On July 12, Bank of America had a call with NIO‘s management team in which the company revealed that it had scaled back production at its plant from 400 to 600 vehicles per day, an increase of fifty percent.
Although, on Saturday, NIO held a Partner Day Event at its factory located at NeoPark in Hefei with the CEO William Li warning “the NIO ET7 and some other models that use advanced processes” suffered in July “a bottleneck in capacity for parts in casting” affecting thousands of units.
Given this warning from the CEO with two days to go before the end of the month, the most likely scenario is that NIO will not reach a new monthly record in July but is still expected to report over 10,000 vehicles delivered, breaking that mark for the second time this year.
In July, China’s official manufacturing purchasing managers’ index (PMI) fell to 49.0 from 50.2 in June, the National Bureau of Statistics (NBS) reported earlier today. According to World Economics, China’s lockdown measures “had some impact on 41% of Chinese companies in July, though its index of manufacturing business confidence rose significantly from 50.2 in June to 51.7 in July”, Reuters reported.
Last month, NIO delivered 12,961 units (up 60.3% year-over-year) including 1,684 ES8s, 5,100 ES6s, and 1,828 EC6s, and 4,349 ET7 sedans.
Two weeks ago, Bank of America unveiled the company “had increased its daily production capacity from 400 units to 600 [daily] units in June, and management saw strong orders for both ES7 and ET7, with ET7 order backlog pushing its capacity allocation towards the upper limit”.
As reported by EV on March 22, Li confirmed the months-long waiting list that customers of the NIO ET7 sedan have to face when reserving the model. The company started the test-drives on March 5th and began delivering the sedan on March 28, four months ago.
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Last Friday, NIO signed an agreement with the Hungarian Government in order to set up its 10,000 square meters plant in the country, the first one outside China. The plant will serve as the “manufacturing, service and R&D center for the brand’s Power products and services in Europe with the main activities being production and after-sales service for battery switching stations, training of NIO employees and R&D in energy applications”, NIO said.
The factory will be located at Biatorbágy and is planned to produce 240 battery swap stations in this facility per year aiming to have 4,000 in operation worldwide by 2025, according to local media.
Earlier in the day, NIO’s senior vice president Zeng Shuxiang unveiled that the company rolled out the first electric drive system C sample for the upcoming ET5 model at NEO Park. NIO VP also stated that the EV maker “is one of the very few companies in the world with a full-stack self-developed and manufactured electric drive system and the only automaker with independent forward R&D capabilities”.
At an event with NIO users held recently in Fuzhou, China, the CEO William Li said the company is making progress with the NIO phone business. According to the blogger 德卤爱开车, Li said the company aims to launch a new phone every year like Apple while assuming the biggest challenge is to create a mobile phone easy to use.