Canada declares steep tariffs on Chinese language EVs and metal

Good morning. At present we’re overlaying:

• Terror assaults in Pakistan

• The US astronauts stranded in house

• Narendra Modi’s coverage U-turns

However first, Canada introduced yesterday it could impose 100 per cent tariffs on imports of Chinese language electrical autos and 25 per cent levies on Chinese language metal and aluminium, in a transfer replicating latest US measures.

Canada’s Prime Minister Justin Trudeau mentioned Ottawa was introducing the EV tariffs as a result of China was “not playing by the same rules”. It marks the most recent instance of the US and its allies taking actions to counter what they are saying are unfair financial practices.

The announcement got here at some point after US nationwide safety adviser Jake Sullivan met the Canadian prime minister in Canada and urged Ottawa to observe Washington in imposing tariffs. Sullivan mentioned a “united front” would profit the US and its companions.

The Canadian authorities can be launching a 30-day session to find out the place else Ottawa must take motion. Listed here are the sectors it’s going to study.

And right here’s what I’m maintaining tabs on immediately:

• Financial knowledge: China stories July industrial revenue figures and the Financial institution of Japan publishes its companies producer value index.

• US-China relations: Jake Sullivan arrives in Beijing for talks with Chinese language overseas minister Wang Yi. Don’t miss our latest Large Learn on their secret backchannel that has performed an important function in cooling tensions.

• Outcomes: BHP stories full yr 2024 outcomes and Woodside stories interim earnings.

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5 extra prime tales

1. Armed insurgents in Pakistan’s south-western Balochistan province killed at the least 23 individuals in a spate of assaults on Sunday night time and yesterday morning. The Baloch Liberation Military, an armed separatist group within the mineral-rich province, claimed accountability for the assaults.

2. American tech group IBM is closing down nearly all of its analysis and growth efforts in China, turning into the most recent US firm to drag again from the nation amid rising tensions between Washington and Beijing. An government from the corporate cited harder competitors when he knowledgeable employees of the cuts in a digital assembly yesterday.

• Chinese language tech giants splurge on AI: Alibaba, Tencent and Baidu have doubled their mixed capital spending this yr to purchase synthetic intelligence infrastructure, regardless of US sanctions designed to restrict the nation’s progress within the essential expertise.

3. Emmanuel Macron has hit again at accusations that the arrest of Telegram chief government Pavel Durov in France is politically motivated, after the shock transfer raised tensions with Moscow and escalated a world debate over free speech. The arrest of the Russian-born billionaire, who’s now a French-Emirati citizen, marks the most drastic nationwide motion in opposition to a social media chief to this point.

4. Rising geopolitical tensions have led to document ranges of money for the world’s largest aerospace and defence firms. The main 15 defence contractors are forecast to log free money circulate of $52bn in 2026, in keeping with evaluation by Vertical Analysis Companions for the FT — virtually double their mixed money circulate on the finish of 2021. 

• Warfare in Ukraine: Central Kyiv was rocked by explosions yesterday as Ukrainian air defences intercepted incoming Russian missiles and drones throughout a enormous aerial bombardment of targets throughout the nation.

5. ExxonMobil has mentioned world oil demand will stay just about unchanged by 2050 and warned that any transfer to curtail funding in fossil fuels would set off a brand new power value shock. The bullish forecast from the US supermajor contrasts sharply with predictions of a speedy transition from fossil fuels.

Explainer

The return to Earth of two US astronauts stranded on the Worldwide House Station shall be delayed till February, extending their deliberate eight-day mission to eight months. Michael Peel and Sylvia Pfeifer clarify what went unsuitable and the way Nasa plans to deliver them house.

We’re additionally studying . . . 

Chart of the day

An rising market revival has begun, writes Ruchir Sharma, however buyers have but to take heed of the dramatic world implications.

Take a break from the information

Abu Dhabi is encouraging toned-down weddings amid long-simmering anxieties in regards to the ballooning extravagance of the ceremonies. The modesty initiative provides a uncommon perception into the tensions between custom and modernity that permeate Emirati society, writes Chloe Cornish.

Extra contributions from Tee Zhuo and Sarah Ebner