Technology stocks in China rose overnight after Beijing said it has revamped its national leadership group for the sector.

Tasked with doing the research and planning for China's government strategy on tech, the former National Technology and Education Leadership Group has now had the "education" dropped from its name to represent a narrowed focus from here on.

The news signals a potential policy boost to the sector, which caused Shanghai blue chip stocks to climb. An index for China's major IT firms rose over 4 per cent, while another tracking its telecoms firms rose similarly.

Read more: Softbank's London investment advisers back $15bn Chinese tech fund

A notice published on the government's website yesterday detailed the formation of an official working group on technology being established due to "relevant arrangements", in a similar vein to other industry-specific working groups founded by Chinese President Xi Jinping.

China's premier Li Keqiang will lead the leadership group, with vice premier Liu He as his deputy.

Xi's well-known Made In China 2025 policy plan has been behind much of the country's tech growth to date, and has even attracted foreign attention in recent months from the likes of Tesla which committed to building one of its so-called gigafactories in the region.

The deal signed last month between chief executive Elon Musk and local officials will give way to a factory that can produce up to 500,000 cars per year, creating jobs for Chinese engineers and allowing Tesla to bypass hefty auto tariffs.

Read more: Tesla is building a plant in China that can make 500,000 vehicles a year

The news also gave rise to gains by individual Chinese tech powerhouses, including chipmaker Semiconductor Manufacturing International which rose 3.5 per cent.

Tencent, the region's largest internet giant, had risen 2.6 per cent as markets closed this morning.

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