NIO Says Tesla Can't Influence EV Prices In China As It Can In US via insideevs.com
"Tesla can fix vehicle prices in the US with a market share of over 60 percent, but not in China, where it holds only about 7 percent."adds that since Tesla reduced its prices, more than 40% of brands have come forward with incentives on both gas and electric cars in China. Following suit with Tesla, rivalCheck Out These Related Stories About NIO:Meanwhile, NIO CEO Li admits that his company's gross margins are not high enough right now to get involved in a price war.
NIO's margins have fallen due in part to increasing lithium prices. The goal is to get back near 20%, but the margins had dropped to around 14% by the end of 2022. Amid the significant price cuts, Tesla is still seeing some of the highest gross margins in the industry, at over 25%, according toNIO delivered 122,000 EVs in 2022, which was up an impressive 24% year over year.
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