Batteries: The green investment bubble in the EV space?
Will plug-in batteries prove to be a bad short term investment?
There has been a lot of hype in the battery industry, but it still remains to be seen whether the EV space will be a profitable green investment, at least any time soon.
Environmental Finance is reporting that Greg Neichin, VP of research and advisory at the Cleantech Group, claims that the plug-in vehicle industry could be hampered by adoption rates that just won’t support the industry. While there have been lofty estimates for EV adoption that have pushed battery manufacturers to significantly increase battery production, a sluggish adoption curve could cause battery manufacturers real problems via oversupply.
This has been a common theme in the EV battery segment.
My guess is that batteries and plug-ins will be long term winners, but in the short term there will be lots of losers in the industry, and probably lots of consolidation.
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