Chinese carmaker NIO Inc. (HK:9866) is reportedly targeting the debut of its first hybrid car for overseas markets by 2026. According to Reuters, the company is eyeing markets like the Middle East, North Africa, and Europe. Following the news, NIO shares rose 0.87% in Hong Kong trading.
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NIO is an automotive manufacturer known for its premium smart EVs (electric vehicles).
NIO Plans Hybrid Car Launch for Overseas Markets
Reuters reported that NIO is planning to develop its extended-range hybrid under a sub-brand codenamed Firefly. The project is reportedly inspired by suggestions from major investor CYVN Holdings, an Abu Dhabi-based investment firm.
The report further stated that the car is set to launch in late 2026, with deliveries starting in 2027. This hybrid model, however, will be unavailable in China, where NIO remains committed to providing only EVs equipped with swappable batteries.
This move marks a strategic shift from Nio’s focus on EVs to tackle challenges faced by Chinese manufacturers abroad. These include trade barriers and the slower pace of charging infrastructure development. The European Union (EU) has introduced additional tariffs exceeding 20% on Nio’s EVs for the next five years, adding to an existing 10% import duty.
While Chinese-made EVs are subject to these tariffs, hybrids remain exempt. As a result, Nio is banking on its model vehicles under the Firefly sub-brand to appeal to Europe’s mass market, featuring designs tailored to European consumers’ preferences.
Is NIO Inc. a Good Stock to Buy?
On TipRanks, 9866 stock has a Moderate Buy consensus rating based on three Buys and two Holds assigned in the last three months. At HK$52.12, the average NIO share price target implies an upside of 29.5%.
