EV industry shifts focus from vehicles to energy ecosystems

The shift reflects a broader convergence between the automobile and energy sectors, as the rapid growth of electric vehicles creates new opportunities for renewable energy utilization, grid management and digital technologies.

"Energy revolution and automobile revolution are no longer two parallel lines. They are now moving toward deep integration and moving in the same direction," Wu Yin, former deputy head of the National Energy Administration, said at a forum on vehicle-energy integration in Xi'an, capital of Shaanxi province.

Wu said electrification, low-carbon development and digitalization had become common trends for both the automobile and energy industries.

China's new energy vehicle sector has expanded rapidly. In the first half of 2026, the country's NEV production and sales both exceeded 7.4 million units, with pure electric vehicles accounting for about two-thirds of sales, Wu said.

Meanwhile, China's renewable energy sector has also grown significantly. Wu said wind and solar power capacity in China now accounts for nearly half of the global total, providing a foundation for deeper integration between clean energy and electric transportation.

One of the biggest opportunities lies in using electric vehicles as distributed energy storage resources.

By the end of 2025, China had more than 30 million pure electric vehicles. Based on an estimated battery capacity of 50 kilowatt-hours per vehicle, the total theoretical energy storage capacity could exceed 1.5 billion kWh, Wu said.

"Through V2G (Vehicle to Grid) technology, electric vehicles will become one of the most flexible resources for adjusting the new power system," he said.

And the vehicle-energy integration may offer new windows of opportunities as Chinese carmakers are expanding globally, said Zhang Yongwei, president of China EV100, a Beijing-based auto industry think tank.

Zhang explained that the next opportunity may come from exporting not only vehicles but the infrastructure and energy systems supporting them. "Automobiles and energy are essentially one," Zhang said.

He said charging and battery-swapping facilities had evolved from supporting infrastructure into an independent industry with commercial potential.

By integrating electric vehicles, charging networks, energy storage, solar power and electricity grids, China could build a broader energy ecosystem and create new advantages overseas, he said.

"China's auto industry is moving from product export to ecosystem export," Zhang said.

Zhang said overseas markets including Europe, Southeast Asia, the Middle East, Africa and Latin America offer significant opportunities for Chinese companies in charging infrastructure and integrated energy solutions.

Compared with vehicle exports, energy infrastructure exports face fewer trade barriers and can create stronger long-term ties with local markets, he said.

The transformation of the EV industry also forces charging companies to rethink their business models.

Yuan Qingmin, chairman of Linchr, a Xi'an-based EV charging and energy solutions provider, said charging operators could no longer depend mainly on charging fees.

"If charging operators only collect charging service fees, or rely on charging service fees as their main source of revenue, there is no future," Yuan said.

Linchr, which provides solutions covering EV charging, energy storage, power electronics and energy management platforms, is seeking to transform from an equipment supplier into a technology service provider.

"Charging infrastructure is not simply a product. It is a systematic solution connecting the power grid, vehicles, charging stations and digital platforms," Yuan said.

He said competition would focus not only on hardware, but on technology, services and ecosystems in the future.

Automakers are also taking a more active role in building charging ecosystems.

Tang Huayin, head of intelligent electric products at Li Auto, said the company had integrated vehicle development with charging network planning from the beginning.

Li Auto has built 4,100 supercharging stations and 22,605 charging piles across the country, including more than 1,300 highway stations, Tang said.

The company's focus is not simply increasing charging power, but making charging fit naturally into users' travel routines.

"We believe the ideal charging experience is to complete charging within the time users naturally spend resting during long-distance travel," Tang said.

Li Auto has adopted 5C supercharging technology, aiming to reduce charging times to around 10 minutes when boosting battery capacity from 10 percent to 80 percent.

The company is also using artificial intelligence to improve charging operations, including dynamic route planning, station management and maintenance.

Tang said future development of autonomous driving could change the charging experience, as vehicles may eventually be able to locate charging stations and manage energy replenishment automatically.

lifusheng@chinadaily.com.cn