Biden Push for EV Charging Could Boost Tesla Rivals: Analyst
Earlier this week, the Biden administration expressed its support for a bipartisan Senate bill that, once passed, would allocate $1.2 trillion USD for infrastructure projects, including $7.5 billion USD to be spent on electric vehicle (EV) infrastructure projects.
According to Reuters, the U.S. President’s plans to expedite the development of EV infrastructure in the country may end up benefiting Tesla’s competition significantly more than they do the EV pioneer.
A study from Cox Automotive concluded that Americans hesitate to purchase EVs due to a mix of concerns regarding range, high sticker prices, and lackluster charging infrastructure.
EV manufacturers have got the range issue covered, and it looks like the Biden administration plans on doing all it can to lower EV prices and strengthen charging infrastructure in the U.S. to improve EV adoption across the country.
However, Tesla has been deploying its own charging network for years now, so the U.S. government’s investment in EV charging infrastructure will prove to be more of a boon for competitors like General Motors and Ford, who are more focused on getting EVs on assembly lines than they are on building their own charging networks from scratch.
“It’s necessary for the consumers to get better infrastructure to buy EVs and it might be good for General Motors and Ford as well as Stellantis,” said Frank Schwope, automotive analyst at NORD/LB.
Tesla CEO Elon Musk wasn’t wrong to be “super fired up” for Biden’s plans to boost EV adoption, though — as a whole, government investment in EV charging will get more people to buy electric, and Tesla will be sure to carve up a nice big piece of those increased sales for itself.