Clean Energy and New Energy Vehicle in Uncertain Situation

Abstract

According to recent research, only a few about how the Russia-Ukraine conflict infects the WTI market, also how the influence affects green energy vehicles and the clean energy market. This paper aims to use the VAR model and ARMA-GARCH model to analyze the impact on clean energy and green energy vehicles by examining the changes in stock returns and the volatility of these two industries after they were subjected to changes in WTI stock price caused by the Russia-Ukraine conflict. Through analysis finds that in the short-term because of the western development countries restrain, the WTI export in Russia is difficult, the world WTI price will grow dramatically, and more people choose clean energy vehicles as an alternative, which result in an increase in clean energy and green energy vehicles’ stock price increase, but in the long run, these three industries’ stock price will return to their original level. In response to this situation, clean energy vehicle enterprise should innovate their technology and protect their users’ safety, which makes their customers more rely on their products.