(CapitalWatch, Jan. 3, New York) The year 2021 was highly successful for Chinese electric vehicle makers Nio, XPeng, and Li Auto and ended on a high note, with more record-setting figures. Yet a negative development has clouded the surging December delivery figures: China's Finance Ministry announced a 30% cut in NEV subsidies for this year and an end to subsidies after 2022.
As always, here is CW's traditional update on China's top three EV stocks.
Shares in Nio (NYSE: NIO) jumped 6% Monday after the company reported 50% year-over-year growth in December deliveries, which reached 10,489. Nearly half of the delivered units were attributed to the sales of the ES6, Nio's five-seater high-performance premium smart electric SUV.
In the fourth quarter, Nio deliveries exceeded 25,000, breaking earlier records; in the full year 2021, the number hit 91,429 – double from the preceding year.
Last week, NIO stock surged as high as 15% in the biggest daily gain since March 2021. The increase was followed by a swift decline over China's NEV subsidy cuts on the last day of the year. On Monday, Nio recovered from the Dec. 31 drop. However, the company has yet to get back to its November highs of over $43 per share.
Meanwhile, last month Nio launched the ET5, a mid-size premium smart electric sedan, with deliveries expected to commence in September 2022. In addition, Nio plans to begin delivering the ET7, its premium smart electric sedan, in March 2022.
Nio's smaller rival, XPeng Inc. (Nasdaq: XPEV; HKEX: 9868), ended 6 cents lower on Monday, at $50.27 per share.
On Saturday, the company posted skyrocketing December deliveries – at 181% growth year-over-year to 16,000. To compare with November, the results were up just 2%, signaling a slowdown in month-to-month production growth. About half of the sales last month accounted for XPeng's P7 smart sports sedans
Fourth quarter deliveries reached 41,751 units overall – an increase of 222% from the year-end quarter of 2020. In the year 2021, deliveries were 98,155, up 263%, according to the announcement.
Lastly, shares in Li Auto Inc. (Nasdaq: LI; HKEX: 2015) closed in the green at $32.34 apiece, 24 cents higher on the day. Li delivered 14,087 Li ONEs in December, representing 130% growth year-over-year.
Fourth quarter deliveries overall were 35,221, up 144% from a year ago and up 40% from the third quarter, according to the report. Total deliveries in 2021 reached 90,491, closely trailing both Nio and XPeng full-year figures despite having just one model on the market.
Also in December, Li Auto released the OTA 3.0 update on its Li ONEs.