With a sticker price of 219,900 yuan ($30,476), Nio debuted the Onvo L60 SUV, which is 12% less expensive than Tesla’s Model Y, which has a starting price of 249,900 yuan in China. September is when Nio intends to begin Onvo L60 deliveries.
In addition to introducing the Onvo L60 SUV in Shanghai, Chief Executive William Li stated that the business wanted to compete with Toyota Motor’s RAV4 by offering family vehicles that strike a balance between ownership costs and customer experience.
The Model Y and RAV4 set the standard for family vehicles in their respective eras. It’s time to rethink the new benchmarks for family vehicles as technology advances and public awareness of smart EVs grows, Li stated at the function.
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He also mentioned that the car is roomier than Tesla’s Model Y.
The Onvo brand, which has a cheaper price tag, may potentially aid Nio in growing outside of China; however, the EU’s ongoing anti-subsidy investigation into Chinese electric vehicle imports has cast a shadow on any plans to enter Europe.
According to Ai Tiecheng, president of the Onvo brand, the Onvo L60 has an average energy usage of 12.1 kilowatt-hours (kwh) every 100 kilometers, which is somewhat less than Tesla’s Model Y. It also comes with Nio’s proprietary 900-volt fast-charging system.
According to Ai, the Onvo cars would have access to 25,000 Nio public chargers and more than 1,000 battery changing facilities.
Chinese media reported that Li had previously stated that the Onvo car’s bill of materials would be 10% less than Tesla’s Model Y’s. It would be more competitive at a cheaper price because to its lower cost and Nio’s EV battery rental service.
As part of its efforts to cut costs facing a brutal price war in China’s fiercely competitive EV industry, Nio abandoned plans to build batteries in-house and instead reached an agreement to buy batteries from BYD for the Onvo portfolio, according to a report published by Reuters last week.
Nio, whose namesake lineup is priced from 298,900 yuan ($41,200), around 30% higher than the Model 3 in China, sold 45,673 EVs in the first four months of this year, accounting for 3% of China’s overall EV sales.
By contrast, Tesla delivered 163,841 units in China to take an 11.4% market share, according to data from the China Passenger Car Association.
($1 = 7.2155 Chinese yuan renminbi)