China’s EV upstart Nio turns on electricity switching station in Sweden • TechCrunch
The electric car startup Nio is accelerating its expansion in Europe. The premium EV maker has just launched its first power exchange station in Varberg, Sweden, the company said in a LinkedIn post.
When it comes to charging, Nio differs from its competitors through offers replaceable batteries, which are upgradeable and charge a monthly subscription fee, in addition to the traditional plug-and-charge model. In its home market of China, Nio’s battery replacement system is popping up around trendy malls and office buildings, taking the new concept to a noticeable scale. From November 6, the company had installed 1,200 of these exchange stations across China. The idea is to make it possible to charge electric cars as quickly as refueling a petrol car.
The company said on its earnings call in November that it planned to install 20 power swapping stations across Europe by the end of 2022 and increase the number to 100 by next year.
Nio began expanding in Europe last year, starting in Norway, which has been aggressive in pushing EV adoption. Xpeng, Nio’s Chinese rival, too chose Norway as the first stop in its European expansion.
Nio faces an uphill battle in a crowded car market in Europe, but it appears determined to grow its presence on the continent. Led by the charismatic, English-speaking serial entrepreneur William Li, Nio hosted a spectacular launch event in Berlin, which marked its official market entry in Germany, the Netherlands, Denmark and Sweden.
The company started by offering leasing-only for its models in all European countries except Norway but shortly added the option for customers to buy the vehicles after initial market feedback.
It is also increasing its operational footprint in Europe, with an R&D center in Berlin to work on “localized development and deployment of digital cockpits and to continuously improve the intelligent digital experience for local users,” Li said on the earnings call. The automaker now operates “Nine houses‘, which are essentially product showrooms and customer clubs, in ten major European cities.
Nio, possibly in a move to diversify its supply chains from China, recently began manufacturing products including its power exchange facilities from Hungary and sent its first Hungarian-made exchange station to Germany in September.