Caixin
Caixin Global – Latest China News & Headlines

Home >

ABOUT US

CX Tech is Caixin Global's real-time tech news portal, featuring 24-hour news, short-form analysis, and roundups from business and tech media in China.

TRENDING
Chinese Robot Startup Unitree Gears Up for Market Debut
LATEST
Chinese Robot Startup Unitree Gears Up for Market Debut
China Enforces AI Content Labeling Rules to Curb Misuse
Tech Brief (Sept. 2): China Rolls Out Mandatory AI Labeling
Meituan Enters Open-Source AI Race With LongCat Model
Tech Brief (Aug. 29): SenseTime Reports Strong AI Growth
All Hail the Driverless Taxis as China Eyes a $183 Billion Market
Tech Brief (Aug. 27): Cambricon Reports $128 Million Profit, Stock More Than Doubles Since July
Tech Brief (Aug. 26): Musk’s xAI Sues Apple and OpenAI Over Alleged AI Market Monopoly
Exclusive: NetEase’s Youdao CEO Explains How AI Agents Could Build a Future of Virtual Teachers
Ant Group Teams up With Top Beijing Hospital to Launch AI Healthcare Lab
Didi and Meituan Clash in Brazil as Food Delivery Battle Goes to Court
Google Denies Rumors It Is Resuming Full Services on Chinese Mainland
China Proves a Winner in the Gaming Market as Growth Hits a Five-Year High
China’s Booster Robotics Lands New Funding as it Hits a Winning Streak
Amazon to Shut Down Shanghai AI Lab Amid Strategic Shift
Cover Story: A New Gold Rush Begins in China’s Hard Tech Sector
Humanoid Robotics Startup Robot Era Secures $69 Million Series A Funding
China’s Zhipu AI Secures $140 Million Investment From Shanghai State Funds Amid IPO Push
In Depth: AI Agents Trigger the Next Tech Battlefield in China
Cover Story: Alibaba Fights Tencent for Dominance Over AI in China
Nio Plans New Beijing Venture With State-Backed Partner

By Zheng Lichun, Zhao Runhua and Han Wei / May 29, 2019 02:55 AM / Business & Tech

Photo: VCG

Photo: VCG

China’s electric-car startup Nio Inc. announced a new venture with a 10 billion yuan ($1.45 billion) investment from a state-backed investor as the company reported first-quarter results Tuesday.

New York-listed Nio said it will form a joint venture with Beijing E-Town International Investment and Development Co. Ltd. in the Beijing Economic-Technological Development Area on the southern edge of the city. Beijing E-Town will support Nio in building a new manufacturing facility for its next-generation platform 2.0 vehicles, which are set to hit the market around 2021, Nio said. The company added that the parties are still in talks to work out a final binding definitive agreement on the investment.

Nio’s vehicles are currently produced in partnership with state-owned JAC Motors in Anhui province capital Hefei. The company in March abandoned a plan to build a factory in Shanghai because of competition from Tesla Inc.

Nio on Tuesday reported a smaller-than-expected loss for the first quarter. The company’s adjusted net loss was $373 million for the first quarter, 25.5% narrower than in the previous quarter and lower than the $472 million loss that was expected.

The company’s total revenue for the quarter dropped more than 50% from the previous quarter to $243.1 million. Nio sold 3,989 vehicles during the first three months, a drop of 50% from the previous quarter.

An increase in research and general expenses was expected to make it harder for the company to profit, but Nio actually narrowed costs and losses during the period.

The company attributed declines in key performance figures to factors including the phasing out of EV subsidies, ongoing trade tensions, the Chinese car industry’s slowing and intensifying competition.

Related: EV Explosions Spark Safety Concerns

Share this article
Open WeChat and scan the QR code