Stay in Touch
To keep in touch, please sign up to the Milltrust Ventures Newsletter for our latest news and insights.
By Environmental Investment Services Asia Limited
In October the excellent longer-term outlook for the Chinese Electric Vehicle (EV) industry has started to be reflected in results. Presently China has 4 million EVs on its roads, accounting for >50% of the world’s total. Recent announced targets to have 25 million EVs by 2025, 80 million by 2030 and more than 160 million by 2035 are expected to provide very strong tailwinds for the EV industry.
With earlier promises of carbon neutrality by the EU, hopes for the low carbon economic transition in Asia gained pace, with both Japan and Korea announcing ambitions for carbon neutrality by 2050, following soon after China’s groundbreaking UN pledge to reach a similar target by 2060. Much now depends on the US electing a new Administration that has pledged to quickly rejoin the Paris Climate Agreement and work towards regaining a world leadership role in combatting climate change. The post November 3rd strong rally in share prices of constituents in the Asian low carbon environmental goods and services sector suggest that the markets believe that this new US Administration is coming.