Production of the ET7 and EC6 was limited by the availability of casting parts in July, Nio said, adding that it expects to ramp up production in the third quarter.
Nio delivered 10,052 vehicles in July, up 26.74 percent from 7,931 units in the same month last year but down 22.44 percent from 12,961 units in June, according to data released today.
That delivery volume included 7,579 SUVs and 2,473 sedans, according to Nio, which for the first time did not release model-specific breakdowns.
Nio is currently delivering three SUVs, the ES8, ES6 and EC6, as well as the ET7 sedan.
Nio launched the Nio ES7 on June 15, and its deliveries are expected to begin on August 28. Deliveries of the Nio ET5 sedan, announced late last year, are expected to begin in September.
Deliveries of the ET7 in June were 4,349 units, which means that the ET7 sedan's deliveries in July were 43.14 percent lower than in June.
In July, production of the ET7 and EC6 was limited by the availability of casting parts, Nio said, adding that the company has been working closely with supply chain partners and expects to accelerate vehicle production in the following months of the third quarter.
Cumulative deliveries of Nio vehicles reached 227,949 units as of July 31, 2022.
At Nio Partner Day 2022 held on July 30, William Li, founder, chairman and CEO of Nio, said that Nio previously faced pressure on its supply chain mainly for chips and smart hardware, while in July the company suffered some new blows.
"With the Nio ET7 and some other models that use advanced processes, the company has suffered a bottleneck in capacity for parts in casting," Li said, according to a video shared by local media outlet Laoban Lianbo.
Notably, July is usually a slow month for the Chinese auto market, and the China Passenger Car Association (CPCA) previously predicted in a report that auto sales in China would decrease in July.
Based on preliminary estimates, China's July retail sales of new energy vehicles (NEVs) are expected to be around 450,000 units, up 102.5 percent year on year, the China Passenger Car Association (CPCA) said in a report released July 22.
If the CPCA's preliminary estimates are accurate, it would mean that China's retail sales of NEVs would be about 15 percent lower in July than in June.
In addition, unusually hot weather this year is potentially affecting sales.
China's NEV sales in June exceeded expectations and hit a record high, but the market has recently become concerned about weakening demand in the first two weeks of July, local brokerage firm CICC said in a research note earlier last month.
In addition to traditional seasonal factors, this year's severe hot weather has also affected consumer visits to stores and test drives, CICC said.
Data released earlier today by Nio's local counterparts Xpeng Motors and Li Auto both showed that their deliveries in July were lower than in June.
Xpeng delivered 11,524 vehicles in July, up 43.33 percent from 8,040 in the same month last year, but down 24.66 percent from 15,295 in June.
Li Auto delivered 10,422 vehicles in July, up 21.34 percent from 8,589 vehicles in the same month last year, but down 19.98 percent from 13,024 vehicles in June.
Nio plans to launch third brand, price could be as low as $14,820, report says
Related posts on CnEVPost
