The latest Market Talks covering the Auto and Transport sector. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.

1350 GMT - FedEx CEO Raj Subramaniam says he doesn't think any company can succeed in AI if its top executive doesn't take an active role in shaping the technology. "You can't have a business strategy without technology, and the reverse is also the case," Subramaniam says at the WSJ Technology Council Summit. "And AI is the defining technology of the era, so the CEO has to drive it." (connor.hart@wsj.com)

0657 GMT - Oil prices continue to rise early Tuesday as traders assess the impact of lost Saudi Arabian volumes after the attack on the country's East-West pipeline. In European trade, Brent rises 1.75% to $107.50 a barrel while WTI is up 1.8% at $103.17 a barrel. The true extent of the damage hasn't been confirmed and the immediate impact on oil markets depends on how much oil can be taken from storage at the Yanbu port facility, ANZ analysts write. The Kingdom is expected to ramp up shipments through the Strait of Hormuz but recorded traffic remains very low, they say. Buffers, such as oil stored on the water in large ships or on land in strategic reserves, are disappearing and further tightening immediate supplies.(adam.whittaker@wsj.com)

0306 GMT - China's auto sales this year are likely to fall 21%, the largest on-year decline in the sector over the past two decades, say Daiwa analysts in a note. Market concerns over the government's replacement subsidy, an increase in China's NEV purchase tax, and slower product launches for 2026 are among the main drivers weighing on sales, they say. The replacement subsidy will likely be phased out and could put downward pressure on overall auto sales in China this year and the next two years, they say. China's auto sales will likely record an annual decline of 2% in 2027 and 2028, they add.(jiahui.huang@wsj.com; @ivy_jiahuihuang)

0253 GMT - Global auto sales will likely decline by 4% this year due to weakness in China, Daiwa analyst Kelvin Lau writes in a note. Global auto sales will likely remain sluggish next year, with weakness persisting through 2029, he adds. An increasing number of automakers are using their current technology and capital to develop new segments such as humanoid robots to maintain long-term profitability, he adds. Among the automakers, Daiwa's top picks are BYD, Hyundai Motor and XPeng under the transformation theme. XPeng plans to ultimately sell part of its humanoid robot business in the coming 18 months, but remain a controlling shareholder. (jiahui.huang@wsj.com; @ivy_jiahuihuang)

1655 GMT - Volkswagen's restructuring plan is a potential game changer but the assumptions and targets seem demanding, Morgan Stanley analysts say in a note. Executing the plan--reducing capacity and cost, adding flexibility and speed to market--would make the analysts more positive on VW. "We see many low hanging fruit and think that VW has room to fund a good part of that restructuring via nonstrategic asset disposals," MS says. Nevertheless, right now some of the plan depends on potentially bumpy negotiations with unions, which could generate positive and negative news flow in the second half, according to MS. Volkswagen shares closed at 81.46 euros.