Shares of Chinese electric vehicle maker LI AUTO soared 5.05% on Tuesday, as the company's extended-range hybrid and lithium-iron-phosphate (LFP) battery technology seem to be gaining traction in the rapidly evolving EV market.
According to industry analysts, the adoption of hybrid and plug-in hybrid vehicles, which combine a traditional internal combustion engine with an electric battery, has outpaced pure battery electric vehicles (BEVs) in recent months. This trend is particularly pronounced in China, where extended-range hybrids, known as EREVs, now account for nearly a third of all plug-in hybrid sales.
Automakers are embracing hybrids as a relatively low-cost transition technology between gasoline and pure electric vehicles. These vehicles require smaller battery packs, reducing the demand for metals like lithium, nickel, and cobalt, which are crucial for traditional EV batteries.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.