CEO William Li said that Nio’s biggest challenge right now is making sure that supply chains are stable.
The Chinese company that makes electric cars has had to raise their prices because the costs of raw materials have gone up.
When Covid controls stopped Nio’s from getting parts from suppliers in April, the company had to stop making things for a short time.
But the company said it could start making some things again a few days later if it wanted to.
But as of Thursday, Li said that the overall situation of auto production in China was like a time of recovery while Shanghai and other parts of the country are still under Covid control.
On the business side, Li said that he thinks buyers will continue to be interested in electric vehicles, even if the Chinese government cuts funding or other support for the area.
Nio delivered more than 5,000 cars in April despite Covid‘s restrictions, but this was a big drop from March, when it delivered almost 10,000 cars.
In April, sales of passenger cars dropped by 35.5% compared to the same month last year. However, sales of new energy vehicles, such as battery-powered electric cars, jumped by 78.4%, according to the China Passenger Car Association.
Li, who is also the founder and CEO of Nio, was talking to CNBC’s Emily Tan in front of the company’s branch office in Singapore.
Nio did an optional posting on the Singapore Stock Exchange through a presentation on Friday. This is different from a first sale of stock because no new money is raised and there is less work to do at the desk.
Overall, the posting just lets investors trade the company’s shares on a market other than the main one.
Nio, a Chinese company that makes electric cars, started trading in Singapore on Friday. This is the third exchange where its shares are listed. At the start of trading, the stock shot up almost 20% before giving up most of its gains and ending the day about 2.4% higher.
Nio also did an optional posting in Hong Kong through a presentation at the beginning of March. The company’s first and most important place to post is still the New York Stock Exchange.
The head of the auto company didn’t say why Singapore was chosen as the third posting location, but he did say that Nio could find more investors this way.
But Li said that Nio plans to send cars to Southeast Asia and open a new place of work in Singapore as soon as possible for artificial intelligence and self-driving cars. He didn’t give explicit dates.
Up until now, the organization has focused a lot of its international work on Europe, especially Norway.
The main place where the start-up trades is still the NYSE, where it sold its first shares of stock in 2018.
Since the IPO, the U.S.-based parts of Nio have moved by about 150 percent. This happened over a period of three or more years, during which there were a few quarterly drops and a flood of more than 1,100 percent in 2020.