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Monday, November 1, 2021

Chinese EV maker Nio's deliveries drop 65% as supply chain issues, manufacturing changes bite - CNBC

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A Nio ES6 vehicle is on display during the 18th Guangzhou International Automobile Exhibition on November 20, 2020 in Guangzhou China.
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GUANGZHOU, China — Nio's deliveries of cars to customers in October fell sharply as supply chain issues and changes to its manufacturing lines impacted the Chinese electric vehicle maker.

The company's New York-listed shares fell 4% in pre-market trade on Monday.

Nio said it delivered 3,667 vehicles in October, down more than 65% from September.

The company said deliveries were "significantly impacted by reduction in production volume as a result of the restructuring and upgrades of manufacturing lines and the preparation of new products."

Nio also blamed 'supply chain volatilities" for the fall in October deliveries.

It released its first sedan, the ET7, in January and plans to begin deliveries of that car next year.

In the last few months, Nio has been impacted by the global semiconductor shortage which has hit automakers. Despite this, Nio said that its orders reached another all-time high in October due to "increasing user demand."

It comes as the company's rivals fared much better in October on deliveries.

Guangzhou-based Xpeng Inc said it delivered more than 10,000 cars for the second consecutive month in October, a 2.6% month-on-month decrease.

Li Auto said October deliveries of its Li ONE sports utility vehicle totaled 7,649, a near 8% month-on-month rise. Li Auto was the only company of the three to deliver more cars in October than September.

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Chinese EV maker Nio's deliveries drop 65% as supply chain issues, manufacturing changes bite - CNBC
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