NIO CEO William Li said EVs “should never be a political target” after confirming the company’s plans to expand in Europe. The warning comes as the EU is considering tariffs on Chinese-made EVs.
Growing in Europe despite tariff debate
NIO officially opened its largest showroom in Europe this week: the new NIO House located in the heart of Amsterdam. The new showroom is the company’s second in the Netherlands and seventh in Europe.
Spanning eight floors (the NIO House is usually two), the new NIO House is a bold sign of the Chinese EV maker’s European expansion plans. NIO will use the “house” to display and sell its lineup of electric vehicles.
The expansion comes despite the European Commission launching an investigation into Chinese EV subsidies last year.
China has now threatened to retaliate with tariffs of up to 25% on imports, but NIO is sticking to its European growth plans. Li confirmed to reporters this week that NIO will continue with its EU expansion plans despite the rising tensions.
NIO says EVs should not be a political target
“Electric vehicles are very important for the positive development of the environment and should never be used as a political target,” Li added.
NIO’s president said the EV maker would consider building an EU factory with a local partner, but only if NIO can sell about 100,000 EVs a year. NIO sold just 2,404 vehicles in Europe last year, according to Dataforce. Automotive News China).
The brand’s new showroom, which sees around 10,000 visitors daily, could be a harbinger of NIO’s expansion.
Sales of electric vehicles in the Netherlands tripled to 128,000 last year from 43,000 in 2019, accounting for about 30% of new car sales, according to BOVAG.
NIO last week launched the first EV under its new mass-market brand, Onvo. The Onvo L60 electric SUV is priced from $30,500 (219,900 yuan), making it cheaper than Tesla’s Model Y in China.
Tesla’s base RWD Model Y is priced from $34,500 (249,900 yuan) and has a CLTC range of up to 554 km (344 miles), while the new NIO Onvo L60 has a CLTC range of up to 555 km (341 miles).
With a length of 4,828mm, width of 1,930mm and height of 1,616mm, the Onvo L60 will compete directly with Tesla’s best-selling Model Y in China (length 4,750mm, width 1,921mm and height 1,624mm).
But in Europe, it will likely be a different story: NIO’s mass-market brand Onvo is set to launch a larger electric SUV next year, while four new NIO-branded vehicles are due to hit the market next year: the ET9 sedan, ET6 sedan, ES8 SUV and ES7 SUV.
| NIO Onvo L60 vs Tesla Model Y Trim | range (CLTC) |
Starting price |
| NIO Ombo L60 (60 kWh) | 555 km (341 miles) | 219,900 yuan ($30,500) |
| NIO Ombo L60 (90 kWh) | 730 km (454 miles) | to be decided |
| NIO Ombo L60 (150 kWh) | +1,000 km (+621 miles) | to be decided |
| Tesla Model Y RWD | 554 km (344 miles) | 249,900 yuan ($34,600) |
| Tesla Model Y AWD Long Range | 688 km (427 miles) | 290,900 yuan ($40,300) |
| Tesla Model Y AWD Performance | 615 km (382 miles) | 354,900 yuan ($49,100) |
NIO shipped 15,620 EVs last month, up 135% year over year. The EC6 (+53%), ES6 (+48%) and ET5 (+52%) all achieved double-digit growth month over month.
“If the product is made right, one model can sell well, as BYD Tesla has proven,” Li said.
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