NEW YORK, Jan 7, 2026, 09:45 (EST) — Regular session
- NIO shares were up 0.2% in early trade, after a five-year cooperation deal with battery giant CATL was announced
- NIO marked production of its 1,000,000th vehicle in Hefei and outlined new growth and infrastructure targets
- Investors are watching for proof battery swapping can scale without worsening costs in a cutthroat China EV market
NIO Inc shares were up 0.2% at $4.79 in early New York trading on Wednesday after battery maker CATL said it had signed a five-year cooperation agreement with the Chinese electric-vehicle maker. U.S.-listed peers XPeng and Li Auto were down, while Tesla slipped slightly. 1
The pact puts attention back on battery swapping — replacing a drained battery with a charged one in minutes — a differentiator for NIO that also demands heavy spending. With China’s EV market still grinding through price pressure, investors are looking for clean evidence that convenience can also mean better economics.
NIO also used a ceremony in Hefei on Tuesday to mark its 1,000,000th mass-produced vehicle and to set out fresh targets for growth and infrastructure. “1 million units is a new starting point,” founder and CEO William Li said, as the company outlined plans to sustain 40%–50% annual growth and exceed 10,000 charging and battery-swap stations each by 2030. 2
The company said it donated the milestone vehicle — an all-new ES8 — to the Micius Quantum Foundation in Anhui and unveiled an ET9 “Milestone Edition” at the event. It also signed agreements with Chery Automobile and JAC Motors and a vehicle-chip industrialization partnership with Lontium Semiconductor, it said. 3
CATL said the partnership will focus on joint development of longer-life batteries and battery-swap compatibility technology, and on pushing battery-swap standards and resource sharing. The two companies also flagged deeper work on BaaS, or Battery-as-a-Service, which lets buyers separate the battery cost from the vehicle purchase. 4
For equity holders, the promise is straightforward: a bigger swap network, more durable batteries and common standards could reduce friction for drivers and, over time, lower costs per swap. The hard part is timing — and whether NIO can keep spending while it tries to widen margins.
NIO’s U.S.-listed shares fell 1.65% on Tuesday to close at $4.78, leaving them about 40% below their 52-week high, MarketWatch data showed.
But the CATL tie-up does not spell out financial terms or when new battery tech will show up in mass-market models. If China’s EV price war intensifies again, or if swap utilisation fails to keep up with buildout, the stock can still take the hit.
