Volvo joins the ranks of car manufacturers with Superchargers
Swedish carmakerVolvo has agreed with Tesla to use its Supercharger network in the US, Canada and Mexico. It becomes the first European carmaker to take this step, joining Ford, General Motors and Rivian with a design adapted to Tesla chargers. Volvo will also provide an adapter for drivers using the combined CSS charging method. The Supercharger network is becoming very popular, accounting for approximately 60% of available fast chargers in the United States, according to the Department of Energy. Additionally, the government is offering $7.5 billion to accelerate the rollout of chargers in the United States, which is great news for electric vehicle manufacturers as an increasingly stable environment is created for their sector.
Governments are working towards a future with a vast network of chargers
Washington state plans to mandate electric car charging companies to use the Tesla plug using federal funding.This follows the example of Texas, which supports Elon Musk with the idea of introducing the North American Charging Standard (NACS) as a national technology. With this move, they departed from President Biden's vision of using the combined CSS charging method across the board. Tonia Buell, head of the alternative fuels program at the Washington State Department of Transportation, emphasizes the need to adapt to as many EV brands and models as possible. Washington wants to put pressure on other states to adopt a similar regulation on the issue of joint charging of electric vehicles. According to the National Renewable Energy Laboratory (NREL), the United States could create a network of 1.2 million public chargers by 2030. As for the prediction of the Biden administration's goal of having a working network of chargers by 2030, their limit is only around half a million devices. Public and private investments for this purpose are estimated at 33 to 55 billion USD. According to the White House, charging stations using Tesla-standard connectors along with American Charging Standard (CCS) connections will be eligible for multibillion-dollar federal subsidies.
Tesla's stock performance over the past five years. (Source Google)*
For the year, Tesla's stock has managed to rise more than 131%, which is a significant rebound compared to last year's performance of -65.03%. Its positive growth was mainly helped by the agreements on the adoption of a common design of chargers and the use of the Supercharger network, easier access to the Chinese market, as well as the fact that the Model Y is the best-selling electric vehicle in the world this year.* Tesla's prospects are bright in the coming months, as more carmakers could join the group using its Supercharger network. [1]
Sales in China beat expectations
Analysts expect Tesla to have another record quarter for sales in China and outperform the competition in the form of domestic carmakers. From April to June, sales in China could reach 155,000 vehicles, which is a 13% increase compared to the previous quarter. The total number of units sold could be around 448 thousand. Tesla's competitors, such as BYD, have an advantage over it thanks to a built-up dealer network across the country, so Tesla should focus on expanding its own branches in smaller cities in the future, as China is the company's second largest market. To support the trend in increased sales, Tesla plans to launch upgraded versions of its Model 3 and Model Y vehicles and is working with the government to bring its self-driving car to the Chinese market. In addition, the Shanghai plant has reached an annual production capacity of more than 1 million units, giving it a favorable basis to perform better in the Chinese region.
* Past performance is no guarantee of future results
[1]Forward-looking statements are based on assumptions and current expectations, which may be inaccurate, or on the current economic environment, which may change. Such statements are not guarantees of future performance. They involve risks and other uncertainties that are difficult to predict. Results may differ materially from those expressed or implied by any forward-looking statements.
