Chinese electric vehicle maker Nio Inc (NYSE: NIO) has named Europe’s car rental company LeasePlan as its preferred operational leasing partner for its electric cars in Norway.
What Happened: Nio’s electric SUV ES8 would initially be offered on the LeasePlan program, a move that marks the electric vehicle maker’s first entry in the European market under a leasing option, as per a statement.
Customers would be able to place an order directly via Nio, LeasePlan websites, or Nio House in Oslo.
The Shanghai, China-based Nio made a debut in Norway in October, a market where it aims to compete with established electric-vehicle rivals.
Nio says ES8 has a range of upto 310.7 miles and offers a battery-as-a-service subscription option, allowing drivers to swap and upgrade the battery that powers the electric vehicle.
Why It Matters: The electric vehicle maker is betting on the success in Norway as it attempts to expand presence overseas. Nio had in October revealed the pricing for ES8 in Norway and priced it lower than home country China.
The electric vehicle maker has been setting up a network of stores, charging stations, service centers and battery swap stations in Norway, a country that it sees as most electric friendly. It is also planning to expand into five more countries in Europe soon.
Nio is not alone as a host of Chinese electric automakers such as BYD Co (OTC: BYDDY), Li Auto (NASDAQ: LI), Xpeng Inc (NYSE: XPEV) and others are now eyeing overseas expansion after successfully establishing their brand in home turf where the already compete with Tesla Inc (NASDAQ: TSLA) and Volkswagen Group (OTC: VWAGY).
The development comes days after Nio said it was partnering with Netherlands-based oil and gas company Royal Dutch Shell (NYSE: RDS-B) to build battery swapping and charging stations across China and Europe.
The plan includes installing 100 battery swapping stations in China by 2025 and building pilot stations in Europe next year onwards.
Price Action: Nio shares closed 11.2% lower at $32.15 a share on Friday.
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