In today’s talking points: Demand for electric car batteries sends automakers into a hurry; Solar industry soars; Ernst & Young report: Top 10 business risks facing mining and metals; Global commodity prices to continue rising, says World Bank
Demand for electric car batteries sends automakers into a hurry
As the popularity of electric cars continues to rise, manufacturers with stakes in suppliers to new energy are keeping up the pace by building new plants. Sales of electric cars are also expected to surge, not only as a result of consumer demand, but also in part due to all Chinese based carmakers being expected to produce a set number of electronic cars from 2019. Since 2015, the world’s largest market for electric cars has been centralised in China and, owing to China’s aim to have 5 million new energy cars in use by 2021, this trend is likely to continue.
Read more at: China Daily
Solar industry soars
China’s solar industry has become a burgeoning industry leader in a mere five years. In 2012, a global oversupply of solar panels was contributing to the plummet of their market value. Li Junfeng, deputy director of the energy and research institute of the National Development and Reform Commission, warned crisis would ensue for the industry unless solar panel production was slashed globally. European Economic Union Tariffs were an important positive step toward market normalisation of China’s innovative and ambitious superpower industry, which has a worth of over AUD$100 billion.
Read more at: China Daily
Ernst & Young report: Top 10 business risks facing mining and metals
Ernst and Young have released their latest Top 10 report, detailing the ten greatest business risks currently facing the mining and metals sector. Digital effectiveness was identified as the main risk for the sector, likely linked to the fact that many companies are adopting innovative technologies in a bid to improve productivity. Cyber risk also rose, from ninth to third place, as the line between information and operational technologies leave companies vulnerable to threats. The coming shift from fossil fuels to renewable energy was also acknowledged as a key concern for the sector.
Read more at: Australian Mining
Global commodity prices to continue rising, says World Bank
The World Bank released a quarterly report on Thursday, warning that global commodity prices will likely continue rising throughout 2018. Prices for oil, natural gas and coal are expected to rise 4 percent in 2018, while metal prices are forecast to stabilize. John Baffes, the lead author of the report, said that energy prices will largely depend “on whether oil producers seek to extend production cuts.” He also noted the importance of Chinese development “in the price trajectory for metals.”
Read more at: China Daily