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Chinese EV maker Nio pledges to avoid price war to maintain premium aura, even after launching mass-market brand Onvo
- ‘We will keep prices stable,’ CEO William Li says. ‘We will not participate in price wars’
- Quashes speculation that the premium EV builder would adjust its pricing strategy following debut of new Onvo brand
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Daniel Renin Shanghai
Chinese electric vehicle (EV) maker Nio plans to stay on the sidelines amid a bruising price war in the sector, even after it launched a new mass-market brand to target budget-conscious consumers.
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William Li, co-founder and CEO of the Shanghai-based carmaker, told reporters on Thursday that prices of its Onvo vehicles will not be adjusted frequently in the cutthroat market where dozens of players habitually jostle against each other with massive price cuts.
“We will keep prices stable,” he said. “We will not participate in price wars.”
The new brand, which launched on Wednesday to take on models from Tesla and Toyota, will only offer promotions such as free battery swap services to lure customers, Li added.
His statements quash speculation that the premium EV builder would adjust its pricing strategy to adapt to changing market conditions following the debut of the new brand.
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Over the years, Li has reiterated that Nio would avoid heavy price cuts to safeguard its image as a maker of high-quality cars.
Onvo vehicles adopt Nio’s proprietary battery swap technology, which allows owners to quickly exchange a spent battery pack for a fully charged one.
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