Nio sold only 837 electric vehicles in July 2019, an almost 38% decrement from the earlier month that was majorly caused by a voluntary summoning of ES8 (its high-performance SUV).
The automotive startup from China launched a voluntary summon in June of almost 5,000 models after a number of battery fires in China and the following probe disclosed a flaw in the battery pack design that might lead to a short circuit. The summoning impacted a quarter of the ES8 cars traded since they went live in the market in June last year.
Nio was capable of finishing its recall for the 4,803 models by prioritizing manufacturing capacity of battery for this attempt, which considerably impacted delivery and production results, claimed William Li (NIO chairman, founder, and CEO) to the media in an interview.
“On the positive end, we finished the ES8 battery summoning in almost 50% the time versus to our initial timeline,” Li claimed. “Looking forward, with the allocation of battery capacity back to normal, we will pace deliveries and make up for the loss in delivery affected by the summoning.” Nio anticipates August to be a “much solid month” with an aim to trade almost 2,000–2,500 cars, as per Li.
On a related note, Nio SUVs developed from April 2018 to October 2018 were comprised in the recall and required having their battery packs restored. It took 2 months to exchange battery packs on all of the impacted cars, the firm says.
The problem is with the battery packs, as per a probe conducted by Nio with the assistance of the supplier of the pack, “industry experts,” and “other involved parties.” They discovered that a battery pack module was, in some instances, pressing up in the wiring harness against a voltage sampling cable. Eventually, this frequent contact wore out some of those cables leading to short-circuits that resulted in a few fires.