Shanghai becomes magnet for new energy, smart car producers

The city of Shanghai in East China has emerged as a hotspot for new energy and smart car manufacturers in response to its open and inclusive environment, according to a recent meeting hosted by the Shanghai Investment Promotion Service Center.

The event invited representatives from 12 car companies – including Tesla, NIO, Jidu and others – to share their plans for expanding research and development, manufacturing, testing, sales and service centers in Shanghai.

Kang Kai, general manager of NIO Shanghai Company, said that infrastructure layout must be ahead of user growth. Currently, NIO has built 1,313 battery swapping stations nationwide, with 8 percent of them in Shanghai. The company has set itself the goal of doubling its infrastructure construction – including battery swapping stations and charging piles – this year.

In 2022, BYD sold 1.84 million passenger cars in total, ranking first in global new energy vehicle sales. In Shanghai, BYD has established an R&D center, a modeling design center, a regional sales headquarters and a battery trial production center.

At present, BYD is considering further increasing its R&D layout in Shanghai by taking advantage of the city's efficient workforce and its industrial supply chain advantages.

According to official data, Shanghai's new energy vehicle output reached 990,000 units last year, accounting for about 14 percent of China's total.

By 2025, Shanghai aims to achieve two "trillion yuan ($144.95 billion)" goals for manufacturing and service sectors of the automobile industry.