In a nutshell:
. CHINA AUTOS: NEVs continued to drive growth in March, but export slowed sharply.
Daily Prices as of April 10th
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PRICE MOVERS
. MACRO/COMMODITY WRAP: President Trump acknowledged that his tariffs may cause ''transition problems''. The US dollar extended losses after its biggest plunge in three years while stocks and bonds sold off as a worsening global trade war eroded an already fragile appetite for risk. Meanwhile, President Xi will pay state visits to Vietnam, Malaysia, and Cambodia from April 14 to 18 to strengthen regional cooperation. Base metals traded down on the SHFE this morning amid escalation of US and China tariff disputes: copper -1.1%, aluminium -1.1%, zinc -0.9%, nickel -0.9%. Iron ore futures edged higher on the DCE (+1.0%) amid expectations of further stimulus from China to offset the tariff headwinds. Gold (USD 3,200/oz) reached new record high today driven by demand for haven assets. There is increasing scepticism that trade talks before the next 90-day deadline will be wrapped up in a timely manner.
. Macro data this week: U. of Michigan sentiment (cons. 55.0) today, China Credit data is also due from today.
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NEWSFLOW
CHINA AUTOS - NEVs continued to drive growth in March, but export slowed sharply.
Data disclosed by China Association of Automotive Manufacturers (CAAM) showed that March production rose +11.9% y/y to 3.01m units, taking Q1 volume to 7.56m units (+14.5% y/y). March auto sales rose by +8.2% y/y to 2.92m units, taking Q1 sales volume to 7.47m units (+11.2% y/y).
NEV production and sales recorded 1.28m (+48.2% y/y) and 1.24m (+40.4% y/y) units in March, taking Q1 volume to 3.18m (+50.4% y/y) and 1.835m (+47.1% y/y) respectively. NEV penetration rate reached 41.2% in Q1 (vs. 40.9% in 2024). Conventional vehicles production fell by -5.3% y/y in March, taking YTD volume down -2.5% y/y. Sales were down -7.5% y/y in March, taking YTD volume down -5.1% y/y.
Autos export rose +1.0% y/y to 507k...
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