Nio Launches Onvo Brand, Rejects Price War in EV Market

16.05.2024

Nio, the Chinese electric vehicle (EV) maker, has launched a new mass-market brand named Onvo, targeting budget-conscious consumers while pledging to avoid participating in the ongoing price war in the EV sector. CEO William Li announced that Onvo will maintain stable pricing and will not frequently adjust prices despite the competitive market. The brand will offer promotions like free battery swap services instead of cutting prices. Onvo's first model, the L60 SUV, is priced competitively against Tesla's Model Y but offers similar driving range. Nio aims for the new brand to contribute positively to profitability once monthly deliveries exceed 20,000 units. Despite the intense price competition in China's EV market, Nio is committed to preserving its premium image and avoiding heavy price cuts.

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