Why Investing In Nickel Could Make Your Retirement Better

As electric vehicle production goes from niche to mainstream, nickel is likely to play a critical role in meeting rising demand.

Electric vehicles are going to be a huge market.

Image source: https://theicct.org/

In fact, the number of electric vehicles being purchased has doubled over the past two years.

According to EEI, the global stock of light-duty plug-in vehicles will reach 26.4 million by 2030.

The main reason behind this boom in popularity?

Electric vehicles (EVs) are powered by electricity stored in batteries. They can be charged at home or at public charging stations.

The following reasons explain why people buy EVs over conventional vehicles:

Maintenance costs: The cost of maintaining an EV is significantly lower than a traditional car, because there are fewer moving parts in an EV compared to a conventional vehicle which has an internal combustion engine (ICE). Also, there is no need for oil changes, spark plugs or filters as there are no moving parts inside the EV engine.

Environmentally friendly: One of the main reasons for buying an EV is that they have zero tailpipe emissions and produce no particulate matter (PM). This means that they don’t pollute the environment with toxic emissions like diesel and petrol cars do when they burn fossil fuels to produce power, which makes them extremely environmentally friendly options.

Nickel is a critical component of the lithium-ion batteries used to power electric vehicles.

The nickel, cobalt, and lithium that make up these batteries are all vital components of this technology.

The cathode (negative terminal) of a lithium-ion battery is made from nickel.

Lithium ions move from the anode (positive terminal), through an electrolyte solution in between them, and into the cathode — this reaction produces electricity.

In addition to being used as part of electric vehicle batteries, nickel can also be found in rechargeable batteries for computers and mobile phones; stainless steel; superalloys; catalysts for chemical reactions; glassware; jewelry; fireproofing materials like steel girders that protect buildings from fire damage during earthquakes or other disasters occurring at ground level.

There is going to be an explosion in the demand for nickel.

Nickel is used in batteries, and batteries are an essential component of many electric vehicles (EVs).

EVs are becoming more popular, due to their low emissions and fuel efficiency.

We can expect global sales of EVs to increase even further over the next decade as more people realize how great they are for both their wallets and Mother Nature’s health!

Electric vehicle production is concentrated in China.

Because of this, it’s likely that Chinese policymakers will continue to subsidize domestic production of nickel, which could further distort the global market and make it difficult for investors who are looking to invest in the metal on a long-term basis.

Second, if you really want your money to work hard for you when investing in commodities like nickel or copper (another commonly used material in electric vehicles), then you may want to consider investing overseas instead of domestically.

Chinese stocks are a good pick.

They control more of the supply chain for copper, cobalt and nickel. This trend is likely to continue, since Chinese companies invest very much in African mining jurisdictions, such as the DRC, where European and US-based multinationals are more reluctant to deploy capital.

Massive new nickel supply is needed to meet rising demand.

The need for new nickel supply to meet rising demand is driving the industry’s rapid growth, creating the potential for investors to profit.

Nickel is mined in Canada, Russia and Australia; however, several new mines are being opened in the US.

Nickel prices are likely to rise over the next decade as supply and demand go out of balance.

In recent years, nickel has enjoyed a surge in popularity due to its key role in wind turbines, lithium-ion batteries and superalloys used in jet engines.

Right now there is an opportunity in nickel to profit from the coming EV boom.

The electric vehicle market is expected to grow significantly over the next decade as battery technology improves and economies of scale kick in.

In addition, China will continue to be by far the largest market for EVs worldwide (and its government has set aggressive targets for new fuel types).

As such, despite some recent media reports suggesting otherwise, there will be a significant shortage of nickel supply in the coming years.

Nickel is a very important metal for electric vehicles, and it’s likely to see its price rise over the next decade.



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