- Onvo’s first model, the L60, is a competitor to the best-selling Tesla Model Y.
- The second model from the Onvo brand will cater to large families.
- Nio acknowledges it has sacrificed speed to cut costs and lower the L60’s starting price.
Nio has big plans for its new entry-level Onvo brand and will release a new model through the company each year.
Earlier this week, Nio launched its value-oriented sub-brand. Its first product is the L60, an SUV that rivals the Tesla Model Y but will cost approximately 12% less. Nio itself accounts for approximately 3% of China’s overall EV market and has struggled to become profitable. It believes the Onvo brand can contribute to its overall profitability if monthly sales exceed 20,000 units.
Read: Nio Nukes Tesla Model Y’s Price Point With New Onvo L60 Crossover
While the L60 has all the right ingredients to be a strong seller, Nio isn’t stopping there. Speaking at the launch of the Onvo brand, Nio chief executive William Li said the brand’s next model will target larger families but failed to provide additional details.
According to Onvo’s president, Alan Ai, the company is not focused on blistering acceleration figures like many other EVs and has saved money by not requiring high-performance motors.
“People don’t need family cars for racing… It is thus very important for them to save unnecessary costs in high-performance electric motors, which would also improve insurance and maintenance-related cost savings,” he told Reuters.
The Onvo L60 has been equipped with Nio’s 900-volt fast-charging architecture and works with the company’s battery-swapping network. Onvo says it requires just 12.1 kWh of electricity per 100 km, beating the 12.5 kWh of the Model Y. The Extra Long Range should be able to travel over 621 miles (1,000 km) on a charge through the CLTC cycle. Long Range and Standard Range models will also be available, offering 454 miles (730 km) and 345 miles (555 km) of range, respectively.
