International News 27/06
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China to Stop Exporting Urea Fertiliser
China has implemented a series of stringent export controls on urea and phosphate fertilisers in order to stabilise its domestic agricultural sector. As a major global supplier of these fertilisers, these restrictions could result in higher prices worldwide. Furthermore, the country is taking measures to regulate domestic pricing by reducing agricultural costs and increasing grain supplies. Bloomberg reports that there is now a complete halt on urea exports and increased customs checks on outbound phosphate cargoes. It is anticipated that these measures will result in a further decline in sales for Chinese fertiliser producers, who have already experienced a reduction in exports this year due to previous restrictions. China's policymakers are facing significant challenges in the agricultural sector, including high grain prices, rising costs and the threat of extreme weather in key agricultural regions, which can negatively impact crop production.
https://internasional.kontan.co.id/news/china-stop-ekspor-pupuk-urea
LG Energy Solution Issues US$2 Billion Bonds
LG Energy Solution, a South Korean battery manufacturer, has successfully raised US$2 billion through the issuance of bonds. The funds will be used by the company to expand global production facilities and conduct research and development for new products. The bonds were issued in three series. The first series comprises a three-year green bond with a value of US$700 million, the second series a five-year green bond with a value of US$800 million, and the third series a ten-year green bond with a value of US$500 million. The coupon rates for these bonds are based on the benchmark Treasury yield plus a fixed number of basis points. The coupon rates for the three-year, five-year, and ten-year bonds are 100, 110, and 135 basis points, respectively. The final coupon setting for the bonds was 30 to 35 basis points lower than the initial guidance. The total value of investor submissions for the LG Energy Solution bonds reached US$8 billion, indicating a high level of interest from investors.
https://internasional.kontan.co.id/news/lg-energy-solution-terbitkan-obligasi-senilai-us-2-miliar
China ready to take strong action against US efforts to limit investment
China has expressed its serious concerns and strong opposition to the proposed rules by the United States that aim to restrict certain investments in China. The Ministry of Commerce in China has stated that it reserves the right to take appropriate measures in response to these rules. The Ministry has urged the US to refrain from politicising economic and trade issues and to lift investment restrictions on China. In contrast, the US has released draft rules on Friday that would prohibit or require notification of certain investments in artificial intelligence and technology sectors in China, citing potential threats to national security.