Chinese ADRs & ETFs rallied in morning trading. MINISO Group jumped over 8%; iQiyi rose 7%; Tiger Brokers, Bilibili Inc., CHAU, Li Auto rose about 5%; XPeng, JD.com rose about 4%.

Data showed a less sharp decline in industrial profits, while traders placed renewed bets that Beijing will roll out more supportive policies to counter risks of U.S. tariffs and shore up the economy.

Industrial profits in October fell 10% from a year earlier, better than a 27.1% slump in September, National Bureau of Statistics $(NBS.UK)$ data showed.

The Shanghai Composite index closed up 1.53% at 3,309.78, its biggest one-day percentage gain in nearly three weeks to climb out from a five-week low.

The Hang Seng Index jumped 2.4% to 19,615.07, its biggest one-day gain in more than a month, after briefly touching a two-month low earlier in the session.

Traders are now looking for more actions from Beijing to offset potential tariff risks, after they digested the news that U.S. President-elect Donald Trump vowed to impose fresh tariffs on Chinese goods.

"With the potential threat of tariff hikes in 2025, it's likely China's policymakers would come up with further stimulus packages to counter downward economic growth pressure from domestic cyclical weakness and increased external uncertainty," said Vis Nayar, chief investment officer at Eastspring Investments in Singapore.

"There remains plenty of scope for China to surprise the markets."