Nio plans to introduce its Onvo sub-brand to European markets starting in 2027, founder and CEO William Li said during a visit to the region.
The family-oriented marque, launched in May 2024 with the L60 five-seat SUV, represents Nio‘s push into more affordable segments despite the tariffs imposed by the European Commission last year.
In China, Onvo began L60 deliveries in September and unveiled its second model, the L90, in July. A third model, the L80, is slated for delivery in the first half of next year.
Li confirmed Onvo‘s European expansion when asked whether the sub-brand would reach Norway, though specific plans remain under discussion as part of the company’s three-year business strategy.
“The product portfolio and planning for the European markets and global markets are also part of that business plan for the upcoming three years,” Li said.
While all Nio vehicles are engineered for global markets, Li emphasized the need for strategic market entry decisions.
“We need to make sure that the products we introduce to a new market are the right products for that market,” he said. “It should sell well, it should perform well in that market. Otherwise, our investment and efforts will be drowned in the drain.”
The CEO noted that Onvo and the company’s entry-level Firefly brand will help Nio overcome pricing challenges in Europe, where its premium vehicles face tariff headwinds.
“Nio vehicles are significantly pricier than our competitors because of the tariff and also the premium positioning of Nio,” Li said. “But now we have Firefly, and in 2027 we will be having Onvo, which are more affordable even after or with the tariff.”
Onvo will make its international debut in Uzbekistan, marking the sub-brand’s first market outside China. The first batch of vehicles arrived this week.
Strategic Pivot
The announcement comes as Nio shifts its European strategy, maintaining direct sales in Norway, Germany, the Netherlands and Sweden—markets entered in 2021-2022—while using third-party distributors for newer territories to preserve cash.
Denmark will transition to the distributor model.
Modest Volumes
Nio‘s European sales remain low.
The main brand registered 31 vehicles in Norway in October, down from 60 in September, according to Elbilstatistikk.
Netherlands deliveries totaled 10 units, while Germany, Europe’s largest market, saw 16 registrations—matching June’s record low since 2023.
Firefly, priced under $30,000 and exempt from EU tariffs in Norway, registered six units there and nine in the Netherlands in October.
