Batteries Not Included: Nio Ready to Lease EV Power Packs

Chinese automaker Nio is planning to allow customers to lease vehicle batteries independently from the cars themselves, and has involved Contemporary Amperex Technology (CATL) in the venture.

Considering EVs are useless without their battery, leasing an essential component seems to serve little purpose on its face. But Nio intends to sell its ES6 crossover for 273,600 yuan ($39,500) in China with the option to lease the battery for 980 yuan a month. Customers can also choose to purchase the entire vehicle outright for 343,600 yuan ($49,600) if they haven’t tricked themselves into believing a better battery is less than a year away.

This is a weird one, because the stated purpose is to lower the vehicle’s upfront costs. But it’s just a paperweight without an energy source, forcing customers to lease the power pack if they want to use the vehicle — and at no small cost. The companies announced the new program in Beijing on Thursday with Nio CEO William Li stating his company plans to enter Europe in the second half of 2021. Hopefully they’ll be dumb enough to accept the batteries-as-a-service premise.

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  • El scotto I look forward to watching MTG and Tommy Tuberville when the UAW comes to their states.
  • El scotto Vehicle company white collar (non-union) engineers design the parts and assembly procedures. The UAW members are instructed on how to install the parts. Engineers are also in charge of quality control. The executives are ulimately responible for the quality of their products.
  • Chris P Bacon I don't care either way, the employees have the right to organize, and I'm never going to buy a VW. But.... It would be interesting if the media (HINT HINT) would be able to provide a detailed look at what (if anything) the VW workers gain by unionizing. There will be dues to pay. How much? I bet the current policies, pay and benefits mirror other auto companies. When all is said and done an the first contract signed, my money is on the UAW to be he only ones who really come out ahead. That leads into my next comment. Once a union is voted onto the property, it is almost impossible to get rid of them. Even if the membership feels the union doesn't have their best interests in mind, the hurdles to get rid of them are too high. There were a lot of promises made by the UAW, even if they don't deliver, they'll be in Chattanooga even if the membership decides they made a mistake.
  • 1995 SC How bout those steel tariffs. Wonder if everyone falls into the same camp with respect to supporting/opposing them as they did on the auto tariffs a few weeks ago. Doubt it. Wonder Why that would be?
  • Lorenzo Nice going! They eliminated the "5" numbers on the speedometer so they could get it to read up to 180 mph. The speed limit is 65? You have to guess one quarter of the needle distance between 60 and 80. Virtually every state has 55, 65, and 75 mph speed limits, not to mention urban areas where 25, 35, and 45 mph limits are common. All that guesswork to display a maximum speed the driver will never reach.