"Leading Chinese manufacturers in Europe emphasize technical expertise and cost-effectiveness as their key qualities"

In the ever-evolving world of automotive innovation, a Chinese startup named NIO is making waves and causing a stir. With a focus on digitization and electromobility, NIO has become a formidable challenger to the German automotive elite.

Hui Zhang, the company's leader, shares the sentiment of State Minister Hubert Aiwanger that no tariffs are the best tariffs for free trade, economy, job creation, and prosperity. This philosophy is evident in NIO's global expansion, which currently includes over 800 employees in seven countries. The company's largest location is Munich, a testament to its strong ties with Germany.

In the first half of 2025, NIO produced around 115,000 vehicles in China. This significant production volume is a result of strategic partnerships, one of which is an alliance with other Chinese manufacturers for battery swap technology. This technology, which NIO enables in all its vehicles, has seen over 80 million battery swaps being carried out. NIO boasts over 3,500 "Swap Stations" in China and 60 in Europe.

The Chinese market, Dr. Holger Klein, CEO of ZF Friedrichshafen, describes as a "gym for global car markets". NIO capitalizes on this, sourcing components worth several hundred million euros from European suppliers. German companies supplying components to NIO include ZF, which provides advanced Steer-by-Wire technology for NIO's ET9 model, marking a significant technological partnership.

16 partners from Bavaria are among NIO's European suppliers, with companies such as Continental, Schaeffler, Webasto, BASF, Rosenberger, Infineon, ZF, and the Fraunhofer Institute being among them. This collaboration is crucial in NIO's offering in Europe, which is set to be greater than ever.

However, the European market has been slow to embrace NIO. In the first half of the year, only 368 new cars were sold. Despite this, NIO sees positive developments, particularly for German premium competitors, with more suitable models, increased electrification, and deeper partnerships.

The Chinese government has been working on a national standard for e-mobility for over two years. This, combined with electricity costs around 8 to 10 cents per kilowatt-hour, significantly lower than in Europe, provides a favourable environment for NIO's growth in China.

NIO is strengthening its development competence in Europe to better meet local customer needs, sell more cars, and become a recognized brand for European customers. German automakers, who have been world market leaders for decades, will continue to have opportunities in the Chinese market.

In Norway, the right framework conditions have been created for electric mobility, resulting in over 90% registration figures. This success story serves as a beacon of hope for NIO in its European expansion. As the company continues to innovate and forge strategic partnerships, it remains to be seen how the landscape of the global automotive industry will evolve.