The "New Energy Economy" just reached an important milestone.

Last year, for the first time, electric vehicles ("EVs") made up 10% of all new cars sold. We're talking 7.8 million units worldwide, a 68% increase since 2020.

This achievement bodes well for mass adoption of EVs, a sector already valued at $163 billion...

And it's a sector that, according to Allied Market Research, will grow 407% by 2030, reaching $827 billion.

How can we profit from all this growth? Let me show you...

A Global Phenomenon

The 10% figure I mentioned above is the global average. In China, the world's largest car market, EVs accounted for a whopping 19% of new car sales.

According to the head of Volkswagen's (VWAPY) China division, 25% of its sales in China last year were EVs. And he expects that to rise to 33% in 2023.

Meanwhile, in Europe, the world's third-largest car market, 11% of new cars sold last year were EVs.

These statistics are quite astonishing. And here are some more:

Consider Volkswagen, the world's largest car maker. With brands including VW, Skoda, Seat, Porsche, and Audi, it makes cars ranging from value to luxury models.

Globally, Volkswagen's car sales were down 7% last year. But its EV sales were up a whopping 26%!

This isn't an anomaly, either. The overall car market shrank globally last year. Yet Ford (F), Mercedes-Benz (MBGYY), and BMW (BMWYY) all doubled their EV sales.

America is Going Electric, Too

The thing is, this EV boom isn't just happening in China and Europe. In the U.S., EV sales went from 3.2% to 5.8% of all new car sales, even as total new car sales dropped 8%.

Tesla (TSLA) is still the leader in America, making up 65% of last year's EV sales. But that's down from 75% the year before.

Ford is now the second-largest seller of EVs in the U.S., much of it due to the enormous success of its F-150 Lightning electric pickup truck, the electric version of America's top-selling vehicle.

Elsewhere, Rivian Automotive (RIVN) is making waves with its own fully electric light truck. This company managed to make 2.6% of all EV sales last year, an impressive feat for a company only founded in 2009.

Given how popular pickup trucks are in the U.S., the winner of this battle will capture a huge part of the U.S. EV market.

But we don't have to choose between Ford or Rivian. Instead, we can invest in a cornerstone company in the EV market that works closely with both car makers...

A 'Picks and Shovels' Play

Based in Ontario, Canada, this company is best known for being North America's largest supplier of auto parts. But this "picks and shovels" company (a term for a business that supplies tools or services that other companies use to make a product) does much more than that.

To supply parts to car makers, this company needs to have them. That means it spends a lot of time developing and designing parts, everything from electric motors to hydraulics to sensors for car automation and safety.

This company operates 345 facilities across 28 countries and is laser focused on the improvement and construction of electric drivetrains and smart driver-assistance systems.

The company also makes very important, but less flashy, parts for EVs...

A Major EV Parts Supplier

Consider EV batteries, for example. They are crucial to the vehicle's operation. They're also sensitive and can become quite hot during discharge or loading.

Protecting them in a way that also allows for cooling is important. And this company's proprietary EV battery enclosure is optimized for both and is being used in Ford's F-150 Lightning and GMC's Hummer EV.

In fact, the company I'm talking about is responsible for a significant number of parts in 12 different EV models right now, with more on the way.

In California, EV maker Fisker (FSR) just launched its Ocean SUV in Europe. This EV is constructed almost completely in factories owned by this company and supplied primarily with its parts.

In an approach similar to Apple (AAPL), Fisker handles the design and engineering aspects, then hands off the actual construction and assembly to an experienced manufacturer – in this case, the company I'm recommending.

It's an approach likely to be replicated with other new entries into the EV sweepstakes. And no company is as ready to benefit as the one I'm so excited about.

For 'Pro' Eyes Only

This company's focus on EVs and the broader auto market is really paying off. It recently crushed quarterly earnings with a 91% gain.

Even if it averaged just one-third of that growth going forward, we'd see an earnings double in two and a half years.

I've saved the reveal of this fast-growing company for my "Pro" subscribers, so make sure you're one of them. I'll also let you in on my strategy that can potentially lead you to returns of 200% and even higher.

Cheers and Good Investing,

Chief Investment Officer
Trend Trader Daily

Tags: electric-vehicles evs tesla