Will Electric Cars, like the one from Chinese BAIC above, ever enjoy the ballistic take off in the market like e-bikes did in China? Soon, we will have the answer.
We have another view on Electric Cars market growth potential - this time from World Bank analysis of China's Electric Vehicles industry. Before we have discussed research note from Deutcshe Bank on the more broad subject of Chinese Leadership Towards a Low Carbon Economy and now we have a more specific research on China's very ambitious plans for the new Strategic Industry - Electric Cars.
China is in the headlines every day now and moving the global markets these days. State level planning allows to allocate resources and leapfrog Combustion Engine technology and even Hybrids - directly into the Electric Cars.
"Millions of people are moving from poverty into the urban life in China every year. Personal mobility is a dream for hundreds of millions and now it can be achieved only by introducing Electric Cars. In Beijing you can buy only Electric Car now - otherwise you have to wait for your luck at the plates lottery.
Companies on the ground have, basically, received Chinese State's permission and encouragement to secure technology and supply chain for the Green Mobility Revolution.
"As you remember, we were writing here about decoupling for quite a while, now it has happen and in a very dramatic fashion. High Oil prices will separate further those who Have and Have Nots in a very unpredictable way. Despite all wars and efforts to keep Oil flow into the U.S., gas prices are rising again and it is happening even now: when economy is still very fragile.
Some people have 5 year plan how to make Electric Cars the strategic industry and to be leaders in Lithium Batteries and Electric Cars. They also have more than 3 trillion dollars in Reserves and can afford Lithium dreams, by the way they are already controlling 97% of Rare Earths market and moving fast into Lithium Supply space. These people are in China and they are busy now with new and very practical revolution - Industrial one based on Electric Cars."
"We always would love to find next promising investment play like Orocobre just before Toyota investment - now Mr Market gives us this opportunity. Rodinia Lithium has received investment from Chinese Shan Shan last Fall and this week International Lithium has announced that Chinese Jiangxi Ganfeng Lithium buys strategic stake in its IPO. Recent M&A activity in Lithium space shows that every significant end user would like to have secure supply of Lithium for this Green revolution."