Nio will open its first European factory in September and while it won’t be producing cars, it will play an important role in the company’s ongoing expansion.

The Nio Power Europe Plant is located in Pest, Hungary, and will be approximately 10,000 square meters in size. It will be responsible for manufacturing and the after-sales service of the automaker’s advanced battery swapping stations. It will also handle training for power operations in Europe and the research and development of new power products.

The Chinese car manufacturer plans to speed up the construction of battery swapping stations across Europe, in particular in Germany, Sweden, the Netherlands, and Denmark, through the second half of this year.

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Furthermore, Nio recently announced a partnership with Shell that will help to grow its battery swapping stations globally, in particular across China and Europe. The partnership will also open up Shell’s European charging network to Nio vehicles. The carmaker eventually wants to be operating 4,000 battery swapping stations worldwide with approximately a quarter of them being outside China, Reuters reports.

The announcement of Nio’s European power plant comes just six weeks after it unveiled the all-new ES7 SUV, designed to slot between the ES6 and the ES8 in its range.

Powering the Nio ES7 are a pair of electric motors that combine to deliver 644 hp and 627 lb-ft (850 NM) of torque. Nio says the SUV can hit 62 mph (100 km/h) in just 3.9 seconds when in Sport+ mode.

Three different battery packs will be available. Sitting at the base of the range is a 75 kWh unit good for a claimed 301 miles (485 km) of range. Those seeking more range can opt for the 100 kWh Long Range Battery that can power the ES7 for 385 miles (620 km). Last but not least is a 150 kWh Ultra-Long Range Battery with 528 miles (850 km) of range.