# BYD expands Blade batteries to industrial rail locomotives
*FinDreams Battery and Changsha Fusheng will jointly adapt automotive lithium iron phosphate cells for shunting engines, targeting certification from national railway regulators.*
**Published:** September 11, 2026
**By:** Lian Chen
**Section:** Batteries & Electric Vehicles — China
**Format:** Breaking
**Confidence:** medium
**Source:** https://eastasiabrief.com/batteries-ev/byd-expands-blade-batteries-industrial-rail-locomotives-238
**Publisher:** East Asia Brief (https://eastasiabrief.com/)
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## What to know
- FinDreams Battery partners with Changsha Fusheng to build rail locomotive packs
- BYD held a 106.7 GWh global battery installation volume from January to July 2026
- Technical filings for CRCC rail certification scheduled before end of Q4 2026
*Two workers inspect a suspended battery pack module near a locomotive chassis inside an industrial assembly plant. (AI-generated image)*
BYD battery subsidiary FinDreams Battery announced Sept. 10 a formal partnership with Changsha Fusheng Technology to develop automotive-grade Blade battery packs for industrial rail locomotives.
The agreement marks an effort by BYD to transfer electric passenger car designs into off-highway heavy transport. Closed industrial freight networks in China continue to run predominantly on diesel traction.
FinDreams Battery deployed 106.7 gigawatt-hours of power batteries globally between January and July 2026, up 4.7% from a year earlier. The total kept BYD in second place globally, according to SNE Research.
Representatives signed the pact on Sept. 7 at the headquarters of BYD in the Pingshan district of Shenzhen. Executive delegates from both companies attended the signing ceremony, the battery maker said.
Zhao Tong, vice general manager of FinDreams Battery, and Li Li, executive vice general manager of Changsha Fusheng Technology, led the discussions. Software and regional managers also joined the ceremony.
Under the terms, FinDreams Battery will provide research and development, manufacturing capacity and qualification credentials for its lithium iron phosphate Blade battery cells. The supplier will also commit marketing resources to the program.
Lithium iron phosphate chemistry offers lower thermal runaway risk and longer cycle life than nickel-rich formulations. The chemistry also costs less to manufacture, though it delivers lower gravimetric energy density.
Changsha Fusheng Technology specializes in electronic control units for closed-loop transport systems. The firm emerged from engineering research teams at Central South University, an institution known for metallurgical and rail research.
The technology company will supply battery management systems — the electronic controls that monitor cell temperature, voltage and state of charge — while overseeing rail vehicle system integration.
Changsha Fusheng Technology will also channel operational performance data from industrial sites back to FinDreams Battery. That operational feedback will guide subsequent hardware iterations and software calibrations, the companies said.
The joint initiative focuses on shunting locomotives, industrial factory loops and mining hauling tracks. Shunting locomotives assemble, sort and switch railcars within freight depots rather than pulling long-haul mainline trains.
Rail transport within manufacturing complexes, chemical facilities and metallurgical smelters runs along dedicated private corridors. These captive operations allow operators to build centralized charging depots without nationwide rail electrification.
The partners will jointly pursue technical validation from the China Railway Inspection and Certification Center, known as CRCC. Regulators require CRCC approval before locomotives can enter formal commercial switching operations.
Meeting CRCC standards requires specialized testing for vibration tolerance, fire safety and electrical isolation. Rail environments subject battery packs to mechanical shock loads that exceed normal highway driving profiles.
Traditional rail traction systems rely on custom industrial-grade batteries with heavy enclosures. BYD plans to replace those specialized low-volume packs with mass-produced Blade battery modules adapted from automotive assembly lines.
The transition allows locomotive builders to tap the economies of scale built across passenger car manufacturing. FinDreams Battery operates high-volume automated cell plants across several Chinese provinces.
The domestic market shows clear signs of slowing growth in passenger electric vehicles. In China, BYD held an 18% share of power battery installations from January to July 2026, down 13% year on year.
Contemporary Amperex Technology Co. Limited, or CATL, held 46% of the domestic power battery market over the same seven-month span. CATL widened its lead with a 22% annual installation gain.
During July 2026 alone, BYD supplied 14.26 gigawatt-hours of vehicle batteries in China, representing 19.23% of the domestic market, according to the China Automotive Power Battery Industry Innovation Alliance.
Mounting price competition across the automotive segment has pushed battery makers toward non-passenger sectors. Industrial fleets offer stable pricing margins and long equipment lifecycles that insulate suppliers from retail discounts.
The rail agreement follows parallel expansion by FinDreams Battery into other heavy industrial equipment. On Sept. 5, the battery unit signed an agreement with Zero Carbon Engine Technology Group to develop electric mining trucks.
Heavy hauling machinery and rail transit both demand high continuous power draw and rapid discharge capability. The operational profiles resemble stationary energy storage systems more closely than light passenger cars.
The announcement does not state the total contract value, planned battery delivery volumes, locomotive hardware capacity, or a commercial deployment date. Representatives did not disclose a duration for the strategic alliance.
Both companies said they will next prepare prototype packs for laboratory compliance evaluations. Formal filings for CRCC locomotive inspection are scheduled to begin before the end of the fourth quarter of 2026.
## Impact map
| Event | Korea | China | Japan | Global impact |
| --- | --- | --- | --- | --- |
| Industrial locomotive electrification | LG Energy Solution and Samsung SDI face limited exposure due to focus on EV and grid BESS | BYD and Changsha Fusheng target diesel replacement across closed industrial and mining rail links | Heavy electric equipment suppliers face competitive pricing pressure in off-highway transport | Automotive LFP cell scale lowers unit costs for heavy non-road transport equipment |
## In this story
- **Companies:** BYD, Changsha Fusheng Technology
- **Tickers:** 002594.SZ, 1211.HK
- **Exposed:** Contemporary Amperex Technology, CRRC
- **Policy:** Economic Security, Subsidies
- **Impact:** Supply Chain, Order Book, Pricing
## Primary sources
1. carnewschina.com
2. in-en.com
3. itdcw.com
4. chinaevhome.com
5. ne-time.cn
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Cite as: East Asia Brief, "BYD expands Blade batteries to industrial rail locomotives," September 11, 2026. https://eastasiabrief.com/batteries-ev/byd-expands-blade-batteries-industrial-rail-locomotives-238