Legendary investor Warren Buffett was an adviser to Barack Obama’s presidential campaign. From time to time he continues to talk with Obama.
One of Obama’s signature campaign themes was the development of green technology to shift America and the world from heavy use of polluting carbon-based power to electric power. Electric vehicles promise a massive reduction in carbon emissions.
Warren Buffett is in China today (September 27, 2010). His first stop is Shenzhen, a city of 9 million that was formerly a small village, which Chinese leader Deng Xiaopong commissioned as China’s first Special Economic Zone in 1982. Shenzhen is headquarters of BYD, a Chinese electric vehicle manufacturer, in which Buffet thas taken a 9.89% stake for $230 million. Buffet said that he believes that the battery and car maker will play an important role in new energy technology.
Is there some reason that Buffett, an Obama adviser, has made this strategic investment in China, America's economic rival in green technology?