What are Electric Cars?
Electric cars are vehicles that rely on an electric motor for propulsion, instead of an internal combustion engine. The electric motor uses electricity drawn from a battery to power rotating magnets that move the car. With advancements in battery technology, electric cars have become popular consumer products in recent years.
Market Growth for Electric Cars
In 2022, electric car sales increased 60% according to Car And Driver Magazine. Currently, around 5% of all new car sales in the US are electric vehicles, and the number is expected to increase in the coming decade. In wealthy countries like Norway, electric cars make up to 80% of all new car sales.
Companies that Make Electric Cars
Most major automakers have either introduced or announced plans for electric vehicles. Tesla continues to dominate the electric car market in the US, responsible for about two-thirds of electric car sales. Other companies in the market include Chevrolet, Toyota, Kia, and Ford. Companies in the commercial electric vehicle market include BYD, Rivian, Daimler, Peterbilt, and Volvo.
Related Stories:
How to Invest in Electric Cars
There are several ways to invest in the electric car market:
Automaker Stocks
The most direct way to invest in electric cars is to purchase stock in companies that manufacture them. Some of the major EV manufacturers listed on a US exchange are Tesla, General Motors, Toyota, Honda, and Ford. Startups like Rivian are also publicly traded.
Third-Party Stocks
Another way to invest in the electric car market is through companies that supply automakers with parts, batteries, and motors. These suppliers tend to source their batteries from Chinese manufacturers like CATL, BYD, and LG Energy Solution. Other companies in this field include NVIDIA.
Conclusion
The electric car market is growing, with more companies entering the market and government policies and culture supporting its growth. Investment options in the market include stocks in automakers and third-party suppliers. Before investing, it is important to consider the volatility of individual stocks and conduct thorough research.
More Information – Autogos.com