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EV's in Middle east war?

EV's in Middle east war?

What are the implications for EV's if there is a serious war in the Middle East?
What if the price of oil double to $200 a barrel. This might cause a recession
in the USA, which would probably cause an increased demand for electric vehicles.

aleks | August 31, 2013

2 things that I can see.

1. The economy will be negatively impacted which would result in overall fewer purchases particurarly in the electronic segment as upgrades to your phone aren't as important as food. Which can result in further price reduction in Litium as the current lithium batteries are already fairly over supply, and a couple manufacturers announced opening new plants, this may result in lower prices on EV's but EV's themselves may see a drop in purchases.

2. Tax breaks may be cut short on both ev purchaser and ZEV credits. Which results in increasing the ev price. Also the dollar may fall some which can end up hurting The automotive industry all together.

I'm still looking at all the variables to paint a clearer picture on what the implications can be but that's my first guesses.

bonaire | September 2, 2013

Cause a recession? What are we in now? It will just exacerbate the troubles already in place. The rust belt will get rustier. We should consider boycotting fuel based pasttimes. Nascar, F1 and so on.

risingsun | September 3, 2013

Oil has a corrupting influence on counties that produce it and the USA. Electric cars can't come soon enough

Timo | September 3, 2013

Racing does not use much fuel. No point boycotting it.

Brian H | September 3, 2013

Racecars burn mostly ethanol, AFAIK.

Timo | September 3, 2013

Depends which kind of race are we talking about. F1 uses gasoline (not regular, but gas anyway) and 24h Le Mans has diesels winning.

Racing anyway improves burning making ICE better at conserving fuel and making rest of the cars greener. Many advances in race cars end up in civilian cars sooner or later. BEV:s are not exception to that rule, Le Mans has already hybrids winning or close-winning, it's just matter of time when we see pure BEV winning there (practically as soon as someone figures out how to safely recharge/swap batteries as fast as ICE cars there refuel while having equally long racing between refills/recharges)