Beijing Automotive Group (BAIC Group) and CATL have signed an agreement to expand their battery-swapping partnership, covering compatible vehicle development, infrastructure deployment and battery-related services across China.
The agreement includes vehicle and battery development, battery swap station construction, energy services and new business models, BAIC said in a statement on Thursday.
Under the deal, BAIC will connect compatible models across multiple brands to CATL’s Choco battery-swapping network. The companies also plan to jointly develop public energy replenishment infrastructure nationwide.
Dealer Network to Support Swap Station Deployment
BAIC will open its dealership network to support CATL’s rollout of battery swap stations near dealerships. The partners will work with dealers to explore joint station development and operation, potentially expanding the network’s reach through existing automotive retail locations.
The companies also intend to consolidate battery-swapping assets under specialized management, improve operational efficiency through a division of responsibilities, and promote standardized swapping systems and interoperable networks.
BAIC said the partners aim to establish China’s first mature battery-swapping ecosystem capable of serving vehicles on a scale of millions. The announcement did not specify a deployment timetable, the number of planned stations or which additional models would join the network.
Partnership Builds on Existing Arcfox Models
The expanded agreement follows an earlier collaboration signed by BAIC and CATL in June 2024. That deal covered battery swap-compatible vehicles, battery block development and battery data management.
BAIC’s electric vehicle brand Arcfox has already introduced models using CATL’s swapping technology. The Arcfox Beta S3, launched on May 22, features a battery-swapping version based on CATL’s Choco-SEB solution and offers a battery rental option.
A battery-swapping version of the Arcfox Beta T1 also appeared in a vehicle filing catalogue published by China’s Ministry of Industry and Information Technology in August. The filing indicated that the vehicle and its battery could be sold separately.
Expanding the number of compatible models could help CATL increase utilization of its swapping infrastructure. Battery swapping allows drivers to exchange a depleted battery for a charged one, while battery rental and energy replenishment services can provide recurring revenue for operators.
However, the model requires sufficient vehicle demand to support the investment and operating costs associated with building and maintaining swap stations.
CATL Adds Another Partner to Its Choco Ecosystem
The BAIC agreement follows another partnership announcement involving CATL. On October 19, Newcool, the intelligent automotive technology company associated with Huawei and also known as Yinwang, announced that it had joined CATL’s Choco battery-swapping ecosystem.
The collaboration is intended to make vehicles equipped with Huawei’s Qiankun intelligent automotive solutions compatible with CATL’s swapping network. It also aims to connect data and services across vehicles, swap stations and cloud systems.
BAIC is already a Huawei automotive partner. The two companies jointly developed Stelato, a brand within the Harmony Intelligent Mobility Alliance (HIMA).
The addition of partners across different automotive brands could broaden the range of vehicles using CATL’s infrastructure and support a shared network rather than separate, manufacturer-specific systems.
CATL Targets 30,000 Swap Stations
CATL reported that it had built 2,520 battery swap stations across 200 Chinese cities as of September 29. The company has set a longer-term target of expanding its network to 30,000 stations.
It also plans to build 1,000 highway battery swap stations during 2026 and 2027, extending coverage beyond urban areas and supporting long-distance travel.
The expanded BAIC partnership could contribute to that growth by combining vehicle development with access to dealership locations and shared infrastructure planning. The pace of expansion will depend on the rollout of compatible models, station deployment and the ability to attract enough users to support the network’s operating economics.