Market Overview

Nio's Sedan Launches Jan. 9: What We Know

Share:
Nio's Sedan Launches Jan. 9: What We Know

All eyes are on what Nio Inc – ADR (NYSE: NIO) has in store for its stakeholders at its annual Nio Day Jan. 9. The company has confirmed certain details, including the launch of its first-ever sedan.

What Happened: Nio Day 2020, to be held in Chengdu, will feature the launch of the electric vehicle manufacturer's first flagship sedan with the latest autonomous driving technology, the company said in a Monday release. 

Nio also said it will shed light on the 150 kilowatt-hour battery pack, second-generation swap stations and other core technologies.

Speculation was rife that Nio's sedan would be pitched against bigger rival Tesla Inc's (NASDAQ: TSLA) Model 3 vehicle, but it now appears that Nio's sedan will go up against Bayerische Motoren Werke's ADR (OTC: BMWYY) 7 Series, according to a report in cnTech Post.

When asked by a user on the Nio App as to which class of luxury cars the sedan would target, Nio's President Qin Lihong reportedly named the BMW 7.

Related Link: Nio's Record Run Continues As Deliveries Spike 121% In December; EV Maker Confirms Sedan Launch On 'Nio Day'

The sedan could be the first vehicle from Nio's stable to be powered by the 150kWh battery pack, the report said.

With the energy density of the new battery pack at 258wh/kg, the battery capacity can be increased without increasing the size of the battery pack. 

The range of the new sedan, which has a lower wind resistance coefficient, could exceed 900 km under NEDC standards, cnTech Post said.

Going by the image released by Nio along with the press release confirming the launch, the new sedan will likely be equipped with a new lidar device in the front gear position, the report said.

The new sedan will reportedly maintain the family design style and will have a more low-slung body and a sharper front end.

Nio has kept the design a secret and has not divulged any further information, including its name.

Why It's Important: Nio has rebounded strongly from the impact of COVID-19 pandemic. The company ended the year 2020 with a flourish, doubling its deliveries to 43,728 vehicles.

Given the lucrative nature of the Chinese market, market leader Tesla has gone out with all guns blazing to take a lion's share of the market.

A case in point is the aggressive pricing Tesla has instituted for its China-made Model Y vehicle.

Nio has also been proactive in taking on competition with its technology, product innovation, and service offerings. The new sedan is expected to given the company another means to ward off the competitive threat.

NIO Price Action: At last check, Nio shares were rallying 9.31% to $53.28. 

Related Link: Nio To Match Vehicle Prices Through Jan. 10 As China Plans 20% EV Subsidy Cut In 2021

 

Related Articles (NIO)

View Comments and Join the Discussion!

Posted-In: China electric vehicles EVsNews Previews Events Media Trading Ideas Best of Benzinga