China’s Tesla challenger Nio ‘not worried’ by tariff cuts, sees customer service as providing edge over US competitors
- Nio reported sales of more than 2,059 units of its ES8 model in October, outshining Tesla whose sales on the mainland totalled 211 vehicles for the month
- Tesla announced on Friday that it will cut prices in China by 25 per cent, after Beijing announced it would roll back a punitive 25 per cent levy on US auto imports that took effect in October
Nio, known as a Tesla challenger in mainland China, has stepped up a gear to consolidate its foothold in the mainland’s electric vehicle (EV) market, launching its second model targeting a broader customer base.
William Li Bin, chairman and founder of the Shanghai-based electric carmaker, said that the lowered tariff on American-made automobiles exported to China would have minimal impact on Nio’s sales amid buoyant demand for EVs in the world’s largest auto market.
Nio reported sales of more than 2,059 units of its ES8 model in October, outshining Tesla whose sales on the mainland totalled 211 for the month, down 70 per cent from a year earlier, after it raised prices by about 20 per cent due to an additional 25 per cent tariff imposed by Beijing, according to figures by the China Passenger Car Association.
Tesla disputed the figures without disclosing an exact number.
ES8 was the first model launched by Nio at the end of 2017, a seven-seat SUV that has a staring price of 448,000 yuan (US$64,927) before subsidies.
