Source: NIO

Shanghai will begin subsidizing battery swap station construction starting April 1, providing 40% equipment investment subsidies, excluding batteries, for general-purpose, brand-agnostic battery swap stations for a duration of five years. The city follows Hefei in extending support to the battery swap model.

Shanghai, home to NIO's global headquarters, announced the new policy aimed at promoting the construction of battery swap stations and charging facilities.

Source: NIO

The eastern Chinese city will offer a 40% equipment investment subsidy for general-purpose battery swap stations, which support multiple brands and models, excluding battery equipment. For non-general-purpose swap stations, the subsidy rate will be 20%.

Additionally, Shanghai will provide power subsidies for battery swap stations, capped at RMB 600 ($83) per kW for general-purpose stations and RMB 300 per kW for non-general-purpose stations.

The city also introduces incentives for the taxi industry, with taxi drivers using battery swap-enabled vehicles eligible for a monthly subsidy of up to RMB 200, provided the vehicles primarily utilize battery swap stations for energy replenishment. This subsidy is valid only for 2025.

This marks the first time in recent years that Shanghai has introduced significant subsidies for battery swap facilities, making it the second local government this month to support the sector.

On March 6, Hefei, Anhui province—where NIO's two factories are located—announced a purchase subsidy of up to RMB 10,000 for battery swap-enabled models.

Though details were scarce in the announcement from the Hefei Economic and Technological Development Zone, the policy is widely believed to be focused on supporting NIO.

NIO remains the only automaker providing large-scale battery swap services to general consumers, with its swap stations available for NIO's main brand, sub-brand Onvo, and the upcoming Firefly models.

While other car companies, such as GAC Aion, have introduced battery swap models, the construction of swap stations has been slow.

In January, an automotive blogger revealed that Chery's Exeed brand is collaborating with NIO to develop battery swap-enabled models, expected to launch in the third quarter of 2025.

CATL is also entering the battery swap business, primarily serving the taxi market.

According to data, NIO currently operates 3,154 battery swap stations in China, with Shanghai hosting the most at 183.

NIO founder William Li revealed in a February 8 Douyin (Tiktok Chinese version) live broadcast that Shanghai's swap stations are approaching breakeven.

NIO's Vice President of Energy Business, Shen Fei, mentioned that the city's daily battery swap volume has surpassed 9,000 and is approaching the 10,000 mark.

William emphasized that 2025 will be a critical year for NIO's battery swap network expansion, aiming to provide a "gas-station-like" convenience for users of NIO, Onvo, and partner brands.