HOME > News

Will North American Charging Standard Impact Its Strategic Development? Delta: Comprehensive Technology Enables Swift Adaptation to Changes

published: 2023-06-28 16:42

Delta has been investing in the EV sector for 15 years. Recently, its efforts have borne fruit, as the EV business achieved breakeven in the fourth quarter of 2022 and is expected to turn a profit this year. However, a report from JPMorgan Chase indicates that the future adoption of the North American Charging Standard (NACS) could potentially impact Delta’s EV charging infrastructure. In response, Delta has stated that its EV charging technology is versatile and capable of swiftly adapting to industry changes.

Tesla’s EV charging technology, namely the NACS, may become the standard in the United States. Currently, both General Motors and Ford have already adopted this charging specification, and the three major EV brands in North America have reached a consensus on charging hardware standards. In the future, over three-fifths of EVs in North America are expected to utilize the same charging system standard.

Regarding the adoption of a common standard, Delta’s Chairman, Yancey Hai, expressed his support during a shareholder meeting. He emphasized that with the rapid growth of the EV market and the existence of various specifications such as the US, European, and Chinese regulations, having more shared standards would facilitate market expansion. A common standard for the entire EV market, similar to the Type C standard, is highly anticipated.

However, JPMorgan Chase indicated that Delta’s 3% revenue comes from EV chargers, with the primary markets being the United States and Europe. Delta’s main focus lies in value-added ODM products such as fast chargers and DC chargers, rather than supplying EV charging piles to Tesla.

The report suggested that if the NACS supercharging network expands and charging pile designs become standardized, it could potentially impact Delta’s market share and long-term revenue growth in the EV charging infrastructure sector.

In response, Delta stated that in the long run, specification integration will promote overall industry development. The company reiterated that its EV charging technology is comprehensive and capable of adapting quickly to changes in mainstream charging standards. Furthermore, Delta has ample experience in developing products that are compatible with various charging specifications, allowing it to provide high-value solutions that meet customer requirements.

The report also highlights that EV components remain a key business for Delta, accounting for approximately 10% of total revenue. Currently, Delta is actively expanding its presence in the North American EV market. They have entered into a strategic partnership with EVgo, a US EV charging station operator, and have also purchased land and facilities in Plano, Texas, to establish new production capacity in Europe and the Americas.

 (Photo credit: Unsplash)

announcements add announcements     mail print

U.S. to impose tariffs on China starting Aug. 1

published: 2024-05-24 17:27  |  tags:

LONGi Launches Hi-MO X6 Max Product Family

published: 2024-05-24 17:24  |  tags: ,