strait of Hormuz earlier in the week. Beijing reported no casualties, expressed deep concern over stranded vessels, and urged all parties to restore unimpeded passage through the strait. (Reuters/MFA)

16. Two British-Hong Kong nationals, including a former Border Force official, were convicted at London’s Old Bailey of spying for Hong Kong intelligence. China “strongly deplored” the verdict, accused the UK of political manipulation, and lodged formal protests, warning against further damage to bilateral momentum. (FT/MFA)

17. A cross-party UK parliamentary delegation will visit China this month — the first such visit since 2019. The trip signals a tentative thaw in London–Beijing engagement even as espionage trials and security tensions cast a shadow over the broader bilateral relationship. (Reuters)

18. Honduran President Nasry Asfura announced a review of agreements signed with China under his predecessor, including Huawei contracts, while exploring Cisco alternatives and possible restoration of Taiwan ties. Beijing rebuked the reports as “sensationalism” and reaffirmed the one-China principle as non-negotiable. (Bloomberg/MFA)

🛡️ Defence & Security

19. Over 120 defence officials and scholars from more than 40 countries convened in Beijing on Friday for the 2026 Xiangshan Forum Navigator Meeting. Marking the forum’s 20th anniversary, participants debated Asia-Pacific security, military applications of emerging technologies, and reform of the international security order. (CGTN/Xinhua)

20. Taiwan’s legislature approved a US$25 billion special defence budget proposed by President Lai Ching-te to procure U.S. weapons, ending months of partisan deadlock. Lawmakers cited fears of losing American support if they delayed further, as Chinese analysts depict the U.S. as a “giant with a limp” amid the Iran conflict. (NYT/Bloomberg)

21. Chinese state media interviews confirmed that PLA engineers provided technical support to Pakistan’s air force during last year’s conflict with India, when an Indian Rafale was reportedly downed by a Chinese-made fighter. The disclosure offers rare official acknowledgement of Beijing’s combat-adjacent role in South Asian hostilities. (SCMP)