Phate Zhang

The moves include holding auto festivals in 100 cities and promoting consumption of NEVs in rural areas.

China will need 1,000-1,200 GWh of power battery capacity by 2025, but the industry is already planning for 4,800 GWh of capacity, according to Changan's chairman.

Wang believes that the NEV change is a technological revolution, and only companies with core technologies will survive.

Tesla is asking several Chinese supply chain companies to build factories in Mexico in order to replicate a Giga Shanghai and its supply chain system there, according to local media.

Li Auto is preparing to open so-called "central stores" in select Chinese cities, moving away from its current model of opening only experience stores in shopping malls, local media said.

Second-tier battery makers may adopt a more aggressive pricing strategy to gain market share in the second half of the year, and CATL could face increasing risks to its market share and margins in the domestic market, Morgan Stanley said.

Nio launched the new ES6 on May 24, though the model is likely still in the process of climbing capacity and not contributing much to sales.

Confirmed orders for the ES6 accounted for 35-40 percent of new orders in May, meaning inflows since the model's launch in the last week of May have been quite meaningful, Morgan Stanley said.

The new brand's official name could be Fangchengbao, with the first model expected to compete with the Mercedes-Benz G-Class.

Consumers who lock in their orders for the new ES6 can now expect delivery in about five weeks.