When Will EV Modifications Move from the "Gray Zone" to Legal Compliance?

1. Lack of Unified Certification Standards = No Path to Legitimacy

China currently lacks a clear, standardized certification system for vehicle modifications — unlike mature markets such as Germany.

As industry experts put it: “Without standards, modification can only happen underground.”

The immediate consequence? Modified parts cannot be registered, vehicles may fail inspections or registration checks, and insurance claims could be denied. This regulatory uncertainty deters even technically capable companies from entering the space.

2. Outdated Policies Restrict Upgrades to Core Components

Current regulations only permit limited modifications — such as exterior styling, suspension, or cooling systems — while strictly prohibiting changes to the three core electric components: battery, motor, and electronic control system ("the Three Electrics").

Yet the truth is: battery degradation is a widespread pain point among NEV owners. Some companies have already developed "battery health recovery" technologies — using cell balancing and control optimization to restore batteries with 70% capacity back to over 90%, approaching factory-new performance.

This isn’t reckless tampering — it’s essentially deep maintenance or performance restoration. But without policy support, these innovations remain stuck in pilot phases, unable to scale.

3. Limited Profit Models in Aftermarket = Low Dealer Incentive

In the ICE era, 4S dealers earned significant profits from repairs and customizations. But NEVs, with simpler structures and lower failure rates, leave dealerships with fewer service opportunities — and less revenue.

If legal pathways were opened for battery refurbishment or performance upgrades, dealerships could unlock entirely new profit streams. This explains why many dealer groups are already showing strong interest in such technologies — they see not just technical potential, but business transformation.

Solving this issue requires more than trial-and-error by individual companies — we need systemic progress:

✅ Establish a National Certification Framework for Modifications

Draw on international best practices (e.g., Germany’s KTA certification) to create clear technical standards, safety protocols, and approval processes — so compliant modifications have a solid legal foundation.

✅ Pilot Legal Access to "Three Electrics" Upgrades

Under strict safety oversight, allow certified providers to offer battery health restoration and control system optimization — categorizing them as “deep maintenance” or “lifespan extension services.”

✅ Integrate Legal Modifications into After-Sales Service Networks

Encourage collaboration among OEMs, dealers, and third-party service providers to build "NEV Longevity Centers" offering standardized services like battery diagnostics, performance recovery, and software/hardware upgrades.

✅ Accelerate Implementation of the Proposed "16 Legal Modification Items"

Push for faster rollout of existing policy proposals, clearly defining acceptable modifications to guide the industry from chaotic growth toward orderly innovation.

The future of new energy vehicles isn’t just about electrification and intelligence — it’s also about personalization and sustainability.

And vehicle modification is key to achieving longer lifespans, improved performance, and higher residual value.

We call on:

👉 Policymakers to accelerate standard-setting,

👉 Enterprises to invest in R&D and responsible innovation,

👉 Owners to voice their needs rationally — so we can collectively move this industry into the light.

Let every modification cease to be a gamble — and instead become an upgrade powered by technology and trust.

📌 Stay Updated

We’re closely tracking policy developments and technological breakthroughs in the NEV after-sales market.

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