The following report is by ZeroHedge:
We’ve already written this month about how the “tax break” incentive to buy an EV is starting to vaporize into thin air in places like Japan and the U.K.. Now, the irony continues, as rising costs of energy in Europe, helped along by “green” energy policies, are making industrial projects like battery cell factories “unfeasible”.
Volkswagen brand CEO Thomas Schaefer said this week that investments in German and EU projects will no longer make financial sense if “policy makers fail to control ballooning energy prices in the long-term”, according to the Times.
In a post on LinkedIn, Schaefer said:
Unless we manage to reduce energy prices in Germany and Europe quickly and reliably, investments in energy-intensive production or new battery cell factories in Germany and the EU will be practically unviable. The value creation in this area will take place elsewhere.
Last week, French and German economy ministers proposed an outline for policy cooperation that Schaefer claims “falls short in crucial areas and does not address the envisaged priorities”, the report says.
“Outdated and bureaucratic state-aid rules” fail to focus enough on “the short-term ramp-up, scaling and industrialisation of production,” he said.
The report says that EU officials are focused on responding to President Joe Biden’s Inflation Reduction Act, which they say “violates World Trade Organisation rules and discriminates against non-US companies.”
Meanwhile, Volkswagen is in the process of putting 6 battery factories in operation across Europe by the year 2030, the report says. The company’s lead plant in Germany broke ground this July and already has a €3bn (R53bn) joint venture with Umicore in place for cathode material production.
Recall, just days ago, we reported that the UK was looking to raise more tax revenue from electric vehicles, shattering the years-long assumption that if you contributed to “helping the environment” by buying an EV, you’d be entitled to subsidies and tax credits.
Now Japan’s internal affairs ministry is reportedly weighing whether or not to raise taxes on electric vehicles in order to make up for a shortfall in income from taxes on traditional gas powered cars.
And so it’s turning out that the economics of an industry pivot set into motion almost solely due to government subsidization may not entirely make sense. Who would have figured?
AUTHOR COMMENTARY
No kidding its unfeasible, so much so, Switzerland is considering banning EVs at the moment to rapidly conserve their energy expenditures.
As I have said many times over, the EV push is not meant to work long term, but rather destabilize the economies and overwork the grid in the process. They cost way too much, they hardly hold a charge, they are junk and nearly worthless in the winter, the amount of metals that need to be mined are not feasible, and require just as much “dirty energy” to create them compared to the current systems we have now.
Go from the presence of a foolish man, when thou perceivest not in him the lips of knowledge.
Proverbs 14:7
[7] Who goeth a warfare any time at his own charges? who planteth a vineyard, and eateth not of the fruit thereof? or who feedeth a flock, and eateth not of the milk of the flock? [8] Say I these things as a man? or saith not the law the same also? [9] For it is written in the law of Moses, Thou shalt not muzzle the mouth of the ox that treadeth out the corn. Doth God take care for oxen? [10] Or saith he it altogether for our sakes? For our sakes, no doubt, this is written: that he that ploweth should plow in hope; and that he that thresheth in hope should be partaker of his hope. (1 Corinthians 9:7-10).
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time to go back to horse and buggy days, our ancestors made out just fine using them and so will we.
Telsa batteries are exploding as owners are charging – blowing them up as well as those near by – a massive media coverup is happening. Takes 2/3 hrs to charge these things and then you have to wait for others before you who will also take 2/3 hours to charge their batts and one only can charge if your charger fits the charging type – there are 3 types – its a nightmare.