HANGZHOU, Sept. 28 (Xinhua) -- Chinese automaker Zhejiang Geely Holding Group Co., Ltd. said on Monday that it had entered into a comprehensive strategic cooperation agreement with NIO Holding Co., Ltd. on charging and battery swapping.
Under the agreement, the two sides will deepen cooperation across technology, operations and capital, jointly invest in their charging and battery swapping businesses, share technologies and standards, and develop a shared service network, Geely said in a statement.
In the battery swapping business, Geely will acquire a 30-percent stake in NIO Power, NIO's battery-swapping and charging unit, by contributing 100 percent of its equity in Yiyi Power, a Geely subsidiary, and 640 million yuan (about 95 million U.S. dollars) in cash.
Yiyi Power's battery swapping business for commercial mobility services will subsequently be integrated into NIO Power.
In regards to the smart charging business, NIO will acquire a 10-percent stake in Haohan Energy, a subsidiary of Geely. The two companies will fully connect their charging infrastructure, jointly expanding coverage and improving the operational efficiency of their charging networks, the statement said.
Earlier this month, China released a five-year plan for developing the intelligent connected new energy vehicle (NEV) industry, aiming for new energy passenger vehicles and commercial vehicles to account for 70 percent and 40 percent, respectively, of new vehicle sales in their respective domestic markets by 2030.
Vehicles equipped with automated driving functions are also expected to achieve large-scale application, with further progress in key technologies, industrial structure, internationalization and the industry's economic and social benefits, according to the plan.
China's NEV sales in August accounted for a record 60.6 percent of the monthly new car sales, industry data showed. NEV output and sales reached over 1.65 million and 1.64 million units in the period, respectively, both up nearly 20 percent year on year. ■
