Nio plans to launch its mass market EV brand in May

BEIJING — Chinese premium electric car company Nio said Thursday it plans to reveal its mass market brand in May.

Executives confirmed the new brand will be named "Le Dao" in Chinese, and said the name is meant to reflect families — the target consumer segment — having a happy time together.

Nio, founded in late 2014, has so far focused on the higher end of the market with SUVs and sedans that can cost more than Tesla's Model S or Model Y, but come with a suite of services such as access to user clubhouses known as Nio Houses.

Monthly car deliveries, however, have remained modest versus the rapid growth of some competitors.

Earlier this month Nio said its mass market brand would debut in the second quarter, with the first product launch in the third quarter and large-scale deliveries the following quarter.

Another Chinese electric car startup called Xpeng said last summer it plans to develop a new mass market brand that will target the 150,000 yuan ($20,580) price range. The company said it would develop the brand through a strategic partnership with Didi.