NIO-SW's Hong Kong-listed shares experienced a surge of more than 10% during trading on May 28th.
The catalyst for the move was the launch of the NIO ES9 on May 27th, accompanied by the announcement that former NBA star Yao Ming would serve as the Chief Experience Officer for the new model. Yao Ming, standing at 2.26 meters tall, had previously expressed surprise at the interior space when riding in the ES9, questioning if the vehicle had undergone special modifications.
On May 28th, NIO Inc.'s founder, Chairman, and CEO William Li stated that the NIO ES9 delivers a spatial experience that surpasses that of mainstream MPVs.
The launch of the NIO ES9 intensifies the competition within the domestic automotive market's "9-Series" segment. Mere hours before the ES9's debut, the new-generation AITO M9 was also launched. The starting price for the new AITO M9 is 479,800 yuan. In comparison, the NIO ES9 has a starting price of 498,000 yuan for outright purchase, or 390,000 yuan when opting for the Battery as a Service (BaaS) battery rental plan.
The previous "8-Series" battle saw models like the AITO M8 and the new NIO ES8 become major hits. On May 23rd, NIO delivered the 110,000th unit of its new ES8, marking the fifth consecutive month it has led sales in the large SUV segment for vehicles priced above 400,000 yuan.
The new "9-Series" battlefield, now entered by the NIO ES9 and the new AITO M9, is crowded with formidable competitors including the new Li Auto L9 Livis, the Leapmotor D19, the Xpeng GX, and the Zeekr 9X.
"NIO ES9 is a different kind of '9' from the others," William Li remarked, positioning the ES9 as the pioneer of the intelligent electric executive flagship SUV category.
According to NIO Inc. data, the ES9 is the largest model the company has ever produced, boasting a class-leading cargo capacity of 816 liters and redefining the spatial standards for executive flagship SUVs.
When highlighting the ES9's advantages, Li emphasized that key metrics such as headroom in the first and second rows, as well as storage capacity when fully loaded, exceed those of mainstream MPVs. The trend towards larger vehicles in recent years, with features like oversized or full-size dimensions, has become a selling point in the new energy vehicle market.
"From a market perspective, making cars larger is a commercially sound choice," Li explained, noting that larger vehicles generally offer higher gross margins for a company's operations.
For instance, the new NIO ES8 boasts a gross margin exceeding 20%, contributing significantly to elevating the overall vehicle profitability for NIO Inc. In the first quarter of 2026, NIO's vehicle gross margin reached 18.8%, the highest level for any single quarter since 2021.
The high gross margins generated by large models like the new NIO ES8 and the NIO ES9 provide NIO with a buffer against rising raw material costs. Since 2026, prices for raw materials such as nickel, cobalt, and lithium carbonate have increased, with memory chip price hikes posing particular pressure on automakers' production and operations.
On May 26th, Shannon Core Creation's General Manager Li Xiaohong indicated that the tight supply-demand situation for memory chips in 2026 is unlikely to ease, with prices expected to remain elevated.
In William Li's view, the sustained high prices of key commodities and components like memory chips are not only affecting the automotive industry but also sectors with faster growth and greater capital reserves, which limits automakers' bargaining power.
Li stated that the rising cost of raw materials has increased the production cost per vehicle for NIO by over 10,000 yuan. However, he noted that this impact remains within a manageable range for the company at present.
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