Ferrari (NYSE:RACE) There is Hope, Electric Cars are a Long Way Off
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Ferrari’s CEO Sergio Marchionne and Tesla’s CEO Elon Musk have different visions of the future of cars.
Lately the wires are filled with Noise regarding 2 of the Big 3 Detroit carmakers switching to electrified power-trains in the foreseeable future.
They are GM (NYSE:GM), and Ford (NYSE:F), but what about FCA (NYSE:FCAU)?
Fiat-Chrysler CEO Sergio Marchionne, and the CEO of the iconic Italian Supercar maker Ferrari still remains unconvinced by EVs.
He does not believe as many of do, that they are the saviors of our Planet, a view held by Tesla CEO Elon Musk.
Mr. Marchionne believes the environmental impact of electrics cars needs to be studied and analyzed further before ditching internal combustion altogether.
His concern not only lies with the lack of an EV infrastructure, but also the origin of electrical power.
“I think that if you don’t do the full analysis of what the origin of the electrical power is, where it comes from, how you get batteries into these cars, what he cost is in terms of C02 and the environment, I think the analysis’ notion that we are going to save the Planet with electric cars is nonsense.”
“If the base of that electrical production is nuclear, then I have Zero issue. We will all be doing the right thing.
“But you are embracing nuclear power as a solution to your problems. If you are relying on fossil fuels to produce it, I think the issue is much bigger.”
The US, for example, still relies on coal burning facilities for about 30% of its power, though this figure is expected to decrease in the coming years.
Making a full-on switch to EVs from internal combustion resolves 1 problem, but exacerbates another existing 1, not smart.
GM, Ford, Volkeswagen, MBZ, BMW and Tesla all have good intentions, but it appears as if Ferrari’s Marchionne is the sole CEO of the lot who has a realistic outlook near term.
So, there is no need to worry about Ferrari quitting its illustrious internal combustion engines for full-on electric motors anytime soon.
|NYSE:RACE||116.09||12 October 2017||-0.43||115.97||116.44||115.57||305,300|
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