Nio has raised its rates and halted production

As the last Covid wave contributed to supply chain issues, Nio, a Chinese electric car maker, claimed over the weekend that it is raising rates and delaying production.

On Monday morning, the company’s Hong Kong-listed shares fell by around 9%.

Nio stated on Sunday that the pricing of its three SUVs — the ES8, ES6, and EC6 — would increase by 10,000 yuan ($1,572), effective May 10. The freshly announced ET7 and ET5 sedans would retain their current prices.

According to CNBC, raw material costs, notably for electric car batteries, have risen “too high” this year, with no signs of a downward trend in the near term, according to CEO William Li.