The US-Canada tariff war has escalated once again. Canada took the lead in imposing retaliatory tariffs on approximately $20 billion worth of US goods, and the US responded with tough countermeasures: starting September 15, a 50% tariff will be imposed on about 100 categories of Canadian products; starting September 29, imports of certain Canadian motor vehicles and dairy products will be further banned.

The European Central Bank announced a 25 basis point hike in all three key interest rates, in line with market expectations. The central bank noted that the Middle East conflict continues to push up inflation, and inflation is expected to remain well above the target level for an extended period. According to people familiar with the matter, ECB officials expect to raise rates further, with the next move possibly coming as soon as October.

CAAM data shows that in August, China's auto sales were 2.712 million units, down 5.1% YoY. Among them, NEV performance was impressive, with sales reaching 1.643 million units, up 17.8% YoY, accounting for 60.6% of total new vehicle sales. In terms of exports, auto exports in August were 1.01 million units, up 65.3% YoY; NEV exports were 526,000 units, up 1.3x YoY.