Date: June 26, 2023
Hyundai Motors has expressed its interest in joining Tesla’s extensive electric vehicle (EV) charging network, a significant development for the rapidly growing EV market. In order to accelerate its electrification efforts, Hyundai aims to spend $28 billion over the next ten years. It is also considering using Tesla’s (TSLA) charging infrastructure for all upcoming electric vehicles.
During the company’s 2023 Investor Day in Seoul Jaehoon Chang, CEO and President of Hyundai, stated “the business would consider joining the alliance of automakers adopting Tesla’s charging standard, provided that it fulfils the interests of its customers”.
It also has announced a plan to significantly increase its electric vehicle (EV) market share over the next decade. The company aims to raise its EV share to an impressive 34% by the year 2030, a substantial leap from the 8% share it currently holds in 2023.
Tesla’s Supercharger network is renowned for its widespread coverage and high-speed charging capabilities, making it an attractive choice for many electric vehicle owners. By joining forces with Tesla, Hyundai hopes to leverage this existing infrastructure and provide its customers with an expanded charging network across various regions, enabling them to travel longer distances without worrying about charging availability.
One challenge is that Hyundai’s most recent electric vehicles, such the Ioniq 5, operate at a greater voltage than Tesla’s, making it impossible for them to charge as quickly as Hyundai EV owners are used to. The CEO of Hyundai has stated that he intends to speak with Tesla about the possibility of a faster charging method becoming available. Approximately 60% of all EV charging stations in the United States are part of Tesla’s network of superchargers.
In recent weeks, Tesla has established alliances with Ford and General Motors, expanding the number of EV drivers who may use its charging network. Tesla has agreed to make 7,500 of its charging stations available to non-Tesla vehicles by the end of 2024 as part of the US administration’s $7.5 billion plan to build 5,00,000 electric vehicle chargers on US highways by 2030.