Initiative of US Automakers to Compete With Tesla In Matters of EV Charging
To compete with Tesla’s EV charging infrastructure and benefit from the subsidies provided by the Biden administration, major US automakers are creating a firm. In North America, 30,000 charging stations will be installed as part of a cooperative effort between major manufacturers, starting on highways and in urban areas.
Seven US Automakers Against Tesla
General Motors, Stellantis, Hyundai Motor, and its Kia subsidiary, Honda, BMW, and Mercedes are among the seven participating firms. These businesses account for approximately half of all car sales in the US market, which raises potential antitrust issues.
Top US automakers’ new endeavor has been hailed by the White House, according to Press Secretary Karine Jean-Pierre, who stated, “We think this is an important step forward.”New union jobs are being created for installation and maintenance as a result.”
The Biden administration has set a goal of reaching 500,000 chargers by 2030, an almost four-fold increase from the current number of 30,000 fast-charging stations in the US. With over 18,000 superchargers, Tesla has the biggest network of fast charges in the US and is responsible for over 60% of all EV sales in the US.
Tesla has set standards as a result of taking the lead in establishing EV charging stations around the nation. For instance, starting in 2025, GM, Mercedes, and other automakers will use the charging technology that Tesla is creating. GM has previously stated that gaining access to Tesla’s charging networks may result in savings of up to $4 billion.
Tesla’s North American Charging Standard (NACS), however, has not yet been adopted by other manufacturers Stellantis, Hyundai, Honda, and BMW, which instead want to utilize a different standard.
The new initiative from leading US automakers will support both charging protocols, but it will face competition from Tesla and other well-known charging businesses like EVGo and Volkswagen’s Electrify American.
