Logo of Phnom Penh Post newspaper Phnom Penh Post - China carmaker Nio gearing up to take on Tesla

China carmaker Nio gearing up to take on Tesla

Content image - Phnom Penh Post
Visitors stand around a Nio EP9 electric car at a shopping mall in Hangzhou, Zhejiang province. Long Wei/China Daily

China carmaker Nio gearing up to take on Tesla

China Daily/ANN: NIO Inc, a Chinese electric carmaker seeking to take on Tesla Inc, is ramping up its drive to meet consumers’ demand for longer travel range and better customer services with its second sports utility vehicle.

The move came after a few new Chinese automakers started delivering cars to consumers, triggering some negative feedback on user experience and in-car software.

Li Bin, CEO and founder of Nio, said the new SUV ES6’s most premium model can reach 100km per hour in 4.7 seconds, with the range hitting a high of 510km. In comparison, its first SUV ES8’s range just stands at 355km.

“We are working hard to optimise the battery performance of the ES6,” Li said. Starting from 358,000 yuan ($51,896), the five-seat ES6 was unveiled on Saturday exactly one year after the larger and more expensive ES8 was first launched.

The company began delivering the ES8 in June and has sold more than 9,700 vehicles in China so far. Estimates by Sanford C Bernstein& Co forecast that Nio needs to sell about 100,000 vehicles a year to break even. The four-year-old company raised $1 billion in a New York initial public offering in September, valuing it at $6.4 billion.

To better stand out among the fierce competition, Nio has also been beefing up its service capability. It aims to open 70 Nio Houses, or offline gathering places for Nio users and brand stores, by the end of next year, up from 26 so far.

It has also extended its battery swapping program to ES6 owners, previously reducing the upfront price of the ES8 by 100,000 yuan. It also aims to build the battery swapping network to cover key high-speed roads.

Nio’s move came as China has been the world’s largest new energy vehicle market since 2015. In the first 10 months of this year, 860,000 such vehicles were sold, and the China Association of Automobile Manufacturers expects sales to exceed a million this year.

Another electric carmaker Xpeng Motors Technology Ltd also delivered its first commercial model to 24 users last week.

Jia Xinguang, an independent auto analyst who has been following the car industry for more than 10 years, said Nio will be the first EV start-up in China to cross the mark of delivering 10,000 cars this year.

“But still, Chinese car start-ups are producing models in small volumes to perfect their production lines. And they also must learn from early users’ complaints and negative feedbacks to optimise their products,” Jia said.

MOST VIEWED

  • PM: All 10 Asean countries to receive Rainsy arrest warrants

    Prime Minister Hun Sen said on Thursday that all 10 Association of Southeast Asian Nations (Asean) member states will receive warrants for the arrest of Sam Rainsy. The warrants have already been sent to Laos and Thailand. He was speaking at a joint press conference at

  • Human rights report biased, says Cambodia

    Cambodia has accused the 42nd session of the Human Rights Council in Geneva, Switzerland on Wednesday of having “undermined the principle of objectivity”. In a statement issued on Tuesday, the Permanent Mission of the Kingdom of Cambodia to the UN said the Office of the

  • Kingdom okays 2,400MW power purchase from Laos

    A cabinet meeting on Wednesday decided that the government will purchase 2,400MW of electricity from Laos. A briefing document uploaded by government spokesman Phay Siphan to his Facebook page confirmed this. It said Cambodia will buy exclusive power from two coal-fired power plants in Laos –

  • The need to establish research universities in Cambodia

    In an era of the globalisation and internationalisation of higher education, it is difficult, if not impossible, to disregard the regional and global trend toward building world-class universities. Many governments in Asia and Africa are making significant efforts to establish research-intensive universities to catch up