New energy vehicle insurance incurred a underwriting loss of 5.6 billion yuan last year; multiple banks in Shanghai have implemented domestic freight foreign exchange payment facilitation services | Financial Morning Brief

|April 2, 2026, Thursday|

**NO.1 **Li Yunze Meets with Huang Shanwen, Chairman of the Administrative Management Committee of the Macau Monetary Authority

On March 31, Li Yunze, Party Secretary and Director of the National Financial Regulatory Administration, met with Huang Shanwen, Chairman of the Administrative Management Committee of the Macau Monetary Authority, and the delegation accompanying him. The two sides exchanged views on strengthening regulatory cooperation between the two places, deepening mutual connectivity and access in the financial markets of the Guangdong–Hong Kong–Macao Greater Bay Area, and supporting Macau’s economic development, among other topics.

NO.2** Multiple Banks in Shanghai Implement Onshore Freight FX Payment Facilitation Services

On April 1, the Bank of China Shanghai Branch, under the guidance of the Shanghai Branch of the State Administration of Foreign Exchange, relied on the cross-border financial services platform to take the lead in rolling out onshore freight FX payment facilitation application scenarios for multiple enterprises under its jurisdiction. On the same day, the China Construction Bank Shanghai Branch also completed the rollout of its first batch of new-scenario business. In just one day, the bank verified freight invoice details and confirmed foreign exchange payments for 49 transactions involving 22 onshore enterprises, with a total amount of 0.769 million US dollars.

Commentary: With the cross-border financial services platform provided by the State Administration of Foreign Exchange as its basis, the platform connects invoice data of the Shanghai Branch of the State Taxation Administration through the air-and-shipping trade blockchain network, enabling bank systems to automatically verify the authenticity and validity of value-added tax invoices as well as whether they have been reused. Enterprises no longer need to repeatedly submit paper materials, payment settlement efficiency improves significantly, and “foot-level costs” are almost eliminated; the bank also obtains a real, trustworthy, rapid verification channel, and the pressure on business development is noticeably reduced.

NO.3** New Energy Vehicle Insurance Last Year Underwrote Losses of 5.6 Billion Yuan

Recently, data released by the China Association of Actuaries and China Silver Insurance Information Services shows that in 2025, China’s insurance industry underwrote 43.58 million new energy vehicles, with premium income of 190 billion yuan and a risk protection amount of 159 trillion yuan. At the same time, underwriting losses in the industry totaled 5.6 billion yuan, a year-over-year reduction in losses by 0.1 billion yuan, while the combined ratio fell by 1.3 percentage points year over year.

Commentary: With the rapid increase in the penetration rate of new energy vehicles, in 2025 the share of new energy vehicles in the industry’s auto insurance underwriting volume had already reached 12.75%, which has a crucial impact on the profitability of auto insurance. However, behind the contradiction of “high premiums” and “high claims” in new energy vehicle insurance, there is a profound mismatch between traditional auto insurance products and the structural characteristics of new energy vehicle products.

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