Electric Cars Will “Suffer” from Cheap Oil, Elon Musk Says

Plunging oil prices are set to hit the electric car industry hard, but Tesla vehicles won’t be the worst affected, says CEO Elon Musk. “[The] industry as a whole, I think, will definitely suffer from lower oil prices,” Musk told CNN’s Kristie Lu Stout on Monday. “It just makes economic sense.” The drop in the cost of fuel has already filtered through into the U.S. auto market, where sales of gas-guzzling pickups and SUVs rose last year. Oil has continued its steep descent this year, sinking last week to its lowest level in more than 12 years. Musk, a prominent advocate for alternative energy, says Tesla’s high-end vehicles are better placed to weather the effects of the oil slump than cheaper rivals.