Tesla’s Chinese rival Nio Inc. ADR NIO is reportedly preparing to introduce its first hybrid vehicle in 2026, targeting international markets such as the Middle East, North Africa, and Europe.
What Happened: This strategic shift for Nio, traditionally focused on electric vehicles, aims to address challenges faced by Chinese EV manufacturers abroad, including trade barriers and slow charging infrastructure development, Reuters reported on Monday. The hybrid car is expected to launch in late 2026, with deliveries starting in 2027.
However, this hybrid model will not be available in China, where Nio will continue to offer only electric vehicles with swappable batteries.
See Also: SpaceX CEO Elon Musk Agrees That Starlink Could Combine Hardware With Solar Panels And Batteries
Why It Matters: Nio recently marked a significant milestone in its battery swap network, completing nine expressway networks in China. This achievement is part of Nio’s broader strategy to expand its battery swap network across the country by 2025.
In September, Nio experienced a significant surge in its stock price, driven by strategic investments in its subsidiary, Nio China, totaling 3.3 billion yuan from various investors. This investment is expected to bolster Nio’s financial position as it expands its market reach.
Moreover, a recent analysis highlighted a positive outlook for Chinese EV stocks, including Nio, due to a substantial stimulus package and new model launches. This optimism is further supported by Nio’s growth in October deliveries which was over 30% higher than the deliveries made during the same period a year ago.
Price Action: Nio was trading 1.61% higher on the Hong Kong stock exchange on Monday at the time of writing.
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This story was generated using Benzinga Neuro and edited by Pooja Rajkumari
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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