Electric vehicle maker NIO gets regulatory nod for third factory in China – report
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NIO (NYSE:NIO) has won approval to build a third factory in China that would boost the electric vehicle maker’s total approved production capacity to 1 million cars, Reuters reported on Wednesday, citing people with knowledge of the matter.
The new plant, known as F3, is located in Huainan city in the eastern province Anhui and will primarily produce vehicles for NIO’s (NIO) newly launched affordable car brand, Onvo, the report said. It would have a 600,000 unit annual capacity.
However, as per the report, it was not immediately clear when mass production from the site would begin.
The approval comes as the EV market share battle rages on in China among players like Tesla (TSLA), Li Auto (LI), and BYD Company (OTCPK:BYDDF), and XPeng (XPEV).
NIO (NIO) shares rose sharply in Hong Kong in mid-May, on expectations that May deliveries would likely hit a record high amid continued discounts on car prices.
Last month, the Chinese electric vehicle maker said that it was adjusting its approach to global markets, in light of geopolitical developments, while the company will still focus on China.
