Nio, a premium electric car company in China, plans to reveal a new car model by the end of May. This new model will be part of a mass-market brand. They also aim to introduce a smaller electric vehicle in Europe next year, which will cost less than $30,000.
The new brand, Onvo, will focus on creating electric vehicles (EVs) that compete with Tesla’s Model Y. Nicolas Vincelot, a manager at Nio, shared this news during a business forum in Paris. He mentioned that more information about Onvo, previously known as “Alps,” will be available soon.
Nio is also launching another sub-brand called Firefly. These smaller EVs are designed for city driving and are expected to be priced below $30,000. Both Onvo and Firefly aim to sell their cars in Europe, with the first Onvo model expected to arrive by the end of the year. Firefly is scheduled to be revealed in 2025.
These cars will work with Nio’s fast battery swapping stations, allowing drivers to exchange empty batteries for fully charged ones quickly. The Firefly prototype is a compact four-door hatchback.
Another Chinese electric car company, Xpeng, is planning to launch a mass-market brand called Mona. These cars will have self-driving features and will be priced below $21,000.
Nio is shifting from its subscription model to a broader distribution approach, selling and leasing cars online and in city showrooms. They have started selling cars in several European countries, including Norway, Denmark, and Germany.
Due to a slowdown in EV sales and increased competition in China, Nio has been cutting costs. They reduced their staff by 10% last year and are considering spinning off their battery manufacturing division.
Chinese EV companies are expanding into Europe to take advantage of lower costs compared to European competitors. However, the European Union is investigating whether Chinese EV imports violate competition rules. This investigation was expected to be discussed during Chinese President Xi Jinping’s visit to France.
