As a global leader in the field of power batteries, CATL recently plans to introduce its battery swapping technology and battery recycling solutions to the European market, which has attracted great attention from the industry. With the accelerated popularization of new energy vehicles around the world, battery swapping, as a high-efficiency energy supplement method, is of more and more significance for its global promotion. CATL's move is not only an important part of the company's internationalization strategy, but also has the potential to reshape the infrastructure landscape of electric mobility in Europe.
Ⅰ The multiple values of battery swapping technology: from efficiency to sustainability
Battery-as-a-Service (BaaS) is based on the business model of "separating the battery from the vehicle", which has multiple advantages such as shortening the energy replenishment time, reducing the cost of vehicle purchase, extending the battery life, and facilitating recycling management.
First of all, the significant improvement of energy charging efficiency is its core selling point. In battery swapping stations, the entire battery swapping process can be completed in 3–5 minutes, which is much faster than DC fast charging mode, especially in high-frequency use scenarios such as public transportation, taxis, and shared mobility. NIO's battery swap stations currently operating in Europe have already demonstrated the adaptability of this model: it has deployed nearly 30 battery swap stations in Germany, Norway and the Netherlands, and plans to expand to more than 120 by 2025.
Second, the BaaS model lowers the initial purchase threshold for electric vehicles. Taking NIO as an example, European consumers can choose the "vehicle-electricity separation" solution, which allows car owners to enjoy battery swapping services without purchasing batteries and only paying a monthly subscription fee. This model is attractive to the European market, where the cost of batteries typically accounts for 30%-50% of the cost of the vehicle.
In addition, centralized battery management can effectively improve battery efficiency and safety. Through standardized, modular battery swap packages and unified charging strategy management, battery swap operators can monitor the health status of batteries in real time, extend the battery life cycle, and facilitate the implementation of later cascade utilization and environmental recycling, helping to establish a circular economy system.
Ⅱ CATL's battery swap technology layout: from "chocolate" to heavy trucks
In recent years, CATL has continuously increased its battery swapping technology, and its core technologies include the standardized battery module "Chocolate Battery Swap Block", which is highly versatile and compatible with a variety of vehicle platforms, and is suitable for passenger cars, commercial vehicles, taxis and other scenarios. Different from NIO's highly vertically integrated battery swap system, CATL focuses on "open platform + ecological co-construction", and has established the "Chocolate Battery Swap Ecological Alliance" with more than 100 vehicle and energy companies to jointly promote the formulation of battery swap standards and the implementation of the system.
In the field of heavy-duty vehicles, CATL's "Qiji Battery Swap" solution adopts an integrated battery swap system for the new energy heavy-duty truck market, which significantly reduces the energy replenishment time and energy consumption of heavy-duty trucks and improves operational efficiency. This solution has been implemented in many port logistics parks in China, and has the potential to be replicated and promoted to overseas markets.
CATL's investment in technology research and development has also provided solid support for its battery swap system. In 2023, its R&D expenditure will reach 18.356 billion yuan, accounting for more than 8% of revenue, and the cumulative total R&D investment in five years will exceed 50 billion yuan, showing a long-term innovation-driven strategic direction.
Picture: CATL's chocolate battery swap
Ⅲ The European market: a blue ocean, but also a hurdle
The European new energy vehicle market has entered a period of rapid growth, with European electric vehicle sales reaching 2.67 million units in 2023, with a market share of more than 20%. However, practical problems such as the lag in the construction of charging piles and the tight load of the power grid are forcing the exploration of alternative energy supplements.
CATL's entry into the European battery swap market has three first-mover advantages:
1. Leading ability of technical standards: its modular battery pack can be adapted to multi-vehicle platforms, and has the potential to promote the standardization of battery swapping in the European market;
2. Manufacturing and operation synergy: As a major EV battery supplier, CATL can optimize battery performance and battery swap efficiency through software and hardware collaboration.
3. Capital and ecological alliance support: CATL plans to build 10,000 battery swap stations in the next three years by raising funds through its listing in Hong Kong, an experience that could provide a paradigm for replication in Europe.
But the challenges should not be overlooked:
* Policy and regulatory barriers: EU countries have different energy policies and foreign investment access rules, and if localized restrictions are implemented in the future, the layout of battery swap stations will be affected;
* High labor and land costs: The labor and civil construction costs for local construction, operation and maintenance of battery swap stations in Europe are much higher than those in China;
* Local automakers compete with charging alliances: Volkswagen, Stellantis, Renault and other automakers are more inclined to invest in fast-charging networks, such as IONITY and PowerCo, and are less receptive to battery swapping in the short term.
Ⅳ Possibility of integration with the traditional European energy mix
If CATL wants to successfully implement the battery swap model in Europe, it must build an extensive local cooperation network. This includes establishing strategic alliances with traditional energy giants (such as Shell and TotalEnergies), local power companies, car companies, and local governments to build a complete ecological chain such as power dispatching, standard compatibility, and battery recycling.
For example, its battery plant in Spain, which is expected to start production in 2026, is a joint venture with Stellantis, which could serve as a production and repair center for battery-swapping batteries in the future. By binding with mainstream car companies and shared mobility platforms (such as Free2move), CATL can accelerate the process of European localization and adaptation of battery-swapped models.
Ⅴ Global Impact: Battery Swap Mode Goes Mainstream?
CATL's deployment in Europe is not only a commercial action, but also an important embodiment of the division of labor and upgrading of the global new energy vehicle industry chain. It may promote the resurgence of battery swap mode on a global scale, posing a challenge to the original energy supplement system with fast charging as the core. Other power battery companies such as BYD and Gotion Hi-Tech are also paying attention to the evolution of this technology and business model innovation.
From a macro perspective, battery swapping can achieve centralized charging and load management, which is conducive to the integration and utilization of renewable energy. At the same time, through battery life management and cascade recycling, it will help build a greener and more recyclable power battery industry system, which is in line with Europe's "Green New Deal" and carbon neutrality strategy.
Ⅵ Conclusion: The boundary between opportunity and risk
CATL's global expansion in the battery swap field is a key part of its transformation from a power battery manufacturer to an energy ecosystem service provider. In the face of the complex European market environment, whether it can replicate China's experience and reshape the energy supplement pattern will directly affect the development direction of global new energy technology.
If successful, it will not only strengthen China's voice in the global new energy technology standard system, but also provide a new operating paradigm for global electric mobility. Regardless of the outcome, this step of CATL has carved a profound Chinese imprint in the coordinate system of the global new energy industry.
