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The S&P 500 posted a solid on Monday, with QuantumScape (NYSE: QS) as a major standout. As of the market close, the solid-state EV battery technology company was higher by 9.5% and traded more than 13% higher at certain points.
QuantumScape is one of 2025's best performers so far
Some of the move in QuantumScape's price appears to be momentum-driven. Including today's gain, the EV battery technology stock is up nearly 27% already in 2025, with gains in every trading session.
A report Monday about President-elect Donald Trump's tariff plans could be serving as the latest catalyst for growth.
According to a Washington Post report, Trump is considering a narrower tariff plan that focuses on raising tariffs for only a specific set of goods and services. While it's not clear what industries would be affected, it's likely that automakers wouldn't be a target.
Share prices of several key automakers increased on Monday as well. Shares of Volkswagen, which has a close relationship with QuantumScape, were up by more than 3% as of mid-afternoon. General Motors and Lucid Group were significantly higher as well.
Will the news impact QuantumScape's business?
To be clear, Trump disputed the report shortly after it was published, claiming that the story "incorrectly states that my tariff policy will be pared back."
QuantumScape is still essentially a pre-revenue company that is at least a couple of years away from generating significant sales. But if the commercialized versions of its solid-state electric vehicle batteries are successful, it will likely rely on business from many different automakers. So, it will be important to follow the latest developments on the tariff issue over the coming months.
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