TECH - Morgan Stanley Analyst Adam Jonas Proposes Partnership Route For Legacy Automakers Amid Chinese EV Dominance | Benzinga
Morgan Stanley analyst and Tesla Inc (NASDAQ:TSLA) bull Adam Jonas said on Thursday that partnerships with each other or with China might be the way ahead for legacy automakers like Ford Motor Co (NYSE:F), General Motors Co (NYSE:GM), and Stellantis NV (NYSE:STLA), given that there cannot be affordable Western EVs without China.
What Happened: In a note on Thursday, Jonas said that mass EV adoption and China are “inextricably linked” and strict trade barriers on the Asian country over industrial and national security concerns will only lower EV adoption in the West.
“Diversification from China comes at a price of cost and time. On-shoring EV and battery supply may take decades and will face a barrage of environmental and permitting impediments,” Jonas said while adding that EV investment will be substantially curtailed if collaboration with China is blocked.
Meanwhile, Mexico stands a chance of serving as a bridge for China, Jonas ...