The Chinese market saw shares of charging equipment ride Monday, immediately after Tesla announced it was building a network of charging stations across the country.
The leader of the pack was Shenzhen-listed Zhejiang Wanma Cable Co Ltd., which soared to the daily limit of 10 percent, while Shanghai Potevio Co Ltd. of Shanghai grew 9.97 percent.
Guotai Junan Securities analyst Zhao Huan told the Beijing Times that companies dealing with electric car-related products like charging facilities will ride the wave of success thanks to Tesla’s gangbusters approach to business in China.
Tesla CEO Elon Musk is expected in China Saturday to meet with the Sinopec Group about building charging stations in gas stations that are expected in Beijing, Shanghai, Hangzhou, Guangzhou, Shenzhen and Chengdu by the summer of 2014.
Zhao said Tesla is really excited about breaking out in the Chinese marketplace, and that companies involved should anticipate an upswing in demand.
“Investors are advised to continue paying close attention to related stocks,” he said.
Musk will also attend the opening ceremony of the 2014 Beijing International Automotive Exhibition Sunday, Securities Times newspaper reported Monday.