SEOUL — Joe Biden’s win in the U.S. presidential election is giving a lift to South Korean electric vehicle battery makers as investors bet his green policy will help them expand in the American market.
Analysts say South Korean battery makers are in a favorable position compared to their Chinese rivals, as Washington-Beijing tensions are expected to continue under Biden’s presidency. South Korean, Chinese and Japanese companies are the leaders in the fast-growing global market for EV batteries.
Biden has pledged to rejoin the Paris Agreement, which aims among other things to reduce greenhouse gas emissions, as one of his first acts as president. Donald Trump withdrew the U.S. from the international agreement on climate change in January 2017.
“We expect that South Korean companies will enjoy rising demand if subsidies for ecofriendly cars increase and control on carbon emissions is tightened in North America where EVs are underperforming,” said Kim Hyun-soo, an analyst at Hana Financial Investment.
To read the full article, click here.