Bolivian coup happens right after Morales stopped Lithium deal
US-backed coup on Sunday resulted in Morales' resign and nationalisation of Lithium in the country. After the coup, stock prices of some multi-national firms including Tesla saw a boost.
With the US-backed military coup in Bolivia, the nationalisation policy of resigned President Morales has come to an end. Just a few days before the coup, Bolivia's former President Morales canceled an agreement with a German company 'ACISA' for developing lithium deposits.
ACISA provides batteries to Tesla, which is known for its electric cars. After Morales' decision to cancel the agreement, the German company ACISA told Deutsche Welle that the company was "confident that our lithium project will be resumed after a phase of political calmness and clarification."
TESLA AND PANASONIC SHARES RISE AFTER BOLIVIAN COUP
Tesla INC's shares rose about 2,36% after the coup in Bolivia. The company's shares started to rise after the post-election crisis in the country. Another company, which invests in Lithium deposits, is Panasonic. Its shares also saw an increase starting November, when protests from right-wing elements had started.
MORALES NATIONALIZED BOLIVIA'S HYDROCARBON INDUSTRY
After he won the elections in 2005, Morales nationalized the hydrocarbons sector among with other sectors such as gas and oil. One of the firms, which was nationalized during Morales' first term, was Sergas. The owner of the company was the father of Bolivian coup leader Luis Fernando Camacho, José Luis Camacho.
On Nov. 4, Morales canceled the December 2018 agreement with Germany's ACI Systems Alemania (ACISA). ACISA provides batteries for Elon Musk's electric car company Tesla. Right after the Bolivian coup, Elon Musk announced that a new factory will be established in Germany.
Written by: Emre Kekeç