I just watched this video, and it’s an old video from the year 2018. We’re now on the second day of the year 2021, and I really can’t imagine how even more efficient in speed and the level of automation has had occurred in the factory in which the video right after the break reveals. The question is, will humans go the way of the horses in the future? Hmm… I think that we can automate pretty much everything except for human intuition and creativity. Well, just maybe not yet!
Tesla is still leading the way to electrification. Nio and other well known Chinese electric car makers are revving up their effort in competing both against Tesla and the old-school Internal Combustion Engine car manufacturers. Since electrification requires fewer moving parts, the cars should be less complicated to produce and streamline the supply chain — but there are limits still in improving the electrification process. One of such limits is the battery range. Another is the battery’s not so robust recharge cycle amount before the degradation of a battery begins to take place when every time it gets charged up.
No worry though, I think Tesla is doing its best to improve these limits. Lately, Nio upgraded 75 kWh battery technology to 100 kWh, and this means Nio’s car owners now can either choose to use the old tech battery or upgrade to a newer one which is the 100 kWh. The 100 kWh battery allows Nio cars to have a better mileage range. Nio’s 100 kWh battery allows Nio cars, depending on the vehicle sizes, to travel up to 615 km (382 miles) per charge. Other EV (Electrical Vehicle) makers are not idling by either because they’re too improving the battery tech and getting rid of more limits in the electrification process.
Besides improving the battery tech, sometimes it’s also better to reinvent the wheel, and so other EV innovators are coming up with ways of reinventing the whole EV battery tech altogether. Instead of relying on the common lithium-ion battery tech which relies on a liquid electrolytic solution, some EV innovators are hard at work in pushing out solid-state battery tech which gives a better recharged time. For example, QuantumScape — which went public recently through a SPAC (Special Purpose Acquisition Company) merger — is promising to push out solid-state battery tech which allows an EV battery to be recharged about 80% but it takes only 15 minutes to do so. QuantumScape mentioned that they will begin the manufacturing process around 2024 to get this tech onto the market — which is four years from now.
Here I thought QuantumScape is already a game-changer, then suddenly Toyota announces that they will release an EV in 2021 with a solid-state battery tech that allows the vehicle to be fully recharged within 10 minutes. I think the age of electrification is now heating up and ready to go much farther in terms of overtaking the traditional ICE makers fast. Check out a cool video right after the break where Toyota boasts about their electrification process of Lexus cars in the near future.
Can a self-driving car be useful in the aspect of becoming a backflow of power to a grid solution? In the video right after the break, the duo presenters like to think so as they profess Tesla could have huge fleets of robotaxi cars frequently charging up the grid and earning Tesla the bucks on the side. In such a scenario, Tesla could be doing both things such as selling extremely expensive cars to the rich while providing robotaxi cars to the everyday people while earning real money on the side as these robotaxi cars would charge up the grid when idling. What do you think?
Electric vehicles are hot at the moment because these cars are being promoted as futuristic rides. Most importantly, companies that are trying to build EVs — are trying to marry the most futuristic technologies into these EVs such as fully autonomous driving. In the United States, we got Tesla, but in China, there are hundreds (or probably more since I don’t know the exact number but I know there are a lot of them) of new EV makers compete for the same niche but eat away the traditional ICE (Internal Combustion Engine) car market. For Chinese EV makers, I’m particularly interested in Nio, Geely, and now Aiways.
As we all know the largest EV market in the whole wide world is in China. So, it’s natural for me to be very interested in the Chinese EV makers. Aiways is different than the other two EV makers I mentioned because Aiways isn’t yet a public corporation/company — and only a three-year-old (private) company. Yet, Aiways can already deliver Aiways U5 to the European market. This means Aiways is the first Chinese car company to deliver EV cars outside of China (homegrown) market. This makes me wish for Aiways to start an IPO (Initial Public Offering) soon so investors around the world can begin investing in Aiways’ adventure as a hot new EV maker.
I just sold all of my Nio position when Nio hit $9.26. Now, Nio is like around $12.88 at closing for the day. I guess I had sold Nio a bit too early. Anyhow, why did I sell all of my Nio position? Well, I read several news articles that had mentioned that the U.S. is trying to pass a bill that would target several Chinese companies that are being listed on the U.S. stock exchange. Since Nio has the support of China’s local government Hefei (capital of Anhui province), I fear that Nio could be one of those Chinese companies that would be targeted since it’s being listed on the U.S. stock exchange. This bill was passed by the Senate and is now in the process of getting ready to go through the House. If the House is going to pass this bill too, I think the chance is high for many Chinese companies to be targeted by this bill. This bill is the reason I’m not so hot for Nio.
What I’ve read so far on the web is that several big-name Chinese companies such as Alibaba are either already listing or going to list their shares on Hong Kong’s stock exchange because they are ready for the days that they could no longer list their stocks on the U.S. stock exchanges. I surmise that Nio might think about this too but I have no insight on if Nio would do this or not. In reality, I got no info on what Nio would do as I’m just another investor who got his info on Nio through the Internet.
I have bought some shares of Geely on Hong Kong’s stock exchange through a U.S. stockbroker. I’m interested in Geely because this company is also trying to build awesome EVs. Geely also owns Volvo, a 10% share of Daimler (if I remember correctly), Lynk & Co, PROTON, and Lotus. I think Volvo is a very good brand, and Geely is doing an awesome job in upkeeping the brand’s good name. I also like Lotus since I love its new supercar Evija (2000hp).
Geely is also well known for making affordable cars for China’s local consumers. If I’m not wrong I think Geely delivered around 2.1 million cars in 2019. This means Geely is no joke! Latest but very well received compact SUV from Geely is Coolray.
Geely is also supporting Volvo’s Polestar to come out with their own EVs. I’m interested in Polestar Precept.
In conclusion, I’m interested in investing in China’s car market because I think China’s huge population of 1.4 billion people and counting is also interested in buying Chinese cars. Furthermore, Chinese car companies will venture out of their homegrown market and start selling cars in Europe and elsewhere in the world. As a small investor, I love to look for more ways to generate income, and so investing in Chinese automakers is a no brainer for me. I think EV automakers will be able to eat away a huge chunk of traditional (ICE) automakers’ market share. I think the future in terms of cars is EVs and not of ICE types of cars. Naturally, I’m interested in investing in EV automakers.
Disclaimer: I had bought shares of Nio but sold them. I’m currently owning some shares of Geely (Hong Kong) through a U.S. broker. Naturally, I’m biased toward Nio and Geely in a positive manner. This means I love to see these companies do well in developing futuristic cars and selling new cars. I do not give out stock advice. This blog post is all about my opinions on what I think of what stocks I like to invest or have invested in. So, please do your homework before investing in anything and do not take my opinions as stock advice and risk losing real money.
Why do I think new energy vehicle makers such as Tesla will be the biggest winners in the race of selling more cars in the near and longer future? Just think about it! Internal Combustion Engine (ICE) has had been around forever, and it’s as good as it gets! Before Tesla introduced EVs (Electric Vehicles), a self-driving car wasn’t even a big deal until Tesla pushed hard on introducing self-driving levels onto its own EVs. As new energy vehicle makers eager to compete against ICE, they want to prove that their vehicles are more modern, longer-lasting, faster, stronger, and smarter — thus innovation is going to be unstoppable in the new energy vehicle sector which is a sub-sector of the auto industry. Eventually, this sub-sector could overtake ICE one day for good because after all — driving EVs and other new energy vehicles helps the world stops the global warming phenomenon.
Disclaimer: I have an investment in a stock that belongs to an EV maker. Thus, I tend to be more biased with a positive attitude toward the EV industry.
Has Andrew Yang been so right about automation is slowly taking over more jobs, especially for the trucking industry? Well, check out CNBC video right after the break to see how customer focus of retailers like Amazon has driven more people into developing self-driving trucks!