Nio has no intention of following Tesla’s lead in cutting the prices of its electric vehicles and is instead more focused on improving the various services it offers to customers and owners.
While speaking with CNBC to discuss the brand’s financial position and its sales, Nio chief executive William Li noted that the brand’s vehicles are worth the asking price, firmly stating that “we will certainly not join the price war.”
One of Nio’s immediate priorities is changing its current battery-swapping service. From June 1, those who purchase a new Nio model will only be able to use the battery swapping service free of charge four times a month, down from the six free uses per month that has previously been available. Additionally, Nio will soon start charging Chinese customers 380 yuan ($56) a month to use its Navigate on Pilot (NOP) assisted driving system.
Read: Nio Launches ET7, EL7, And ET5 EVs In Germany, Netherlands, Denmark, And Sweden
Interestingly, Chinese consumers only consider assisted driving technologies as the ninth most important new vehicle feature but Li believes this will change once shoppers can see what its system is capable of.
Nio is benefiting greatly from the soaring interest in electric vehicles across China. Indeed, sales of new hybrid and battery-electric vehicles accounted for 34% of all new car sales in China in March. Nio was able to deliver 31,0431 vehicles in the first quarter, a growth of 20.5% from the same period last year. The automaker’s successful first quarter came after a very successful 2022 where its sales jumped by 37%.
Nio also continues to grow internationally. It is spreading its mark across Europe and in October last year, began selling vehicles in Germany, the Netherlands, Denmark, and Sweden. In June, the sleek ET5 Estate will launch in Europe prior to sales commencing in China later in the year.
