It’s a great day for Tesla (NASDAQ:TSLA) today. South Korean automaker Hyundai (OTCMKTS:HYMTF) just announced that it would begin utilizing the Tesla charging port, otherwise known as the North American Charging Standard (NACS), starting in Q4 of 2024. Kia and Genesis, two brands under the Hyundai umbrella, will also be equipped with Tesla charging ports starting in the same period.
Hyundai joins a substantial list of legacy automotive companies that have agreed to use Tesla’s charging port. That list includes Ford (NYSE:F), General Motors (NYSE:GM), Mercedes Benz (OTCMKTS:MBGYY) and Honda (NYSE:HMC).
“Counted together, Hyundai, Kia and Genesis would be the second-best-selling EV manufacturer in the United States after Tesla, according to figures from Kelley Blue Book,” said CNN Business. “The three brands together sold 37,800 EVs in the first half of 2023. (Tesla sold more than 330,000 in that period.)”
TSLA Stock: Hyundai Pledges to Utilize Tesla Charging Ports
In 2025, Hyundai plans on providing owners of old Hyundai models with Tesla charging adapters. This will provide accessibility on top of the existing Combined Charging System ports that these vehicles are equipped with.
Tesla’s charging network was a proprietary feature until CEO Elon Musk announced last year that it would begin opening it up to other automotive companies. Tesla has reiterated that its charging network is superior to its competitors. It boasted a Supercharger uptime of 99.5% last year and 99.6% in 2021.
Hyundai and its brands offers a wide range of electric vehicles (EVs) in the U.S., including the Ioniq 5, Ioniq 6, EV6, and electric versions of the G70 and G80. The company’s status as an EV leader will undoubtedly be beneficial to Tesla’s charging operations.
“This new alliance will provide Hyundai EV owners confidence in their ability to conveniently charge their vehicles and complements our joint venture company to create a new, high-powered charging network with at least 30,000 stations across North America,” said José Muñoz, CEO of Hyundai Motor North America.
With all of these automotive companies hopping on board the Tesla charging standard, Tesla’s argument that it should have access to federal funds to support its charging network is growing stronger by the day.
On the date of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
