Industry dynamics

Nio says October deliveries will be impacted by production line revamp

Publishtime:1970-01-01 08:00:00 Views:25

Nio said the production line has gradually resumed production in the last 10 days of October and will deliver vehicles as soon as possible.

(Image credit: Nio)

Nio's production schedule in October has been affected by a production line renovation and upgrade, and some orders for vehicles scheduled for delivery in October will be delivered later than originally planned, the company said today.

Nio said the production line at JAC Nio Hefei advanced manufacturing base has completed a phased upgrade to further prepare for the introduction of a new model and capacity increase.

In the last 10 days of October, Nio's production line has gradually resumed production and will deliver vehicles as soon as possible, the company said.

Delivery plans for Nio's flagship sedan, the ET7, will not be affected, and its production is progressing steadily, the company said.

The company apologized for the delay in delivery of some orders and offered credit compensation to those who were affected.

If the delivery period exceeds 2 months, starting from the third month, users will receive 1,000 credits per day until the vehicle is delivered.

Users who were scheduled to get delivery in September and October 2021 will receive an additional 2,888 points at once if the vehicle is not delivered as scheduled, in addition to the delayed delivery credits, the company said.

Each Nio credit is equivalent to RMB 0.1 and can be used to make purchases at Nio Life.

Nio delivered a record 10,628 vehicles in September, exceeding the 10k threshold for the first time.

It now appears that Nio and its local counterparts Li Auto and Xpeng Motors have all been affected by different factors in their October deliveries.

Due to chip shortages, earlier this month, Li Auto started a new delivery model - it will deliver Li ONEs missing two radars and add them in the future when that part arrives.

Notably, however, Li Auto announced on October 28 that the 100,000th Li ONE rolled off the production line at its manufacturing facility in Changzhou, Jiangsu province.

For the first nine months of the year, Li Auto's total deliveries reached 55,270 units. Since delivery, Li ONE has accumulated 88,867 deliveries through the end of September, according to the company.

Since the company uses order-based production like Nio and Xpeng, this means it may easily exceed 10,000 deliveries in October.

On October 26, Xpeng informed some consumers awaiting vehicle deliveries that deliveries of several models, including the P5 sedan, which had just begun, had been affected by a shortage of millimeter-wave radar supplies.

Xpeng offered different options for owners whose deliveries were affected, but because the compensation it offered was so attractive, a large number of customers preferred to get their vehicles delivered first and have them installed in the future when the millimeter-wave radar arrives.