Onvo, the sub-brand of Shanghai-based EV maker Nio, saw its registrations in China decline for the fourth consecutive week, despite the ambitious targets management set earlier this month.
Onvo sold 1,200 vehicles between June 2 and 8 in its home market, a decrease of 14.3% from the previous week’s 1,400 units.
Weekly sales peaked in early May at 1,660 units, then declined over the next four weeks to 1,580, 1,560, 1,400, and 1,200 units.
Nio is targeting monthly deliveries of 25,000 vehicles under its Onvo sub-brand in the fourth quarter of the year, the company’s founder and CEO William Li last week during the earnings call.
Li believes the upcoming two new models, the L80 and L90, will help the brand to enter a new segment, expanding the total addressable market.
“In Q4, we will also release the L80 product,” the chief executive said. “Then by end of this year, there will be three products under the Onvo brand, and these three products will all be targeting family segments with good qualities and experiences.”
“Our target is to realize a monthly delivery of 25,000 units of Onvo-branded products in Q4,” he added.
Group sales for Nio, Onvo, and Firefly slipped to 4,340 vehicles last week, down 19.6% from the prior week.
Most automakers saw similar week-over-week declines, as the reporting period covered the usually slower start of the month.
The brand’s first model, the Onvo L60, began deliveries in September last year and saw traction in May following a series of internal restructurings and increased incentives.
The brand delivered 5,912 units in January, 4,049 in February, 4,820 in March, and 4,400 in April. An earlier internal goal of 20,000 units for March was not met.
Deliveries of the L60 in May rose more than 40% from the 4,400 units recorded in April.
The two additional models, the Onvo L90 and L80, are scheduled to be launched and delivered in the third and fourth quarters, respectively.
Nio has also been investing in new retail formats and infrastructure to support Onvo’s expansion.
The brand now operates more than 445 stores in China, while over 1,900 power swap stations are compatible with Onvo vehicles.
The five-seat SUV, launched in September and priced from 206,900 yuan ($28,700) including the battery, is positioned as a rival to Tesla’s refreshed Model Y.
