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If you’ve been hanging around in the world of electric bikes for any decent amount of time, you’ve probably come across Bafang. They don’t make electric bikes, but they’ve long made many of the components used by them. I visited the factory back in 2019, and recently returned for a second visit to see what had changed. Boy, was I unprepared for what awaited me…

When I say that Bafang makes many of the components found in the e-bike you probably have at home, that now seems like an understatement. With all of the new tech and developments the company has made, they now produce just about every part used in electric bike drive systems.

And not only that, but their production processes have changed significantly over the last few years.

To see behind the scenes yourself, check out my video from the visit below.

Even from the first moment I walked through the gates, the updates were apparent. Since my last visit, Bafang has moved into a massive new complex, which is important since some of their new production now includes the addition of full e-bike battery design and manufacturing. That obviously requires significantly more of a footprint than just a motor and drive system maker.

But before I get to the new battery work, let’s start at the beginning. I began my visit in the R&D department, where a dedicated team of engineers and designers work together on drawing up the next generation of e-bike components. When I visited in 2019, there were hints in the air that Bafang was working on a solution to the common issue of e-bike motors having an unfortunate tendency to wreak havoc on traditional bicycle transmissions. There’s just a limited amount of power that most bicycle shifters and derailleurs are designed for, and that amount usually falls above leg power but below motor power.

Now I was pleased to see that Bafang has several options for their own in-house developed transmissions built around internally geared hubs (IGHs). IGHs are prized in the bicycle world for their clean, low-maintenance design that completely replaces a hanging derailleur. However, the use of an internally geared hub generally means you can’t use a hub motor (or have to put it in the front wheel, which is less desirable). But not only has Bafang developed their own IGHs, but they’ve even incorporated hub motors into the design, creating multi-speed transmissions that share the same wheel hub as an electric motor. That innovation, known as the Bafang GVT line (Gear Variable Transmission), opens a whole new world of e-bike possibilities by putting an internally geared hub and a hub motor in the same product. And on top of that, the shifting occurs entirely automatically and without external cables or wires. Clever use of mechanical components keeps the entire thing sealed and without additional external components that can wear out or fail.

I was able to check out a few of these designs in Bafang’s showroom, and even tested them out later in the day on a few different e-bikes sporting Bafang’s components. But alas, I’m getting ahead of myself.

Bafang GVT-2S, an all-in-one two-speed automatic transmission and hub motor

A big part of R&D goes beyond just imagining new components. Bafang has to rigorously test their designs to ensure they can handle the harsh world in which e-bikes live. From pressure tanks of water that expose any air gaps in motors to brutal drop tests and shaker tables, the company’s engineers absolutely torture these poor devices while looking for how and where they can fail.

That testing not only leads to design improvements, but sometimes even to the development of new materials. Bafang uses their own proprietary material for the gears used in their motors, offering more strength and ruggedness than typical nylon gears, but less noise than steel gears.

There are soundproof rooms for making the most minute measurements of the sounds produced by various components, and even an EMC (electromagnetic compatibility) chamber for electrical safety testing and compliance certification, where e-bikes and components can be tested to ensure that all of the various pieces are working together properly without creating any unnecessary or potentially problematic electromagnetic radiation. This is also critical to ensuring compatability of various electrical components so that they don’t interfere with one another.

With a better understanding of the process that goes into R&D, I moved on to the factory where production occurs. Here it all begins in with quality inspections that ensure that the components that go into Bafang’s products are within manufacturing tolerances. Components like motor shells and bearings are critical to the performance of an e-bike’s drive system, and so components are scrutinized in fine detail with micron-level measurements before they make it to the factory floor where they will be incorporated into assemblies.

After passing their checks, components head into a largely automated process. For example, the motor shells are handled by robots that move them through several stages on an assembly line, adding gears, spreading grease, and receiving their motor cores.

Those motor cores pass through their own robotic lines, with the copper wire spun by precision machines. This type of work was often done by hand years ago, but has now been supplanted by automated machines that are faster and more accurate.

At this point, the sub-assemblies move to a final assembly line, one of the few places you still see a large number of human workers. Here, mid-drive motors receive their final assembly by hand. There are still several differences I noticed though, such as the lack of laser-engraved serial numbers, which have now been replaced by special stickers that retain the motor shell’s corrosion-resistant finish instead of engraving it away. The single sticker also replaces the several stickers of various sizes and shapes that use to offer a hodgepodge of information, and have now been streamlined into a single unobstrusive marker that also leaves the protective coating of the motor’s shell unaffected.

Motors are tested one final time on a bench apparatus, ensuring they meet all the correct specifications, before reaching their final stop on the conveyor belt: packaging.

Nearby, another machine sorts small parts such as nuts and washers that are included with products like hub motors, automatically bagging them to be included in the motor boxes.

It’s a similar story for several other components I saw, from handlebar displays to wiring harnesses. Much of the process has now been automated with special machines that automatically strip wires, mount connectors, glue display covers, and other steps that are highly manual and repetitive. Not everything has been replaced by robots, and you certainly still see many line workers, but a significant number of the tasks have been automated, and that seems like a trend that will continue.

One other intersting update I saw was a change to the way the soldering stations are set up. Previously, fumehoods were mounted above soldering stations that would suck out the fumes from the soldering operations.

That helps prevent those fumes from building up in the room, but the individual workers at each booth aren’t as protected since the fumes still pass by their faces.

The new setup has vacuum holes in the actual workstation surface that suck the fumes down and out through the table, preventing even the initial worker from being exposed to soldering fumes.

It’s a nicer setup that protects everyone, and I was glad to see the upgrades.

Bafang Battery Factory

The next part of the tour took me into the battery factory, which was like entering a brave new world for an e-bike parts supplier. Generally, battery factories are standalone operations run purely by battery makers. But Bafang has grown so large that at this point, it makes sense for them to invest in building their own high quality battery packs. It’s something they’ve been studying for nearly a decade, mostly staying in the R&D phase. But in the last few years, they’ve brought those designs to life and entered full battery production.

Again though, I’m getting ahead of myself. Becuase it’s that design stage that is critical to the quality and safety of batteries. Similarly to the e-bike drive system side of things, the battery factory has its own R&D section that scrutinizes different cells and batteries while preparing and testing new designs to ensure they can meet the proper safety and performance requirements set by Bafang. Assuming they do, they may end up slated for production and become one of the company’s new battery pack offerings.

Production on the factory floor starts with the individual battery cells that will eventually make up the larger battery packs. They are tested to ensure they pass quality checks before being automatically sorted by robots into the most appropriate combinations of cells based on similar internal resistances.

Computer-controlled ultrasonic welding machines then combine those battery cells into larger packs, which are encased in various enclosures depending on the specific model of battery. Before the battery cases are even sealed, each battery is put through a series of bench tests to ensure it meets the proper parameters. After the batteries pass those checks, they get sealed and sent to perform a complete testing cycle, where rows of shelves house hundreds – maybe thousands – of actively charging and discharging battery packs. After getting the green light following a successful charge and discharge cycle test, the battery is finally packaged and prepared to be sent on its way to an e-bike factory.

The scale of Bafang’s operations is nothing short of impressive. I’ve visited dozens of Chinese factories at this point but I’ve never seen such an all-encompassing operation from an e-bike component maker. With the addition of battery packs, not to mention all the other drivetrain components made by Bafang, the company truly is a one-stop shop now for e-bike OEMs.

It has been an incredible experience to see not just the components and designs, but the way that production has fundamentally changed inside of Bafang’s walls over the last several years. And at this rate, I’m fascinated to see what new innovations the next few years may bring.

Don’t forget to check out the video of this behind-the-scenes tour, below!

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Crypto CEO accused of laundering $500 million linked to sanctioned Russian banks

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Crypto CEO accused of laundering 0 million linked to sanctioned Russian banks

Signage is seen at the United States Department of Justice headquarters in Washington, D.C., August 29, 2020.

Andrew Kelly | Reuters

Federal prosecutors in Brooklyn have charged the founder of a U.S.-based cryptocurrency payments firm with operating what they allege was a sophisticated international money laundering scheme that moved over half a billion dollars on behalf of sanctioned Russian banks and other entities.

Iurii Gugnin, a 38-year-old Russian national living in Manhattan, was arrested and arraigned Monday and ordered held without bail pending trial.

Gugnin faces a 22-count indictment accusing him of wire and bank fraud, violating U.S. sanctions and export controls, money laundering, and failing to implement legally required anti-money laundering protocols.

“The defendant is charged with turning a cryptocurrency company into a covert pipeline for dirty money, moving over half a billion dollars through the U.S. financial system to aid sanctioned Russian banks and help Russian end-users acquire sensitive U.S. technology,” Assistant Attorney General Eisenberg said in a statement.

Prosecutors said Gugnin used his companies — Evita Investments and Evita Pay — to process about $530 million in payments while concealing the origins and purposes of the funds. Between June 2023 and January 2025, he allegedly funneled the money through U.S. banks and cryptocurrency exchanges, primarily using tether, a widely used, dollar-pegged stablecoin.

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Clients included individuals and businesses linked to sanctioned Russian institutions such as Sberbank, VTB Bank, Sovcombank, Tinkoff, and the state-owned nuclear energy firm Rosatom.

To carry out the scheme, Gugnin allegedly misrepresented the scope of his business, falsified compliance documentation, and lied to banks and digital asset platforms about his ties to Russia. Prosecutors say he masked the source of funds through shell accounts and doctored more than 80 invoices, digitally erasing the identities of Russian counterparties.

Investigators also cite internet searches indicating he knew he was under scrutiny, including queries like “how to know if there is an investigation against you” and “money laundering penalties US.”

The Justice Department said Gugnin maintained direct ties to members of Russia’s intelligence service and officials in Iran — countries that do not extradite to the U.S.

He is also accused of helping the export of sensitive U.S. technology to Russian clients, including an anti-terrorism-controlled server.

Gugnin was profiled last fall in a Wall Street Journal article about high-net-worth renters in Manhattan, where he reportedly paid $19,000 per month for an apartment.

If convicted on bank fraud charges, he faces a statutory maximum sentence of 30 years in prison, but if convicted on all counts, Gugnin could be given a consecutive maximum sentence significantly longer than his lifetime. 

Deputy Treasury Secretary on crypto crime: Need additional tools from Congress to catch bad actors

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BYD launches the Seal 06 EV at just $15,000 as a new price war in China erupts

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BYD launches the Seal 06 EV at just ,000 as a new price war in China erupts

Despite China’s recent warning, BYD is ramping up the pressure on rivals with another ultra-affordable electric vehicle. BYD launched the Seal 06 EV, starting at just over $15,000, as the price war in China appears to be getting out of hand.

Meet the BYD Seal 06 EV

The new Seal 06 EV arrives after the China Automobile Manufacturers Association (CAMA) issued a warning last week, stating an automaker’s recent price cuts are “triggering a new round of price war panic.”

Although the statement didn’t single out BYD, it’s pretty obvious who they are referring to. BYD cut prices (again) on May 23 by up to 34% across 22 of its most popular models. Its cheapest electric car, the Seagull EV, now starts at just 55,800 yuan ($7,800).

BYD is now turning up the heat with another low-cost EV rolling out. The Seal 06 EV officially launched in China, starting at just 109,800 yuan, or about $15,300.

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It’s available in three trims with two BYD Blade LFP battery pack options: 46.08 kWh or 56.64 kWh, providing a CLTC range of 470 km (292 miles) and 545 km (339 miles).

The electric sedan measures 4,720 mm in length, 1,880 mm in width, and 1,495 mm in height, approximately the same size as the Tesla Model 3 (4,720 mm in length, 1,850 mm in width, and 1,443 mm in height).

Like most new BYD vehicles we’ve seen, the new Seal 06 EV is equipped with its God’s Eye ADAS and DiPilot 100 smart cockpit system. However, unlike some of the more premium models, the Seal 06 uses a camera system rather than LiDAR.

The new EV joins BYD’s Seal lineup of vehicles, which includes the hybrid Seal 06 DM-i and the popular electric Seal sedan models.

Inside features a similar setup to BYD’s other new vehicles with a 15.6″ rotating center infotainment and a smaller driver display screen.

Although the Seal 06 EV starts at 109,800 yuan ($15,300), BYD promises “with over 33 hard-core standard features, the entry-level version is high-end.”

It features a few added amenities not typically found in entry-level cars, including heated and ventilated front seats, a panoramic sunroof, ambient lighting, and a surround sound stereo system. It even has a built-in refrigerator that can heat and cool.

Will it compete with Tesla’s Model 3 in the Chinese market? Although it features less range, the Seal 06 EV is half the cost. The base Model 3 RWD starts at 235,500 yuan ($32,800) in China with a CLTC range of 634 km (394 miles). Which one would you buy? Let us know in the comments.

After slashing prices again last month, another low-cost, but well-equipped BYD EV is arriving in China. Will the Seal 06 EV pressure others, like Tesla, to follow suit? We will find out shortly.

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US solar just had a record-breaking Q1 but the GOP bill could wreck it

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US solar just had a record-breaking Q1 but the GOP bill could wreck it

The US solar industry is still booming, but looming policy threats could pull the plug on that momentum.

According to the new US Solar Market Insight report from SEIA and Wood Mackenzie, the industry installed 10.8 gigawatts (GW) of new electricity-generating solar in Q1 2025, with solar and storage making up a whopping 82% of all new capacity added to the grid.

And US solar manufacturing is also on a roll: The first quarter saw 8.6 GW of new module manufacturing capacity come online, the third-largest quarterly increase on record.

That growth came from eight new or expanded factories in Texas, Ohio, and Arizona. Meanwhile, US solar cell production doubled to 2 GW, thanks to a new factory in South Carolina.

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But the industry’s rapid expansion is under threat. New tariffs and the “Big, Beautiful Bill” passed by the House that would gut clean energy tax incentives are injecting serious uncertainty into the market. SEIA warns that if the Senate doesn’t act to fix the legislation, the consequences will be severe: factory closures, energy shortages, job losses, and higher electricity bills.

“Solar and storage continue to dominate America’s energy economy, adding more new capacity to the grid than any technology using increasingly American-made equipment,” said SEIA president and CEO Abigail Ross Hopper. “But our success is at risk.”

According to SEIA, if Congress doesn’t change course, 330,000 jobs could disappear, along with 331 planned or operating factories and $286 billion in local investment. Americans could also see $51 billion in higher power bills.

Tariff uncertainty is already rattling the industry. Anti-dumping and countervailing duties (AD/CVD) on Southeast Asian solar cells and modules, plus other tariff shifts, are adding to the instability. Meanwhile, proposed changes to clean energy tax credits would undercut long-term planning for manufacturers and developers alike.

“The 10.8 GW of solar capacity installed in Q1 2025 represents a significant portion of new US electricity generation,” said Zoë Gaston, principal analyst at Wood Mackenzie. “However, our analysis suggests that the US solar market has yet to reach its full potential.”

And it’s not just analysts raising red flags. SEIA and Wood Mackenzie have downgraded their five-year outlook for every solar segment except community solar. Residential solar is expected to drop 14% compared to previous projections, and utility-scale solar is down 6%. If the clean energy tax credits are rolled back, that outlook could fall even further.

One major point of tension is politics. Texas led the nation in new solar capacity in Q1 2025, and Florida overtook California to land in second place. Eight of the top 10 states for solar installations in the quarter voted for Donald Trump in 2024.

That means the places most at risk if the House bill isn’t fixed are represented by Republicans.

SEIA says that if clean energy tax incentives are gutted, US energy production will drop by 173 terawatt-hours (TWh), and the country will not be able to compete with China in the global race to power AI.

The bottom line: The US solar industry is scaling up fast, but policy missteps could slam on the brakes just when momentum is peaking.

Read more: Trump’s ‘Big, Beautiful’ bill will cause a US energy shortage – SEIA


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