U Power Signs Initial €540,000 Sales Agreement with Polestar Energy for the Purchase and Deployment of Twenty Battery-Swapping Electric Vans in Southern Europe

Rhea-AI Summary

U Power (Nasdaq: UCAR) signed an initial sales agreement with Polestar Energy on Oct 21, 2025 to deliver twenty UOTTA™ battery-swapping Geely Farizon-UNEX electric vans and a three-slot smart battery-swapping station for €540,000 for deployment initially in Italy.

The order is U Power's first-ever European van and station sale; the parties say they may expand the collaboration to as many as 2,000 additional vans and proportionate stations across Spain, Portugal and Albania. U Power also cited prior momentum from a Sept 2025 order in Peru for fifty battery-swapping two/three-wheeled vehicles and related equipment.

Positive

• Initial Europe order of €540,000 for 20 vans and one 3-slot station
• First European sale of battery-swapping vans and stations
• Potential pipeline of up to 2,000 additional vans across Southern Europe
• Deployment start planned in Italy with expansion to Spain, Portugal, Albania
• Recent South America order (Sept 2025) for 50 vehicles supports momentum

Negative

• Initial contracted value of €540,000 is modest relative to large-scale rollout
• Expansion to up to 2,000 vans is described as potential and not guaranteed

U Power Expects Additional Orders for Up to 2,000 Electric Vans and Compatible Battery-Swapping Stations In the Future

SHANGHAI, Oct. 21, 2025 /PRNewswire/ -- U Power Limited (Nasdaq: UCAR) (the "Company" or "U Power"), a provider of AI-powered solutions for next-generation energy grids and intelligent transportation systems, building on its proprietary UOTTA^TM electric vehicle (EV) battery-swapping technology, today announced that it has signed an initial sales agreement with Polestar Energy S.L. ("Polestar Energy"), a Spanish company specialized in sustainable and innovative energy solutions, for the purchase and deployment of twenty UOTTA™ battery-swapping Geely Farizon-UNEX electric vans and a supporting semi-autonomous three-slot smart battery-swapping station, valued at €540,000, for the Southern European market.

This sales agreement with Polestar Energy marks U Power's first ever order in Europe pertaining to electric vans and dedicated battery-swapping stations. By combining Polestar Energy's strong presence in Southern Europe with U Power's proprietary UOTTA^TM technology, the two parties aim to accelerate the adoption of smart battery-swappable electric vehicles in commercial use. Together, they seek to advance a sustainable transportation and smart energy replenishment model across Southern Europe, one of the world's fastest growing EV markets, anticipated to reach $65.7 billion by 2030, growing at a CAGR of 14%.

The signing of this sales agreement with Polestar Energy, U Power's first in Europe, marks U Power's pioneering efforts in bringing battery-swapping vans into the European market to support the region's green transportation transformation. The Company continues to expand its geographical footprint in key markets, carrying on the momentum from its first official order in South America, via the agreement with Treep Mobility in Peru, for the purchase and deployment of fifty battery-swapping two/three-wheeled vehicles, eight cabinets and corresponding number of batteries in September 2025.

Under the agreement, U Power will deliver twenty Geely Farizon-UNEX electric vans, a battery-swappable model co-developed with UNEX EV, to Polestar Energy for deployment initially in Italy. This initial order also includes a supporting three-slot smart battery-swapping station. The parties intend to expand their collaboration, potentially adding up to 2,000 additional vans and a proportionate number of battery-swapping stations to gradually expand operations in Spain, Portugal, and Albania. Of note, earlier this year, U Power established a joint venture with Associação Nacional dos Transportes Rodoviários em Automóveis Ligeiros ("ANTRAL") to deliver a number of battery swapping stations able to service 150-200 electric vehicles for taxi drivers in Portugal.

Johnny Lee, CEO and Chairman of U Power commented, "We are thrilled to announce our first sales agreement of electric vans with Polestar Energy, which marks another significant milestone, and reflects the growing market recognition of our battery-swapping solutions, spanning across Southeast Asia, South America, and now Southern Europe. We are confident this is only the first step of our expansion in this key market, and look forward to not only deepening our partnership with Polestar Energy, but also expanding U Power's market presence to help accelerate the adoption of clean energy and transportation solutions in the region."

About U Power Limited

U Power is a provider of comprehensive AI-integrated energy solutions that connect electric vehicles (EVs) with advanced energy infrastructure, optimizing both mobility and grid performance. Originally a distributor of various battery-swapping station models built on its proprietary modular battery-swapping technology UOTTA™, U Power has evolved into a provider of AI-integrated solutions for energy grids and transportation systems.

Through investments in next-generation technologies, U Power is building intelligent ecosystems that integrate resilient AI driven solutions able to transform EVs into dynamic energy assets. By incorporating AI algorithms, U Power's comprehensive solutions for smart energy grids are designed to support autonomous EV driving, optimize energy replenishment efficiency, and seamlessly connect EV assets with advanced AI-powered transportation systems, enabling peak and off-peak energy load balancing.

For more information, please visit the Company's website: https://www.upower-limited.com/.

Safe Harbor Statements

This press release contains "forward-looking statements". Forward-looking statements reflect our current view about future events. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company's current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Investors can identify these forward-looking statements by words or phrases such as "may," "will," "could," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "is/are likely to," "propose," "potential," "continue" or similar expressions. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results, and encourages investors to review other factors that may affect its future results in the Company's registration statements and other filings with the U.S. Securities and Exchange Commission. For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. References and links (including QR codes) to websites have been provided as a convenience, and the information contained on such websites is not incorporated by reference into this press release.

Contact

U Power Limited
Investor Relations Department
ir@upincar.com

The Equity Group
Lena Cati, Senior Vice President
212-836-9611 / lcati@theequitygroup.com 

Alice Zhang, Associate
212-836-9610 / azhang@theequitygroup.com  

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SOURCE U Power Limited

FAQ

What did U Power (UCAR) announce on October 21, 2025 regarding Polestar Energy?

U Power signed an initial sales agreement to deliver 20 battery-swapping vans and a three-slot station to Polestar Energy for €540,000, with deployment initially in Italy.

How many additional vans could U Power (UCAR) and Polestar Energy potentially order?

The parties indicated potential future orders of up to 2,000 additional vans and proportionate battery-swapping stations across Southern Europe.

Where will U Power’s (UCAR) initial European van deployment be located?

The initial deployment under the agreement is planned for Italy, with intended expansion to Spain, Portugal, and Albania.

How large is the initial contract value for UCAR’s European van order?

The initial agreement is valued at €540,000 for twenty vans and one three-slot swapping station.

Does U Power (UCAR) have other recent international orders for its battery-swapping technology?

Yes; U Power referenced a Sept 2025 order in Peru for fifty battery-swapping two/three-wheeled vehicles, eight cabinets, and batteries.

What is the scope of U Power’s joint venture activity in Portugal mentioned in the announcement?

Earlier in 2025 U Power established a joint venture with ANTRAL to deliver battery-swapping stations able to service 150–200 electric vehicles for taxi drivers in Portugal.