Tesla Motors strikes a deal to build 400 charging stations in China
Tesla Motors is backing up its commitment to China with a new deal to set up 400 new charging stations across the country. China has become a vital market for global automakers, and a lack of charging stations has hampered electric car sales for Tesla and other electric carmakers thus far.
A Tesla model S car with an electric vehicle charging station on display during a media preview day at the Frankfurt Motor Show last year. Tesla has committed to building 400 electric car charging stations in China, where plugin sales have been hampered by a lack of charging options.
Kai Pfaffenbach/Reuters/File
The Chinese market has become vital for many global automakers.
For some, it's a haven of high sales numbers to offset struggles in markets like the U.S. and Europe. To others, like Tesla Motors [NSDQ:TSLA], it's a way to promote your product to a vast and growing marketplace.
Tesla has made a big听听to China and is backing that up with a new deal to set up 400 new charging stations across the country.
According to听, Tesla is working with China Unicom, the country's second-largest mobile communications carrier, to build 400 charging points across 120 cities at China Unicom outlets.
In addition, the automaker has plans for another 20 Supercharger fast-charge stations for China's growing base of Model S owners.
Charging is proving to be an early sticking point for electric听听buyers in China, the country relatively under-supplied to meet potential demand.
There's also听听in the country. There is no communication standard in use, meaning that even if someone has the right connector--and there's no guarantee of that with no connection standard either--their听听may not be compatible.
Some have taken the charging issue into their own hands. In July, a Model S-owning businessman named听Zong Yi听听along a 3,750-mile route from听Beijing to Guangzhou.
Zong听used social media to choose the best locations for each station and queried property owners about installation along the route--close to hotels and free parking sites.
Those 16 stations will be usable by any听, and Tesla's non-Supercharger stations will be too--though only Tesla owners will be able to charge for free.
Tesla isn't the first automaker to set up a charging network in the country however. Back in May,听听to set up a network of chargers with power company State Grid.
The German firm says China听"will become the largest market for [electromobility] in a few years" and intends to make the most of potential demand early on.
For Chinese buyers, the input of electric automakers can only improve the prospect of running a plug-in vehicle in the country.