- Batteries always die.
- Lithium-Ion batteries rarely exceed 10 years of life.
- Their death and replacement kill the BEV economy argument.
Let's be generous and say the average BEV gets 200,000 miles on its batteries. I think it is likely less, but stick with me here.
Let's assume such a 100KwH battery costs $20,000 to replace with a nice new one.
That's ten cents per mile to drive a BEV. ICE cars use less in gas expense per mile if they exceed 25 MPG and gasoline is less than $2.50 per gallon.
Analyst's Disclosure: I am/we are long TPL.
I do not own NIO stock nor am I shorting it.
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