Nio Opens Largest Showroom in Europe Despite Looming EV Tariff Risk

TMTPost -- Chinese electric vehicle (EV) maker Nio Inc. is doubling down expansion efforts in the Europe despite the looming risk of tariffs on Chinese EVs imposed by the European Union.

Credit：Nio

Nio announced the NIO House | Amsterdam officially opened its doors last Friday. "NIO House is a vital part of the NIO community, enhancing the connection between the brand and its users. NIO House | Amsterdam aims to offer an open space for visitors and contribute to the local community's prosperity", stated Nio chairman and CEO William Li, "NIO House | Amsterdam is NIO's largest NIO House in Europe, marking a significant step in our global expansion. "

"Electric vehicles are very important for positive development of the environment, they should never be used as a political target," Li also told reporters as Nio opened its first showroom in Amsterdam.

Covering 2,700-square-meter, the eight-story NIO House | Amsterdam is located in the historic Metz Building at 32-34 Leidsestraat in central Amsterdam, near Keizersgracht, Dam Square, and the Royal Palace. Built in 1891, the Metz Building is a protected historical landmark and was the tallest private building in Amsterdam at the time. It has witnessed numerous significant cultural and social events in Dutch and European history.

Nio said its partner MVRDV, a well-known Dutch architectural design firm, infused the building with NIO's unique design elements, blending modern style with the building's classical facade, enhancing its transparency and artistic appeal. The showroom offers an immersive experience that includes car viewing, dining, office space, childcare, exhibitions, lectures, relaxation, reading, and social gatherings. Each floor is designed with a different theme centered around the user community, offering visitors diverse city views and experiences. NIO has also introduced a special mocktail, the "Tulips from Amsterdam," exclusive to NIO House | Amsterdam, served in the Café area.

The NIO House in Netherlands marked Nio’s latest expansion progress in Europe since 2021. As of May 23, 2024, six mass-produced models—ES8, ET7, EL7 (ES7 in China), ET5, ET5T, and EL6 (ES6 in China)—have entered the European market. NIO has established 43 battery swap stations, 46 charging stations, and connected over 500,000 third-party chargers in Europe. NIO has built seven NIO Houses, eight NIO Spaces, and 55 NIO Service Centers in Europe. Over the past three years, European NIO Houses have hosted 1,450 community events for local users, with 186 European User Advisory Board members participating in building the NIO brand.

Opening of the Netherlands-based showroom came as the U.S. hiked tariffs on Chinese imports in key sectors earlier this month, including a quadrupling of duties on EVs to 100%. The European Union could follow suit next month. Brussels’ final decision will be unveiled in about a week for it will inform those Chinese EV makers incurring provisional tariffs by June 5.

The EU officially launched an investigation into EVs from China on October 4 2023.The European Commission is set to decide whether to impose tariffs more than the current 10% standard rate for cars within 13 months once the investigation started. The possible tariff will affect not just Chinese automakers but also foreign brands that produce vehicles there such as Tesla, Renault and BMW. The probe may result in tariffs close to the 27.5% level already imposed by the U.S. on Chinese EVs, Bloomberg reported last September.

The European Commission President Ursula von der Leyenan suggested last week she would diverge from the U.S. on tariffs. “We share some of the concerns of our [US] counterparts but we have a different approach, a much more tailored approach,” von der Leyen said on Tuesday. Head of the EU’s main executive body stressed should a months-long EU investigation be confirmed Chinese subsidies exist, she can guarantee the level of the duties EU would impose is correspondent to the level of damage.

Italian Industry Minister Adolfo Urso said last Saturday that the EU should follow the example of the U.S. government to impose tariffs on Chinese products. Urso warn the steep tariff hike imposed by the Biden administration could lead to China’s export shift toward Europe and dampen the bloc’s auto industry. "Much higher tariffs against Chinese products are inevitable if we do not want the European industry to be wiped out," said Urso.