Chinese luxury electric automaker NIO is gearing up to officially debut its inaugural mass-market model under the new Onvo sub-brand by the end of this month ahead of its launch in May 2024, Reuters reported.
Nio’s new Onvo brand to launch next month
NIO announced plans to launch Onvo’s first electric vehicle model as early as next month, marking the company’s first-ever low-cost offering.
Chief Executive William Li asserted that Onvo’s first EV primarily targets the world’s most popular vehicle, the Tesla Model Y.
Onvo, along with NIO’s other upcoming brand, aims to compete in the European market.
“Nio is currently working on the launch of new car brands, that would be less premium, still obviously 100% electric, and more suited for the European market needs.”
Nicolas Vincelot, NIO France General Manager, said during a France-China business forum in Paris
NIO has already launched Onvo’s website in China, encouraging prospective buyers to “stay tuned” for the upcoming L60 EV.
General Manager Vincelot also noted that NIO would reveal more details about the brand, codenamed “Alps,” by the end of April 2024. Meanwhile, the Onvo L60’s global launch will transpire by the end of 2024.
Upcoming Firefly brand
NIO also plans to launch its second sub-brand, which is codenamed “Firefly.” It will offer smaller electric vehicles for city driving with a price point of just below $30,000.
As mentioned, both Alps and Firefly are eyeing the European market.
NIO reportedly plans to debut the Firefly sub-brand in 2025. Initial videos of the Firefly prototype revealed a compact four-door hatchback.
Excitingly, NIO’s two upcoming sub-brands will come with battery-swapping capabilities. They can access their parent company’s innovative battery-swapping stations in China.
New business model
General Manager Vincelot disclosed that the Chinese electric automaker no longer plans to depend on the subscription model it originally employed.
It now aims to use a wider distribution model, such as selling and leasing EVs online or in showrooms across major cities.
NIO has already penetrated several European markets, starting in Norway, Denmark, Sweden, Germany, and the Netherlands.
NIO’s European expansion is unsurprising, considering the oversupply in the Chinese market. It even prompted the EU to launch a subsidy probe against cheap China-made EVs.
French President Emmanuel Macron and EU Commission chief Ursula von der Leyen are expected to tackle these prevailing issues with Chinese President Xi Jinping. The Chinese leader arrived in Paris on Sunday.
