German automaker Volkswagen is mulling over the possibility of adopting Tesla's North American Charging Standard (NACS) technology. The company's EV charging network unit, Electrify America, has already committed to utilizing the system. The move follows recent trends in the industry, as many automakers and charging equipment manufacturers have elected to use Tesla's NACS charging design.
Concerns regarding market share and customer preference have sparked this shift away from the Combined Charging System (CCS) design. Previously favored by several carmakers, including Volkswagen and Hyundai, the CCS design seems to be falling out of favor. Giants such as Ford, General Motors, and ChargePoint are some of the significant industry players that have recently opted for Tesla's charging design.
Volkswagen Group and its associated brands are actively assessing the implementation of Tesla's NACS for their North American clientele. This potential transition comes amidst Electrify America's expansion. With over 850 charging stations, boasting about 4,000 chargers across the United States and Canada, the charging network will continue to offer the CCS connector during the transition phase.
The industry's shift toward NACS technology has been further fueled by the Biden administration's efforts to expand charging networks through significant subsidies. Tesla has reciprocated by incorporating CCS at some of its U.S. charging stations. Today, Tesla's Superchargers account for approximately 60% of the total number of fast chargers in the U.S., according to the Department of Energy.
Other vehicle manufacturers including Volkswagen, Audi, Porsche, and the upcoming Scout brand are reportedly considering the adoption of NACS in their North American electric vehicles. In related news, Swedish electric vehicle maker, Polestar, has already struck a deal with Tesla, ensuring access to Tesla's charging network for its customers in the U.S. and Canada.
The NACS charging connector has demonstrated its capability to handle high-voltage battery systems (up to 800-1,000 volts) with a power output of up to one megawatt. However, Tesla's current Superchargers only offer 500 V, restricting high-voltage battery vehicles from maximizing their fast charging capabilities. This has understandably caused hesitation among manufacturers like Lucid and Hyundai Motor Group and within Volkswagen Group's Audi and Porsche brands.
The future adoption of NACS by these automakers will largely depend on the timely launch of NACS-compatible, high-voltage chargers. The industry believes that if this type of charger is launched within the next two years, the transition could begin by 2025, alleviating any potential delays and uncertainties in the EV charging industry. The shift towards the Tesla charging design will further solidify the standardization of charging across North America, making it easier for consumers to navigate and use EV infrastructure.
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