Update: ‘Nio gears up to enter Denmark’ and ‘Nio’s sales in 2021‘ sections added.
Nio has entered its first overseas market last year by beginning customer deliveries in Norway. Before the Norwegian launch, Nio had confirmed that it plans to enter Germany as well.
During Nio’s Q2 2021 earnings conference call, William Bin Li, the company’s Founder, Chairman, and CEO, revealed that the company has its eyes on more European markets and that Germany is one of them. However, it is in no rush and will gradually expand its footprint, perfecting operations in each country before going to the next.
Of course, we’re going to enter more markets in Europe, including Germany. For most of the products we’re going to deliver to Europe is going to be based on the NIO technology platform 2.0 except the ES8.William Bin Li, Founder, Chairman, and CEO, Nio (Q2 2021 earnings conference call)
First Nio model in Germany
Nio is entering Norway with the ES8, but it has a different plan for Deutschland. The company has confirmed that it will launch the ET7 as its first model in the country by the end of 2022. Moreover, if there’s enough demand for the ET7 in Europe, the Chinese automaker will consider local manufacturing. It is open to collaborating with OEMs and evaluating joint manufacturing in the continent. The ET7 made its European debut in Germany in September.
Nio will enter five new European markets in 2022, and it plans to offer only Nio Technology Platform 2.0 models in these countries. While Norway gets the Nio Technology Platform 1.0-based ES8, the other European markets (including Germany) will start with Nio Technology Platform 2.0-based models. We’re talking about the ET7, ET5, and newer EVs that enter series production from 2022. Bin Li confirmed this:
Next year, besides Norway, we’re going to enter additional 5 countries in Europe. And for this product planning of all those European countries, basically the ES8 based on the Nio Technology Platform 1.0 will only be sold in Norway. But for the other new countries, we’re going to enter, we will only sell the product based on the Nio Technology Platform 2.0.William Bin Li, Founder, Chairman, and CEO, Nio (Q3 2021 earnings conference call)
Nio European production
After Nio posted a job ad on LinkedIn for an ‘EU Plant operation manager’ with Mazowieckie, Poland, as the location, a rumor that the company will open its first European plant in Poland quickly spread in the media. Nio later reached out to CnEVPost to dismiss the rumor, saying that the job ad was a technical error and that there’s no plan to enter Poland.
It’s interesting to note that Nio had confirmed in September 2021 that it is interested in European production, stating that it would consider localizing the ET7 in the region if there’s good demand. Here is what the company had said in an announcement on 8 September 2021, in the press release titled ‘Nio ET7: European debut of the smart sedan, set for sale in 2022, marking the start of expanding operations in the region’:
Nio confirmed that should demand be there in Europe for ET7, it would consider the need for local manufacturing capacity and is open to explore the possibility to collaborate with other OEMs and to discuss joint manufacturing in the region.Nio (in the press release issued for the Nio ET7 European debut dated 8 September 2021)
Nio to introduce a low-cost brand
Nio is planning to launch a new brand for low-cost EVs as well. Without giving too much away, Bin Li said during last year’s earnings call that the relationship between the Nio and new mass-market brands will be Audi and Volkswagen or Lexus and Toyota. The models under this brand could serve as an alternative to models from budget EV brands, including Aiways and MG, both of which are present in Germany. We doubt there’s a plan to launch this new brand in Europe initially, though.
Nio’s line-up, which currently includes three SUVs – ES6, EC6, and ES8, will expand to six cars in 2022. The three new Nio models, including the ET7 and ET5, will roll off the assembly line at the same JAC-NIO factory in Hefei, China, as the current cars.
Nio ES8 Robotaxi in Germany
Intel subsidiary Mobileeye and German mobility service provider Sixt have collaborated to start offering Germany’s first commercial autonomous ride-sharing service in Munich from 2022. Customers will be able to access the service using either the Moovit app or the Sixt app. The two companies aim to expand the service across Germany and other European countries in the coming years.
Mobileye will own the robotaxi fleet for the driverless ride-hailing service in Munich. One of these Mobileye Robotaxis will be a Nio ES8, which debuted in Germany at the 2021 Munich Motor Show (IAA 2021). This Nio ES8 fully integrates Mobileye’s self-driving system, called Mobileye Drive.
Nio gears up to enter Denmark
The Nio ET7’s deliveries in China are set to begin as early as March 2022. Further, Nio plans to establish a strong footprint in Europe as well. While Nio’s entry into the German market, following Norway, has officially been confirmed, Nio is eyeing Denmark as well.
The Danish Car Importers Association, which procures and handles imported automobiles in the Scandinavian country, has confirmed that Nio is now an association member. In January 2022, we saw pictures of the ET5 Validation Prototypes rolling off Nio’s plant in Hefei, China, ahead of the start of customer deliveries in China this September. This could be one of the models that Nio plans to sell in Denmark from 2023, to compete with the Tesla Model 3, a strong performer in the local market.
Nio’s sales in 2021
Nio recorded a 109.1% growth in its sales in 2021, compared to 2020 by delivering 91,429 EVs. In addition, the brand also set a new quarterly record since its inception, by selling 25,034 units in the fourth quarter of 2021, representing a 44.3% year-on-year growth. December 2021 sales were up by nearly 50% — 2,782 units of the ES8 SUV, 4,939 ES6s, and 2,768 samples of the EC6 coupe were sold.
Cumulative sales of the Nio ES6, ES8, and the EC6 reached 167,070 units as of December 2021. The upcoming ET7 and ET5 models are expected to bolster sales, as would the European expansion.
Featured image: Nio