ET5 potentially obliterates competition in the mid-size premium luxury segment ruled for decades by BMW and others and more recently Tesla.

Editor's note: This is a guest post from Rafi Khan, an Nio investor, and does not represent the views of CnEVPost.

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Country standard bearer, industry disruptor, competition obliterator, middle-class life enhancer – ET5 can be a water-shed seminal product transformer for Nio.

In the mid-1960s, Toyota introduced the Corolla.

Global auto industry consumer purchasing, Japanese standing in quality, technology, engineering, and workmanship perceptions were transformed for the next 60 years.

Ford had a similar global transformative effect first with its Model T over a century ago & then with its Ford pickup truck.

The launch of ET5 could be such a seminal moment for China, Nio, EV & AV sectors.

There was a frenzy at all Nio Houses & Spaces with the formal launch of ET5.

NIO sees its 'Model 3' moment as ET5 starts locking in orders

There may be reasons why the ET5 launch created such a frenzy:

Tens of millions of Chinese

Now along comes Nio with its E5:

In summary, ET5 potentially obliterates competition in the mid-size premium luxury segment ruled for decades by BMW & others and more recently TSLA whilst at the same time giving enhanced status potential to millions that may have been looking to buy BYD or XPEV offerings.

All for price entry point as low as RMB 228,000 which is much lower than the cheapest entry-level single motor RWD TSLA Model 3.

Hence the nationwide frenzy for ET5.

Until customers actually pay non-refundable deposits with firm orders, it would be foolhardy for any management to make future plans for any new model.

But now with firm orders for ET5 in hand, Nio management can potentially look forward to:

From a company perspective:

ET5 is great for consumers but also great for Nio margins & profits:

Nio is happy to play the long game & patiently see profits & margins grow.

Just as in the early 1900s with Ford & in the 1960s with Toyota.

The launch of ET5 in September 2022 may be a seminal point in time for the EV industry; Chinese EV global dominance & leadership in EVs & Nio in its quest to be a Generation Life Style Eco-friendly behemoth.

The frenzy in Nio Houses & Nio Spaces points to that.

Not a Financial Advisor, Nor an Auto Analyst JMHO DYODD