eastwest connect

NIO production affected by the pandemic | Li Bin: I hope production can return to normal in November

According to Chinese media outlet “Daily Economic News”, a few days ago, it was reported that due to the impact of pandemic prevention and control requirements, NIO’s two factories in Hefei have stopped production one after another, and the delivery progress of its models has generally been delayed. “Production (aspect) is indeed seriously affected by the pandemic.” On November 2, NIO replied in an interview with a reporter from the “Daily Economic News”.

On November 2, the Anhui Health and Health Commission notified that from 0 to 24:00 on November 1, 2022, Anhui Province reported no new confirmed cases and 5 new asymptomatic infections (1 case in Feidong County, Hefei City, 1 case in Luyang District, and 3 cases in Baohe District).

Both NIO factories are located in Hefei City. The first factory of JAC NIO is located in Susong Road, Baohe District, Hefei City; the second factory of NIO is located in the Xinqiao Smart Electric Vehicle Industrial Park, Hefei.

NIO Neopark Plant

In fact, as early as April this year, NIO stopped production for 5 days due to the disruption of the supply chain caused by the pandemic.

At present, NIO has delivered a total of 6 models. The newly-launched NIO second factory has a planned production capacity of 300,000 vehicles, and is used for producing the ET5 model. The JAC NIO plant is responsible for the production of the other five models, with a maximum production capacity of 300,000 vehicles after the production line is upgraded.

“In October, the production base was severely affected by the pandemic, and the delivery time for some users was delayed. We apologize for this.” On November 1, Wei Jian, senior vice president of NIO user operations, said on the NIO APP, “We will work hard to overcome difficulties and speed up the delivery of cars for users and friends.”

According to the 36kr report, since mid-October, NIO’s production has begun to face challenges. JAC NIO’s first factory will be closed for 3 to 5 days in order to cooperate with the original plan for pandemic prevention, but because most parts are in stock, they can be closed for production. As the pandemic control time is prolonged, the overall production and delivery rhythm are significantly affected. The second factory of NIO has also been closed and controlled recently, and the vehicle production line has also been suspended.

In October, NIO delivered 10,059 new vehicles, a year-on-year increase of 174.3%. “Our vehicle production and delivery have been affected by factory operation challenges and supply chain fluctuations brought about by the pandemic in some regions.” NIO said frankly.

The slowdown in production and delivery has caused many car owners to urge NIO to deliver new cars. In this regard, Li Bin replied to the car owner on the NIO APP, saying, “Thank you all for your support! I hope that the production of whole vehicles and parts will return to normal in November, and we will deliver the loved cars to everyone as soon as possible.”