Hong Kong Stocks Surge Over 3% On Tariff Relief

Hong Kong stocks rallied strongly on Friday, climbing over 3%, as global markets reacted positively to the delayed implementation of new U.S. tariffs announced by President Donald Trump.

Investor sentiment further improved following a Bloomberg report revealing that China had invited Alibaba co-founder Jack Ma and other top entrepreneurs for high-level discussions, raising expectations of increased government support for the country’s private sector.

The Hang Seng Index soared 3.69%, gaining 805.96 points to close at 22,620.33.

On Thursday, President Trump defended his decision to impose fresh reciprocal tariffs on trading partners, criticizing U.S. allies for trade practices he deemed unfair. He described the European Union as “absolutely brutal” in trade negotiations. However, comments from Commerce Secretary nominee Howard Lutnick offered a temporary reprieve, as he indicated that tariff impact assessments would be finalized by April 1, with potential enforcement starting the following day.

Technology stocks led Hong Kong’s rally, fueled by optimism surrounding Chinese AI startup DeepSeek. The company made headlines last month after unveiling a chatbot that reportedly rivals those of U.S. tech giants at a significantly lower cost.

Alibaba, already up over 40% in 2025, jumped another 6.3% following its chairman’s announcement that the company would supply AI technology to power Apple’s iPhones in China. Other major tech players, including JD.com and Tencent, also saw significant gains, each rising more than 7%.