SAIC Motor Co. Ltd., China’s largest carmaker and the partner of both General Motors Corp. (NYSE: GM) and Volkswagen AG (OTC ADR: VLKAY) in that fast-growing Asian country, plans to launch a series of hybrid and electric vehicles by 2012 – part of a move by China’s carmakers to meet the growing market demand for “new-energy vehicles.”
President Obama’s new ruling that allows states to set higher emission standards than Washington could give false hope to investors looking to cash in on investments in hybrid and electric vehicles. New data points to a prolonged adoption of battery-powered, next-generation transportation as the recession and low gas prices continue to conspire against the feel-good alternatives.
Lithium has a profitable future, says Laura Cadden. Demand for rechargable Lithium-ion batteries will soar as hybrid cars become more popular . Laura picks two companies that could return triple-digit gains in just a few years.
Investors beware of the electric car, because, as a New York Times article reveals, even the Big 3 in Detroit are wary. Alternative energy in all forms could be the biggest potential bubble for investors. But green automobiles can be particularly hazardous to your portfolio because of the visceral reaction to volatile gas prices.
A new report by the U.S. Energy Information Administration (EIA) shows that oil consumption will remain flat through 2030, shedding light on the slow growth of hybrid and electric vehicles.
The EIA report says that increases in fuel-efficiency standards, use of renewable fuels and advances in technology will translate into less dependence on imported oil. At the same time, the reports projects that hybrid vehicles will comprise 38% of total sales by 2030 – a hefty share if any investor is willing to wait 21 years for that kind of growth.
While some form of battery-powered vehicle will emerge in the coming decades, the U.S. market will also see a diversification in fuel consumption flex-fuel, hybrid, and diesel vehicles, according to the…
Forget the fact that you’re an investor with a penchant for green opportunities, and instead consider yourself a hard-nosed businessman looking for the best return on your money. You run a spread sheet to determine the ROI of electric cars, based on current gas prices, and suddenly you’d be looking elsewhere for investments that would ensure your retirement.
Markets are hard to predict, says Andrew Gordon. But government policy isn’t. That’s why the effective nationalization of the auto industry is a gift to investors. It virtually assures the death of the SUV and rise of the hybrid car. Andrew says this means small-cap battery maker Ener1 (AMEX:HEV) has an “awesome future.”
Market and regulatory forces are exerting pressure on higher gas prices, but whether or not the coming hikes will turn new car buyers to green autos still remains to be seen. With drillers curtailing new wells, and President-elect Barack Obama’s pick for energy secretary, Dr. Steven Chu, mouthing off about raising fossil-fuel surcharges, the weakness of the overall economy could deter consumers from paying the green-car premium at their local dealerships.
In a move that underscores the potential of China’s auto market – as well as the viability of so-called “green” technology – investing guru Warren Buffett’s MidAmerican Energy Holding Co. will pay roughly $230 million for a 10% stake in BYD Co. Ltd., a Chinese producer of both cars and specialized batteries.
The crisis on Wall Street has effectively stopped funding for alternative energy projects.
But an even bigger problem has been the coming expiration of energy tax credits for the manufacturing, production and use of alternative energy systems and devices at the end of 2008. This situation has now changed with the $18 billion Renewable Energy and Job Creation Act of 2008.
David Fessler at Investment U says three alternative-energy ETFs should see “big moves” in the remainder of 2008 and in 2009 on the back of the bill.