Early Monday, Reuters quotes Xiao Yaqing, Minister of China's Ministry of Industry and Information Technology saying that currently there are "too many" auto companies in China and consolidation in the industry is needed.
“China would encourage companies to consolidate to further increase industry concentration,” added Mr. Yaqing per Reuters.
Additional comments (per Reuters)
Speeding up alternative solutions to address current auto chip shortage.
Tight supplies of chips likely to persist for a while.
Market reaction
The news joins the fears of the typhoon in China to challenge market sentiment. However, mixed concerns and a light calendar keep AUD/USD unchanged around 0.7360-55.
Read: AUD/USD remains indecisive around 0.7350 as market optimism fades
