Chinese electric car startup Nio said that a global chip shortage would push it to manufacture fewer cars in the second quarter on Tuesday.<\/p>\n\n\n\n
Heavy demand for electronics among the coronavirus pandemic and the pressure of US-China trade tensions on the very specialized semiconductor supply chain has led to a backlog in chip manufacturing.<\/p>\n\n\n\n
As a result, major automakers have to cut production, with Chinese company Nio the latest to announce such cuts.<\/p>\n\n\n\n
The company had expanded production capacity in February to 10,000 vehicles per month from 7,500 earlier; founder William Li said in a quarterly earnings call on Tuesday. But a paucity of chips and batteries implies that Nio will have to fall back to the 7,500 level in the second quarter, he said.<\/p>\n\n\n\n
Despite competition from Tesla, Nio has continued ahead of its startup competitors in terms of vehicle sales.<\/p>\n\n\n\n
The company produced 7,225 vehicles in January and 5,578 in February during the weeklong Lunar New Year holiday. With a forecast of 20,000 to 25,000 deliveries in the first quarter, Nio anticipates deliveries to grow to at least 7,197 cars in March.<\/p>\n\n\n\n
Nio founder Li told the et7 sedan\u2019s pre-orders announced in January surpassed those of its other models but declined to share specific numbers. The et7 is Nio\u2019s first non-SUV mainstream car and is expected to start deliveries next year.<\/p>\n\n\n\n
Li continued that the company remains on track and intends to enter Europe later this year.<\/p>\n\n\n\n
According to FactSet, New York-listed Nio shares dropped 4% during extended business hours after recording a loss of 0.93 yuan (14 cents) in the fourth quarter per share. That\u2019s more than the loss of 0.39 yuan per share predicted by analysts.<\/p>\n\n\n\n
Read More:<\/strong><\/p>\n\n\n\n Chinese electric car startup Nio said that a global chip shortage would push it to manufacture fewer cars in the second quarter on Tuesday. Heavy demand for electronics among the coronavirus pandemic and the pressure of US-China trade tensions on the very specialized semiconductor supply chain has led to a backlog in chip manufacturing. As […]<\/p>\n","protected":false},"author":1,"featured_media":2093,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[47],"tags":[],"yst_prominent_words":[],"_links":{"self":[{"href":"https:\/\/businesstalkmagazine.com\/wp-json\/wp\/v2\/posts\/2092"}],"collection":[{"href":"https:\/\/businesstalkmagazine.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstalkmagazine.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstalkmagazine.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstalkmagazine.com\/wp-json\/wp\/v2\/comments?post=2092"}],"version-history":[{"count":0,"href":"https:\/\/businesstalkmagazine.com\/wp-json\/wp\/v2\/posts\/2092\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstalkmagazine.com\/wp-json\/wp\/v2\/media\/2093"}],"wp:attachment":[{"href":"https:\/\/businesstalkmagazine.com\/wp-json\/wp\/v2\/media?parent=2092"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstalkmagazine.com\/wp-json\/wp\/v2\/categories?post=2092"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstalkmagazine.com\/wp-json\/wp\/v2\/tags?post=2092"},{"taxonomy":"yst_prominent_words","embeddable":true,"href":"https:\/\/businesstalkmagazine.com\/wp-json\/wp\/v2\/yst_prominent_words?post=2092"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}