As per the recent reports, China’s native electric car manufacturing company ‘Nio’ is now garnering sales in the largest auto markets. According to many analysts, Nio is the only electric car manufacturing company that has emerged as the rival of Tesla. Tesla is the largest electric car manufacturing company in the world.
The major electric car manufacturing companies in China such as Li Auto, Xpeng, and Nio have all made very promising announcements. Each of the companies has announced that they have experienced a surge in car sales in the last year. All of the companies have announced that they have closed the year 2020 with the new highs with respect to car sales.
With the number of sales that the companies have managed to gather, it is evident that China’s economy is regaining its position. In addition to the economy, the Chinese electric car manufacturing companies are also emerging in global auto-markets.
It has been reported China itself wants to gain supremacy in electric car technology. This is the reason why the Government of China is also helping its electric car manufacturing companies. In order to help the electric car manufacturing industry, the Chinese Government has been doing whatever it can. It has been reported the Chinese Government is very flexible with respect to restrictions on license plates, providing subsidies to the native electric car manufacturing companies.
In addition, the Government of China is also imposing fewer taxes and charges to these companies for building up their infrastructures.
As per the analysts, it has been reported that the sales of cars that are purely electric rose by 4.4% in China. The tenure that the Chinese Ministry of Industry and Information Technology has accounted for is from January 2020 to November 2020.
It was also revealed by the Ministry of Industry and Information Technology that there has been a significant drop in the sales of passenger cars. It has been confirmed that the sales of passenger cars in China have dropped by 7.6%.
Following the surge in sales and demand, the stocks of all three companies have soared in the New York Stock Exchange (NYSE). Among all three companies, Nio is the electric car manufacturing company that has outperformed the rest.
Even the list posted by the United States for the best performing Chinese companies in 2020 has Nio among the top-ranked firms. It has been added by the NYSE that in the year 2020, Nio has managed to acquire more than 1,100% gains.
Although the Chinese Government alongside Nio is trying to emerge as the top electric car manufacturing company, still it has a long way to go. When it comes to Tesla, the company has been gaining popularity and demand by the day. Tesla itself has reported a surge in its unit sales in the year 2020. The company reported that in the fourth quarter of 2020, its sales/deliveries reached an all-time high.