I didn't say it wasn't happening, I said:"I won't say the horse...

I didn't say it wasn't happening, I said:

"I won't say the horse has bolted, but lithium and electric cars aren't as hot as they once were. The big dollars are not being thrown around, the sales figures whilst still positive aren't as good as what they were, investments in and claims around what percentage of vehicle production are being revised down from frothy forecasts, and I think hybrids like Toyota are making will continue to be the preference for many drivers."

Let me explain my perspective to you.

lithium and electric cars aren't as hot as they once were
Lithium Price and Forecast chart show it isn't has hot as it was. The forecast is for prices to stabilise.

Electric car companies aren't as appealing as they were. Why is this? The segment isn't as hot, building electric cars profitably isn't easy.

Tesla is actually a diversified company with A LOT of potential, especially with relation to their robots and energy solutions, but let's just call them a car company for shits and giggles.

3 year chart


The 1 year chart only has 2 companies that are green, and BOTH companies are more traditional car manufacturers who have lost BILLIONS on, and are refining their pure electric car programs.



Traditional car manufacturers are doing well, they are converting their product line ups, but it is an ongoing process and it will take time.

The big dollars are not being thrown around
This is in relation to acquisitions.

https://www.reuters.com/markets/commodities/rio-tinto-ceo-bullish-lithium-not-eyeing-big-acquisitions-2024-03-03/

LPI got bought out by Codelco for a fraction of what many speculators were expecting, sure there were a number of factors, including a hostile government, but the fact remains, which is it was one of the best resources around in terms of grades and progress.

AGY has 12ktpa approvals, it didn't shift the needle, there are not companies / partners falling over themselves to fund this project, and that is especially in the case where we don't have a commercial process.

Sales figures whilst still positive aren't as good as what they were
Clarification here... Sales growth figures as a percentage.

Obviously a lot more cars are being made with batteries, but I understand the pure EV number are not as bullish as what many expected, and I would suspect these will continue to decline.

There are 2 types of people, those who are rich and love their EVs, and those who aren't as rich and struggle with having an EV only.

If you own your home, and you have solar panels, and you can do the right type of (DC) charging for your battery, and you don't consistently drive long distances, then it is a no brainer.

I have spoken with a number of professional Uber drivers, and many of them have said they prefer the petrol electric hybrids like Toyota are making, and there are a lot of other costs and inconveniences associated with pure electric vehicles.

The price of tyres are more expensive due to the additional strength required because of the weight, the tyres need to be changes more frequently due to the weight, if you want to charge at a super charger, it costs almost as much as a tank of fuel but it takes a lot longer to charge and you sometimes need to wait or find chargers that are available.

Again, for a lot of people it will make sense, but for many it won't, or they have concerns (some more justified than others).

Costs of repairs, especially for Teslas are very expensive because of the way they are built (manufacturing efficiency over reparability), and you can't just take them to any old workshop to get fixed.

This is ultimately a captured market for manufacturers, and I think this is going to result in much higher costs for repairs going forward.

Now that people have had time to own EVs for years, it will be interesting to see how many people buy a second one, or prefer to explore other options.

Take this article for what you will, but not everyone is a fanboi https://www.drive.com.au/news/study-finds-some-electric-car-owners-considering-a-switch-back-to-petrol-power/

Hybrids like Toyota are making will continue to be the preference for many drivers
Toyota are killing it, not just here, but in the US and other markets.
https://www.whichcar.com.au/news/toyota-hybrid-electric-sales-double
https://www.carexpert.com.au/car-news/toyota-australia-banking-on-big-hybrid-sales-boost-in-2024

Again, this is in the near term.
GM
https://www.thestreet.com/electric-vehicles/general-motors-is-switching-gears-on-its-ev-strategy

Ford
https://www.cnbc.com/2024/02/06/ford-reassessing-ev-plans-including-vertical-battery-integration.html

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Of course there are 3 sides to every story, and you can likely find articles that support your perspective.