U Power Limited (Nasdaq: UCAR) (the “Company” or “U Power”), a provider of comprehensive electric vehicle (“EV”) battery-swapping solutions with a vision of becoming a smart energy grid solutions provider, today announced that on June 20, 2025 it hosted an inauguration ceremony of its first operational demonstration smart battery-swapping station for EVs in Kwai Chung area in Hong Kong. This station marks Hong Kong’s first smart battery-swapping station, a zero-carbon swapping station, to be connected to a Battery-Bank. As part of this business model, U Power is also introducing Battery-Token, an innovative solution using Web 3.0 blockchain and token-based economics.

U Power’s plan of constructing and installing a total of 55 smart battery-swapping stations for EVs in Hong Kong aims to create a battery-swap ecosystem able of transforming Hong Kong’s fleet of 18,000 taxis into greener EVs and promote sustainable and efficient urban transportation. This ecosystem of smart battery-swapping stations will also be able to support a wide range of EV types such as four-wheeled commercial cars, electric buses, in addition to Hong Kong’s ferry terminal.

U Power’s plan to create an ecosystem of 55 smart battery-swapping stations, is designed using a replicable zero-carbon transportation model for high-density cities, and aligns well with Hong Kong’s zero-emission vision as it offers three innovative solutions for:

Intelligent Battery Swapping: U POWER’s self-developed UOTTA™ Intelligent Battery-Swapping System which offers automatic, fast and cost-efficient battery swapping services.

Green and Sustainable EV Operations: As per the Memorandum of Understanding (“MOU”) signed during the inauguration ceremony, U Power will cooperate with the Hong Kong Taxi Drivers & Operators Association to promote the electrification of taxis in Hong Kong and the adoption of the battery swapping model, ensuring maximum battery safety and performance, and transforming taxi operations into greener and more sustainable.

Carbon Reduction Activities: As more smart battery-swapping stations are installed, with more EVs connected to its “Battery Bank” operations, U Power will be introducing the world’s first “Battery Token,” an innovative solution using “Web 3.0 blockchain and token-based economics,” which will offer drivers the ability to earn tokens with each battery swap. These tokens can be traded for electricity tariff credits, promoting U Power’s mission of encouraging increased global participation in carbon reduction activities.

U Power is implementing its Energy Service Provider (“ESP”) power-swap model beyond Hong Kong.

The Company has signed and/or working on to establish MOUs with ESP partners in Hong Kong, Macau (planning to sell and service 600 battery-swapping vehicles and operate six battery-swapping stations), and Singapore (planning to sell 5,000 battery-swapping vehicles and operate 50 battery-swapping stations) markets, aiming to build a battery-swapping ecosystem.

Johnny Lee, CEO and Chairman of U Power commented, “We are excited to debut Hong Kong’s first smart battery-swapping station, demonstrating a replicable zero-carbon, energy efficient charging infrastructure for densely populated urban areas. As we continue our investments in next-generation AI technologies, we look forward to working with our partners in Asia, Europe and South America to create a sustainable and efficient urban transportation ecosystem in these markets.”

SOURCE: U Power