Nio Aims High, Xiaomi Grows Fast, CATL Bets on Swapping

Welcome to the latest edition of the China EV Pulse Newsletter!

In this issue, we explore Nios ambitious goal to secure a top 10 automaker spot by 2035. We also take a closer look at the Onvo L60 and its potential to rival Tesla in China, alongside the Firefly EV, Nios compact urban car designed for Europe.

Xiaomi continues to expand its footprint with the SU7, reaching 130,000 sales and eyeing further growth in 2025. Meanwhile, Xpengs Mona M03 achieves an impressive milestone with 50,000 units sold in just four months.

On the technology front, CATL is betting big on battery swaps with a record 100-second swap time, and Tesla’s Cybertruck has officially received the green light for the Chinese market.

Join us as we unpack these exciting developments shaping the global EV landscape.

Happy reading!

Nio Targets Top 10 Automaker Spot by 2035

Nios CEO, William Li, revealed the companys ambition to be among the world’s top 10 automakers by 2035, stressing the need to accelerate efforts to stay competitive with leading Chinese brands like BYD and Geely. Li expects half of the global top 10 automakers to be Chinese by then but warns that market consolidation will leave only a few players standing.

While BYD leads the domestic market with over 3.7 million sales in 2024, Nio sold under 200,000 units and aims to boost growth with its new Firefly EV and expanded Onvo lineup, critical steps to avoid falling behind domestic rivals.

Can Nios Onvo L60 Compete with Tesla in China?

Nios Onvo L60, a fastback SUV with a swappable battery, has achieved 20,000 deliveries within three months of its launch on September 28, 2024. Priced from 149,900 yuan (approximately $21,200 with BaaS), the L60 targets the middle-to-high-end market as a competitor to the Tesla Model Y. Despite strong initial sales growth—marked by 9767 units delivered in December alone—the L60 remains far from rivaling the Model Y, which sold 44,576 units in November in China.

Challenges persist for the Onvo brand, including battery availability issues at Nio's Power Swap Stations and the dominance of Tesla's brand perception. While Onvo officials are confident about surpassing their 10,000-unit December target, the brand still faces an uphill battle to position the L60 as a viable alternative to the Model Y in a highly competitive market.

Firefly EV: Nios Compact Urban Car Targets Europe

Nios new brand Firefly has launched its first model, the compact Firefly EV, now available for pre-order in China starting at 148,800 yuan (€19,760). Aimed at younger buyers, the Firefly EV marks a shift for Nio, as it will be sold through third-party dealerships rather than Nios direct sales model. Equipped with nine airbags, hidden door handles, and a Frunk with 92 liters of capacity, the Firefly EV is tailored for urban mobility, boasting a 9.4-meter turning radius and autonomous parking technology. While the compact battery design prevents use of Nios existing swap stations, the company plans smaller, flexible alternatives specifically for Firefly models.

The Firefly EV, designed by Nios European team in Munich, will launch in China in mid-2025, with European sales to follow shortly after. Competing with models like the Volkswagen ID.3 and BYD Dolphin, it is positioned as a smaller, more affordable addition to Nios portfolio. Nio plans to expand Firefly into Europe, Southeast Asia, and Latin America but has yet to announce specific markets or dealership partners. CEO William Li emphasized readiness as key to the brand’s international rollout.

Xiaomi SU7 Hits 130K Sales, Plans 2025 Expansion

Xiaomis SU7 electric sedan has achieved 130,000 deliveries in just nine months, surpassing its full-year adjusted target. Priced between 215,900 and 229,900 yuan ($29,600–$31,500), the SU7 has drawn significant attention since its launch on March 28, 2024, securing 50,000 pre-orders within 27 minutes. Production issues initially slowed momentum, but ramp-ups in June enabled the company to hit 20,000 units monthly, propelling sales to 130,000 by December 28. December alone saw 16,328 deliveries, solidifying the SU7's position in China’s EV market.

As Xiaomi celebrates one year since the SU7's first presentation, it is preparing to boost production with a second-phase plant in 2025. The company also plans to launch two new models: the SU7 Ultra, a three-motor sedan, and the YU7 crossover, aiming to expand its footprint in China’s competitive EV landscape. These developments signal Xiaomi's ambition to grow its presence in the middle-to-high electric vehicle segment.

Xpeng Mona M03 Hits 50K Units in Just Four Months

Xpeng has reached a major milestone with the 50,000th Mona M03 rolling off the production line just four months after its launch on August 27, 2024. The electric liftback, priced from 119,800 yuan ($16,400), quickly became the brand's best-seller, achieving over 30,000 deliveries and setting a new production record. Xpeng ramped up production capacity three times to meet demand, enabling a production cycle of one car every 72 seconds, or 50 cars per hour. This marks a significant turnaround for Xpeng, following years of slower sales.

Developed over four years with an investment of 4 billion yuan ($560 million), the Mona M03 features advanced engineering, including a world-leading drag coefficient of 0.194 Cd and a vision-based driving assistance system. CEO He Xiaopeng emphasized the profitability of the model, attributed to optimized production costs. As Xpeng achieves its fastest production rate yet, the Mona M03 has established itself as a key driver of the company’s domestic success.

Battery Swaps in 100 Seconds: CATL’s Big Bet

CATL has unveiled its Choco-Swap ecosystem, introducing two standardized battery models (#20 and #25) designed for electric vehicle battery swapping. With nearly 100 partners, including automakers, insurers, and e-commerce platforms, CATL aims to simplify EV ownership and reduce costs. These batteries offer capacities ranging from 42 kWh to 70 kWh, providing up to 600 km of range. CATL plans to install 30,000 swap stations by 2030, capable of storing 33.6 million kWh of energy and enabling battery swaps in just 100 seconds.

The initiative is set to revolutionize EV battery usage by promoting affordability through leasing options starting at €49 per month. CATLs standardized approach could cut EV development cycles by over six months and expand the market with industry-wide collaboration. The ecosystem is expected to enhance green energy usage, integrate smart energy solutions, and support broader adoption of battery swapping globally.

Tesla Cybertruck Gets Green Light in China

Teslas Cybertruck has cleared a key regulatory milestone in China, receiving an official energy consumption label from the Ministry of Industry and Information Technology (MIIT). Classified as an M1 passenger vehicle, the Cybertruck offers a range of 618 km and a three-motor setup with peak outputs of 206 kW, 222 kW, and 222 kW. With energy consumption of 22.6 kWh/100 km, the estimated cost of operation is 14.92 yuan (€1.90) per 100 km, though real-world results may vary. Range reductions of up to 40% are expected in extreme cold with heating use.

The energy label does not confirm the Cybertruck’s imminent launch in China, as further adjustments are needed to meet market and regulatory demands, including pedestrian safety systems. In China, pickups face stricter restrictions due to their classification as light commercial vehicles, complicating market entry. Tesla CEO Elon Musk has acknowledged these challenges for the Cybertruck’s compliance in both China and Europe, fueling speculation about its eventual release.

Thank you so much for dedicating time to read this short update. If you've found it insightful, We would be truly grateful if you could share it with colleagues, friends, or anyone you believe would benefit from it. Your support means the world to us.

To ensure you don't miss any issues, please whitelist the sender's email address in your email program or move the newsletter to your Primary Inbox.

Feel free to send your feedback to [email protected] or forward this email to friends and colleagues if you found it useful.

Best

Sebastian & team | China EV Pulse

📸 _{Image Credits (in order of appearance): Tada Images / Shutterstock - Nio - Sebastian Henßler - Nio/ Firefly - Xiaomi - XPeng - CATL - Maxim}