In Depth: China’s Preschoolers Are Stilling Cramming for First Grade

Hot robotic debut: Industrial-robot maker Beijing Geekplus Technology Co. Ltd. debuted on the Hong Kong Stock Exchange on Wednesday, after raising HK$2.7 billion ($345 million) in one of the city’s hottest IPOs of the year. The firm sold 161.4 million shares at HK$16.80 apiece, with the international and retail investors oversubscribing their portions more than 30 times and 133 times, respectively. Its stock suffered a slight dip in its first day of trading before closing up more than 5% at a market value of some HK$18.3 billion. Geekplus provides intelligent logistics robots to clients including Siemens AG, Toyota Motor Corp. and Walmart Inc. across 40 countries. Geekplus is just the first of several Chinese industrial robot companies that are capitalizing on the revival of Hong Kong’s IPO market, including Standard Robotics (Wuxi) Co. Ltd. and RobotPhoenix Intelligent Technology Co. Ltd. The niche sector is not as cutting-edge as embodied intelligence but is being supported by market demand, investors said.

Evergrande land seizure: Authorities in Guangzhou are reclaiming a 437,000-square-meter (108-acre) plot from Evergrande New Energy Vehicle Group Ltd., a subsidiary of China Evergrande Group, after the site sat idle for over four years. The repossession, announced by officials in the city’s Nansha district, comes amid the broader collapse of the world’s most indebted developer. Evergrande New Energy bought the land in October 2020 for 590 million yuan ($82 million), intending to build a major electric-vehicle production base. It had pledged to invest nearly 2 billion yuan and start production within 30 months. The company’s worsening financial woes left the site undeveloped, violating the land-use agreement and prompting the government to act.

Kaisa’s repayment plan: Struggling Chinese developer Kaisa Group Holdings Ltd. has unveiled a plan to repay about 3 billion yuan ($412 million) owed to investors in defaulted wealth-management products. The Shenzhen-based developer is proposing a debt-for-equity swap, allowing investors to convert their unpaid principal into stakes in a limited-liability partnership. That entity would hold creditor rights to the stalled second phase of Jiayuan, a luxury residential project in Shenzhen. The proposal is Kaisa’s latest attempt to resolve a crisis stemming from its 2021 default, which helped trigger widespread turmoil in China’s real estate sector. Investor reaction has been cautious, with some demanding cash repayments or clearer terms amid concerns over the project's valuation and timeline.

Auto supplier payment strife: China’s Ministry of Industry and Information Technology has launched an online complaints channel to help small and midsize automotive suppliers report delayed payments by carmakers. The move is part of a broader effort to enforce new rules capping supplier payment terms at 60 days. As the price war rages among carmakers, late payment has become rife in the auto industry, with many large players paying their bills after 120 days, or in some cases even 200 days. The price war has put carmakers under intense financial pressure since 2023, and they’ve passed that onto their suppliers, with some demanding discounts. This has eroded suppliers’ profit margins and sparked calls for fairness.

Trade negotiations continue: U.S. Commerce Secretary Howard Lutnick said Wednesday that he and other top American trade officials may meet Chinese negotiators in early August. The two sides would “start kicking off a bigger trade conversation.” U.S Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer would join Lutnick, he said. When asked about the commerce secretary’s remarks, Chinese commerce ministry spokesman He Yongqian said at a press conference Thursday that China and the U.S. are maintaining close communication about their economic and trade interests.