NIO drops Shanghai plant plans

Source: Xinhua | 2019-03-07

NIO Inc, a Shanghai-based electric car company, has given up its Shanghai factory plan after posting a loss of 9.6 billion yuan (US$1.43 billion) in 2018.

New York-listed NIO posted revenue of 4.95 billion yuan in 2018, with losses of 9.64 billion yuan — 92 percent more than 2017. Vehicle sales amounted to 4.85 billion yuan in 2018, accounting for 98 percent of the total revenue for the year.

NIO began to deliver the ES8, a seven-seater high-performance premium electric SUV, in June 2018. A total of 11,348 ES8 units were delivered within the year. The company then launched its second model, the ES6, a five-seater high-performance premium electric SUV, in December 2018, according to a report from Xinhua.

NIO said it would drop its plans of setting up a manufacturing plant in Jiading after signing a framework agreement with the district in 2017.