Chinese EV maker Nio reports a 65% decline in car deliveries in October

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• • Chinese EV manufacturer Nio said that the number of its car deliveries in October fell to 3667, as compared to September’s figures
• • The company blamed supply chain volatilities and reduction in production volume for the decline in numbers

Chinese electric vehicle (EV) maker Nio joined the list of automakers who have been plagued by the supply chain bottlenecks that have impaired its production.

Nio said that the number of its car deliveries in October fell 65% to 3667, as compared to September’s figures. The company said deliveries were “significantly impacted by a reduction in production volume as a result of the restructuring and upgrades of manufacturing lines and the preparation of new products.”

The company also blamed “supply-chain volatilities” for the fall in October deliveries. 

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The automaker reported a fall in deliveries in August as well, blaming the semiconductor chip shortage for the decline. It delivered 5,880 vehicles in August, down from 7,931 cars in July. 

The company also cut its third-quarter delivery forecast in September from between 23,000 to 25,000 vehicles to between 22,500 to 23,500 units. It is due to report its results on November 9.

Assessing the Competition

In contrast to Nio’s performance, its rivals fared far better. Li Auto said that the October deliveries of its Li ONE sports utility vehicle totaled 7,649, a near 8% month-on-month rise. 

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.

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Out of the three Chinese EV manufacturers, only Li Auto delivered more cars in October than September.

NIO launched the ET7, a flagship premium smart electric sedan, in January 2021. Its New York-listed shares fell 4% in pre-market trade on Monday but moved higher during the day by nearly 2%.

ALSO READ: Chinese EV maker Nio working on new mass-market brand

Inputs from CNBC

Picture Credits: TechCrunch