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 UOTTATM electric vehicle (EV) battery-swapping technology, today announced that its strategic energy and technology partner, UNEX EV B.V. (“UNEX EV”), has signed a Letter of Intent (the “LOI”) with DiDi Mobility Information Technology, Pte. Ltd. (“Didi Mobility”), a subsidiary of the leading mobility technology platform Didi Global Inc (OTC: DIDIY), to deploy UOTTATM battery-swapping vehicles for ride-hailing and car rental services in Mexico.
This LOI aims to promote the sales of UNEX EV’s UOTTATM battery-swapping vehicles to drivers registered on Didi Mobility’s fleet platform in Mexico. It also covers the sale of spare parts and the provision of maintenance services, with the goal of accelerating the green transformation of Mexico’s transportation industry, enhancing energy efficiency and supporting the environmental protection initiative.
Specifically, upon the entering of a definitive agreement, UNEX EV will recommend and provide battery-swapping vehicle models suitable for Mexico market and establish a stable supply chain to ensure the delivery of these vehicles, spare parts and related services. Both parties will initiate collaboration on the cascade utilization and recycling of batteries, aiming to extend battery life through continuous technology innovation. Didi Mobility will support market expansion by encouraging drivers registered on its fleet platform to transition to new energy vehicles by raising awareness among ride-hailing drivers and car-rental customers. Both parties have agreed to deepen their collaboration and explore innovative models to expand this partnership into additional markets.
Mexico transportation landscape and EV market opportunities
Mexico is actively reshaping its transportation landscape through electrification, integrated planning, and sustainable financing, setting a strong example in Latin America’s fight against climate change. With transport accounting for nearly 25% of national greenhouse gas emissions and over 90% of road transport emissions, the shift to electric mobility is supported by government-backed initiatives, such as the electrification of Mexico City’s Metrobus and the rollout of low-cost EVs priced as low as $4,400.
Additionally, Mexico represents one of the most dynamic and high-potential ride-hailing markets in Latin America. According to the IMARC Group, the Mexico ride-hailing market reached $2.2 billion in 2024 and is projected to grow at a CAGR of 13.2%, reaching a $7.5 billion in 2033. This momentum is being driven by a young, mobile-first population and an increasing demand for flexible, affordable, and sustainable transportation. With EVs expected to account for at least 30-40% of new ride-hailing and taxi vehicle purchases in 2027, the rollout of charging infrastructure is accelerating in key cities like Mexico City, Monterrey, and Guadalajara.
Johnny Lee, CEO and Chairman of U Power commented, “We are thrilled to support the cooperation between UNEX EV and Didi Mobility to promote battery-swapping vehicles in Mexico, contributing to the green transformation of the country’s transportation industry with our proprietary UOTTA technology. By leveraging Didi’s market leadership and extensive expertise, we look forward to serving local ride-hailing drivers and car rental customers with efficient, recyclable, and green vehicles that incorporate our solutions. Furthermore, U Power’s participation in this fast-growing market shows the company’s strategic alignment with Mexico’s national mobility goals and the broader global shift toward zero-emission transportation.”
Mr. Lee continued, “By supporting Mexico’s high-growth, policy-supported ecosystem, U Power is strategically positioned to capitalize on increasing demand for electric vehicles and smart mobility solutions, while playing an active role in advancing Latin America’sdecarbonization efforts. With an established presence in markets like Peru, we are actively exploring additional opportunities across the region. As we expand our partnership network, our focus remains on building an integrated ecosystem that connects vehicles, drivers, battery-swapping infrastructure throughout the region able to support long-term and scalable growth.”
About DiDi Mobility Information Technology, Pte. Ltd.
DiDi Mobility Information Technology, Pte. Ltd. is a subsidiary of the leading mobility technology platform in China and multiple countries and regions within the globe, DiDi Global Inc (OTC: DIDIY). DiDi Global Inc. is a leading mobility technology platform and has served over 550 million users around the world. It offers a wide range of app-based services across Asia Pacific, Latin America, and other global markets, including ride hailing, taxi hailing, designated driving, hitch and other forms of shared mobility as well as certain energy and vehicle services, food delivery, and intra-city freight services.
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.
SOURCE: PRNewsWire
