Chinese big bet on electric cars lift Swedish company significantly – Business Week

Chinese big bet on electric cars lift Swedish company significantly – Business Week

China plans to invest over 100 billion in electric vehicle sector. That’s good news for a Swedish company. Vd is enthusiastically – and the stock rises significantly.

The Chinese authorities’ major effort to build more charging stations, thereby stimulating demand for electric cars, received with the enthusiasm of Smarteqs president Johan core.

“It is very gratifying and a huge opportunity for us, but it should be remembered that an infrastructure investment of this type will take time,” he says to news agency Direkt .

According to Bloomberg News, China plans to invest up to 100 billion yuan, or about 113 billion, the electric vehicle sector. The data is not yet officially confirmed.

First North-listed Smarteq, which absorbed the old antenna developer Allgon manufactures antennas for wireless readout of charge capacity, control and billing record.

“We have a large international client who sells charging stations where our antennas are a part. Already, some installations in China on track to be done, and where we are a part, “says Johan core. So far, however, this most pilot projects, he stresses.

Even if it takes time before a large-scale roll-out can be implemented, there is the potential for China to react relatively quickly.

“They have big problems with pollution in China., if they limit the number of allowed petrol or diesel cars in cities means that the number of electric cars can grow quickly, and thus the need for charging stations,” said Johan core.

According to task is the international customer, ABB, meaning that the company has two large global corporations as customers. The second is the main customer, Volvo, which is said to use Smarteqs antennas in their new FH models.

Since autumn 2011 Smarteq local shopping facilities in Shanghai, China, in order to better manage and develop the company’s suppliers in Asia. The goal is to strengthen Smarteqs presence on the ground and establishing an organization in the region that will eventually include sales on Asian market.

Smarteqaktien traded on Tuesday afternoon at 0:45 kroner, an increase of 17 per cent for the day . Since January, the stock has consequently risen 67 percent. The company’s market value is about SEK 200 million.