U Power Limited Partners with SUSCO to Revolutionize Thailand's Electric Vehicle Infrastructure

In a groundbreaking announcement, U Power Limited (NASDAQ: UCAR), a prominent player in the rapid battery swapping sector for electric vehicles (EVs), has joined forces with SUSCO Public Company Limited, a well-established energy provider in Thailand, to facilitate the country's ambitious electric vehicle infrastructure expansion. This partnership aims to meet the rising demand for electric mobility solutions in Thailand, as the government pushes for an expanded EV market.

Strategic Joint Venture

The partnership was formalized with the signing of a joint venture agreement between U Power’s subsidiary, U SWAP, and SUSCO. The collaboration seeks to introduce U Power's cutting-edge UOTTA battery-swapping technology across SUSCO's extensive network of fueling stations throughout Thailand. This initiative positions U Power as a pioneer in the commercial EV battery-swapping market within the region.

Li Jia, U Power's Chairman and CEO, emphasized the strategic significance of this partnership, stating, "This joint venture represents a significant milestone in U Power's global expansion strategy, particularly in Southeast Asia. Thailand's ambitious EV targets make our partnership with SUSCO timely and strategically important."

Enhancing EV Infrastructure with UOTTA Technology

SUSCO, known for its extensive network of service stations, aims to incorporate U Power’s battery-swapping capabilities into its current infrastructure. This integration is intended to cater to the burgeoning demand for efficient energy solutions for EVs, particularly for commercial vehicle fleets such as taxis and ride-sharing services. By utilizing UOTTA technology, the joint venture strives to create a rapid and efficient energy solution that enhances operational efficiency by minimizing downtime for vehicles.

The partnership directly supports Thailand's ambitious goal of having 30% of new vehicle sales be electric by 2030. As the government promotes infrastructure development through incentives, the joint venture's initiatives will contribute to establishing a substantial network of battery-swapping stations across the nation.

Support from Prominent Investors

Backing this venture is Chatchaval Jiaravanon, a significant figure in the Charoen Pokphand Group (CP Group), who has personally invested in the initiative. Jiaravanon, who also leads Charoen Energy and Water Asia, expressed confidence in this partnership’s potential for profitability and growth within Thailand’s electric transportation sector. His investment is expected to enable accelerated development for U SWAP and leverage his established connections in the business community.

Addressing Market Demand and Business Opportunities

Thailand has a large fleet of taxis and ride-hailing services, totaling over 300,000 vehicles, which presents an ideal market for battery swapping technology. With the challenges posed by lengthy charging times, U Power and SUSCO’s partnership aims to directly address these concerns, ultimately enhancing profitability and expediting the transition to electric vehicles.

Li Jia stated, "Thailand is entering a transformative period in electric mobility, and our partnership with SUSCO positions U Power at the forefront of this exciting transition. Our goal is not only to enhance Thailand's green transportation infrastructure but also to create a scalable model applicable to other markets in Southeast Asia."

About SUSCO

SUSCO Public Company Limited has been a pivotal player in Thailand's energy market since its establishment in 1981. The company operates a wide-ranging network of service stations and is committed to innovation and sustainability. With recent initiatives exploring avenues in electric vehicle charging and alternative fuel technologies, SUSCO's collaboration with U Power aligns seamlessly with its vision for the future of energy solutions.

About U Power Limited

U Power Limited, established in 2013, is committed to innovating the EV market with its proprietary UOTTA battery-swapping technology. Following its aim to expand its vehicle sourcing and EV solutions, U Power has developed a well-connected network in lower-tier cities in China and maintains a manufacturing facility in Shandong Province.

As the electric vehicle sector continues to grow, partnerships like U Power and SUSCO's showcase a collaborative approach to building the necessary infrastructure for a sustainable and economically viable future.