On August 31st, ZHIDA TECH (02650) announced the official establishment of its factory in Germany through its subsidiary, ZD ENERGY (Deutschland) GmbH. This new facility is set to undertake the manufacturing of energy storage and charging systems for a well-known German automobile manufacturer, supplying both the German and broader European markets. The production line transfer and construction at the new site are scheduled for completion by the end of October, followed by certification by the end of December, with full-scale production starting in January next year.
This strategic deployment is expected to drive a substantial upgrade in ZHIDA TECH's overseas business, accelerating its globalization efforts. Prior to securing this contract, the company had already established a solid foundation in Europe. Through its joint venture with CATL, ZHIDA TECH has sold approximately 1,000 energy storage and fast-charging units across European channels. Furthermore, its self-developed EMS green digital energy system integrates photovoltaic, storage, charging, and V2G technologies, aligning closely with Europe's evolving smart charging and energy trading landscape.
Where the expansion begins
Before entering Europe, ZHIDA TECH had already secured a strong presence in Southeast Asia and the Middle East. In the first half of this year, the company's charging pile sales surged 357.2% year-on-year in the UAE and grew approximately 304.3% in Thailand. The company has built a robust sales, installation, and after-sales service network across these regions, steadily expanding its regional influence. Unlike other markets, Europe imposes stricter requirements for certification, metering, and localized services, along with more pronounced grid connection constraints. ZHIDA TECH is addressing this by introducing high-end products like storage-integrated chargers, offering storage-based fast-charging solutions that can be deployed without requiring grid capacity upgrades, effectively catering to European market demands.
Leveraging Germany as a springboard for Europe's premium segment
With production capacity in place, ZHIDA TECH will establish a complete localized capability in Europe, covering manufacturing, certification, and after-sales service. This moves the company's operational base into the heart of European industry, creating further opportunities for market expansion. The company has indicated it will use Germany as a central hub to amplify its influence across Europe and advance its "AI Energy + Robotics" 2.0 strategy. By building technological and channel moats in AI-driven energy management and automated services, ZHIDA TECH aims to match the diverse needs of the European market with a more systematic approach.
Since its listing on the Hong Kong Stock Exchange in October 2025, ZHIDA TECH's internationalization has accelerated markedly. In the first half of this year, the company's overseas revenue climbed 73.2% year-on-year, with its share of total revenue jumping to 29.7% from 14.8% in the same period last year. This figure stood at just 1.9% in 2022, illustrating a rise from single digits to nearly a third of total revenue within four years. With the German factory set to commence production and the gradual refinement of a localized European supply chain, the share of overseas revenue is anticipated to continue its upward trajectory.
From Southeast Asia to the Middle East and now Europe, ZHIDA TECH's global roadmap is becoming increasingly defined. As the German plant begins operations and the 2.0 strategy gains momentum, the company's market scale and competitiveness in Europe are poised for sustained growth, paving the way for an even broader global footprint.
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