NIO has increased investment in new technology research and development, aiming to produce automotive products that will satisfy customers

On October 27, the Shanghai Municipal Government held a signing ceremony for large-scale foreign investment projects. A total of 12 projects were signed, with a total investment of 23.4 billion yuan, of which Weilai Automobile will increase its capital in Jiading District by 16.66 billion yuan, accounting for 70%.

The editor learned that Weilai Automobile currently has two test centers in Anting Town, Jiading District, one of which is a global trial production test hub. This time, NIO will increase its capital by 16.66 billion yuan in Jiading District, which will increase R&D investment in the fields of electrification, intelligence, connectivity, and lightweight.

An indisputable fact is that NIO has been burning money since its establishment, of which R&D accounted for more than 50%. In the eyes of many industry insiders, NIO’s IPO in the United States was also to further strengthen financing capabilities. According to the Weilai prospectus, Weilai Automobile has been at a loss for the past three years. The net loss in the first half of 2018 was 3.325 billion yuan, compared with 2.5733 billion yuan and 5.0212 billion yuan in 2016 and 2017, respectively. , The total loss reached 10.92 billion yuan.

Obviously, the main reason for Weilai's "burning money" is the huge investment in research and development, and the goal is naturally to produce more satisfying automotive products for customers. It is understood that Weilai’s first mass-produced model ES8 is an electric seven-seater SUV, and large-scale delivery has begun. In September this year, 1766 new cars were delivered, and the cumulative delivery reached 3368. According to the plan, Weilai will deliver by the end of this year. 10,000 vehicles.

In addition, according to data, NIO’s second SUV model ES6 is positioned as a 5-seater pure electric SUV. This car will be officially released on “NIO Day” on December 16, and the price will be announced in June, 2019. Delivery officially began in July. It is reported that this car will adopt a front face design similar to the ES8, but details such as headlights and front surrounds will be adjusted, and will continue to be produced by JAC.

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