Overview
- Chinese electric vehicle (EV) maker Nio Inc. plans to spin off its battery manufacturing unit within a matter of weeks, a move that could shorten Nio's timeline to profitability.
- The new battery manufacturing unit would be staffed by the division's top engineers, as other employees in Nio's current battery department are reassigned to other teams.
- The spin-off comes a day after Nio reported solid third-quarter earnings, including significantly increased vehicle delivery numbers and shrinking losses.
- The emerging battery division is planning to attract external investors following its proposed spin-off, potentially occurring by the end of this year.
- The planned facility is designed to have an annual production capacity of 40 gigawatt hours (GWh) of batteries, sufficient to supply around 400,000 long-range electric vehicles.