Battery giant CATL has committed to invest up to RMB 2.5 billion in NIO Energy following a strategic agreement signed in Ningde, Fujian. The partnership aims to establish the world’s largest battery swap network for passenger vehicles while standardizing industry protocols.
This alliance between CATL and NIO represents a significant vote of confidence in battery swap technology, which offers an alternative to traditional charging. The investment will accelerate NIO’s already substantial battery swap infrastructure, which currently includes 3,172 stations nationwide with nearly 1k positioned along highways, serving over 700 Chinese cities.
The collaboration won’t result in a merger of existing systems but rather a complementary “dual-network” approach. NIO’s firefly brand vehicles will adopt CATL’s “Chocolate” Battery Swap Standard in future models, creating an interoperable ecosystem that promises greater convenience for electric vehicle owners.
CATL Invests RMB 2.5B in NIO Energy
This dual-network strategy could address one of the primary challenges facing battery swap technology: standardization. By establishing common protocols, the partners aim to improve cross-brand compatibility and reduce barriers to adoption.
Both companies have committed to developing national standards for battery swap technology, which could dramatically expand the technology’s reach. NIO has already formed similar partnerships with numerous Chinese automakers including Changan, Geely, Chery, JAC, GAC, FAW, and Lotus.
The standardization push extends beyond just the physical swap stations. The partnership will establish a complete closed-loop system encompassing battery development, swap services, asset management, second-life applications, and material recycling—potentially addressing key efficiency and sustainability concerns in the EV industry.
For NIO, this deal provides substantial financial backing for their energy division while validating their early bet on battery swap technology. For CATL, the world’s largest EV battery manufacturer, it represents an opportunity to extend their influence beyond battery production into energy services.
The collaboration comes at a critical time as competition intensifies in China’s EV market. The battery swap partnership could provide both companies with a competitive advantage by offering consumers faster “refueling” options compared to traditional charging.
The RMB 2.5 billion investment will likely accelerate the expansion of NIO’s already impressive battery swap network, potentially making battery swapping a mainstream alternative to plugging in.
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