Nio, Inc. (NYSE:NIO) has a lot riding on the new models it has scheduled for launch this year. One of the imminent catalysts on this front may be materializing in favor of the company.
What Happened: The first batch of Nio's premium sedan model, the ET7, has begun rolling off the production line at the company's Hefei manufacturing plant on Thursday, the CnEVPost reported, citing the company.
Each vehicle goes through different production processes, including stamping, bodywork, painting and final assembly. It undergoes multiple inspection processes before attaining mass production standards.
The manufacturing speed is gradually increased to conform to the requirements of mass production, while also maintaining quality standards of all components and the vehicle, the report said. This milestone suggests that the ET7 is now ready to meet the quality standards required for delivery.
Related Link: Nio Analyst Predicts Over 200% Upside For Stock: 'EV Maker Has Clear Growth Prospects In 2022'
Why It's Important: The ET7, Nio's first-ever sedan, was first announced at the Nio Day 2020 event held in early January 2021. The company provided additional updates on the model at the Nio Day 2021 held in December 2021. The sedan is promoted with the tagline "ready for tomorrow."
Nio made available the ET7 for test driving in early March. Deliveries of the model are expected to begin March 28.
The company is also planning to market the ET7 in Norway following the successful launch of the ES8 in the European nation.
Nio may share more details on the launch schedule for the ET7 on its earnings call, which is scheduled to be hosted after the market close Thursday.
NIO Price Action: Nio shares were down 4.09% at $20.97 Thursday morning.
The Nio ET7. Photo courtesy of Nio.
