Hyundai Motor is exploring the possibility of aligning its vehicles with Tesla’s charging standard in North America, according to the company’s CEO. This move comes as Tesla’s Superchargers currently dominate approximately 60% of fast chargers in the United States.
Recently, Ford Motor Company (NYSE: F) and General Motors Company (NYSE: GM) have struck deals with Tesla to utilize its charging technology, now known as the North American Charging Standard (NACS).
Hyundai Concerned about Tesla Superchargers’ Charging Capabilities
Jaehoon Chang, the President of Hyundai, expressed that the company would consider joining the alliance of automakers adopting Tesla’s standard. However, the decision would depend on whether it serves the best interests of its customers. One concern raised by Chang is that Tesla’s existing network of Superchargers does not support the rapid charging capabilities that Hyundai’s electric vehicles can achieve on other chargers.
During an investor day event, Chang stated, “We will thoroughly investigate this matter from the customer’s perspective.”
Hyundai’s latest electric models, such as the Ioniq 5, utilize an 800-volt electrical architecture that enables faster charging. In contrast, Tesla’s Superchargers operate at a lower voltage.
Chang also mentioned that Hyundai plans to consult with Tesla to explore potential adjustments to its charging system. This collaboration aims to facilitate faster charging for Hyundai customers.
Notably, for Tesla to be eligible for a portion of the $7.5 billion in subsidies provided by the Biden administration to accelerate charger deployment in the U.S., the company must open its charging network to electric vehicles from other brands.
In addition, by welcoming a larger group of electric vehicle drivers, Tesla stands to profit from selling power. Since announcing its agreement with Ford in late May, Tesla’s shares have surged over 40%.
As of press time, Tesla (NASDAQ: TSLA) shares are down -1.47% in the pre-market trading. The shares are trading at the price of $256.71.
Jennifer Tacker is a staff writer at ABBO News. She holds a B.A. from the University of Waterloo and a B.Ed from Western University. Jennifer has been active in the stock market and crypto sector for a decade. She specializes in technical analysis and trading strategies.
