Over the weekend, the company announced that it is raising prices and suspending production following the latest COVID-19 wave that added to the supply chain challenges
According to NIO CEO William Li, the prices of raw materials
have risen significantly this year with no sign of decreasing in the near term.
On Saturday, NIO revealed that it is suspending production because of
COVID-19-induced restrictions in the last several weeks, leading to halting
production at suppliers’ factories.
“Originally [we] thought we could bear it, but now with this
pandemic, it’s even harder to bear,” he said. “We have no alternative but to
raise prices. Please be understanding.”
Nio would raise the prices for its three SUVs by $1,572,
effective May 10. The costs for its recently launched ET7 and ET5 will remain
the same.
Following the news, during the Hong Kong trading hours, the NIO
share price fell almost 9%.
Source: cnbc.com
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