每日英語跟讀 Ep.896: Tesla overtakes Toyota and Exxon’s market value in symbolic shifts
Last Wednesday, Tesla Inc. displaced Toyota Motor Corp. as the world’s most valuable automaker, underscoring investor enthusiasm for a company trying to transform an industry that has relied on internal combustion engines for more than 130 years.
Tesla Inc.’s market value also surpassed Exxon Mobil Corp.’s last Tuesday in a sign that investors are increasingly betting on a global energy transition away from fossil fuels.
Exxon is the world’s second biggest energy company after Saudi state-controlled oil giant Aramco went public late last year.
Shares of Tesla, which have more than doubled since the start of the year, climbed as much as 3.5 percent in intraday trading last Wednesday, giving it a market capitalization of US$207.2 billion, surpassing Toyota’s US$201.9 billion.
Chief Executive Officer Elon Musk has ignored or broken many of the established auto industry’s rules and norms in the 10 years since he took Tesla public, selling cars online and assembling vehicles in high-cost California. But while his company’s value has soared, there remains a gulf in the scale of his company and the world’s biggest car manufacturers.
Tesla produced 103,000 vehicles in the first quarter, or about 4 percent of the almost 2.4 million made by Toyota, which built its brand on affordability and reliability backed by innovations in large-scale manufacturing.
Tesla became the world’s second most valuable automaker in January, when it surpassed Volkswagen AG. It is now worth more than twice the German giant.
After pioneering gas-electric vehicles with the Prius hybrid, Toyota was late to shift to fully electric autos and has wagered heavily on hydrogen fuel cells. The company is now making a series of high-profile investments in electric vehicles (EVs) and self-driving cars. The manufacturer has forecast an 80 percent plunge in profit this year due to the COVID-19 pandemic, and expects it could take until the first half of next year before the auto market recovers to pre-pandemic levels.
The market for electric vehicles is forecast to increase to 10 percent of global passenger vehicle sales by 2025, 28 percent in 2030 and 58 percent by 2040, according to a May 19 report by BloombergNEF.
Source article: https://www.taipeitimes.com/News/lang/archives/2020/07/07/2003739463