The Future Is EVs!

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.

Can New Energy Vehicles Win The Race Against ICE?

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.

Nio’s Battery Swap Technology Is One Great Way In Producing More Jobs

I think Nio’s battery swap technology is one great way to produce jobs. For those who don’t know what is Nio — Nio is a company that is currently specializing in producing luxury electric vehicles (EVs) for Chinese consumers in China’s mainland only. Although Nio is only producing EVs for Chinese consumers, Nio so far had only listed its stock in the United States (surprisingly not yet in China). People like to compare Nio with Tesla and thinking that Nio is a Chinese Tesla, but I think Nio is uniquely different than Tesla besides the point that both of them are producing luxury EVs. Vaguely summing my gist, besides producing EVs, Nio is trying to promoting a lifestyle which caters to Chinese consumers in which Nio knows best — this means besides selling luxurious EVs, Nio is probably trying to provide other luxurious venues that complimentary with Nio EVs. Tesla is just concentrating on producing awesome EVs.

Back to the main point in which I had raised in the first paragraph. I think Nio’s battery swap technology is great for producing more jobs! I imagine that it would require more jobs to produce even more EV batteries for the expansion of battery swap stations. As battery technology improves, Nio has to scale up newer types of EV battery output to fill up each battery swap station — this means even more jobs. As consumers see that their EV isn’t stuck with just one old battery, they can feel confident in getting out to buy an EV since they know their Nio will always be able to swap an improved battery into their EV as each time they go to a battery swap station. As Nio set the standard for battery swap station and battery swap technology, a newer chain of supply for battery swap technology would spring up which creates even more jobs. Each presence of a Nio battery swap station is like a permanent advertisement that drivers would see on the road, and so this could boost Nio’s image in long term — this could allow Nio to grow and prosper which creates even more jobs. I mean I could go on and on…

Disclaimer: I do invest a little bit of my money in Nio. Thus, I do have a favorable outlook (bias) when writing on Nio. Nonetheless, I believe Nio is a great EV automaker in the making, and this is why I have invested some of my money into Nio’s stock.