Dialogue with Li Bin: NIO Fires a Shot at the BBA Profit Fortress
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Author | Chai Xuchen
Editor | Zhou Zhiyu
In China's automotive industry, there have always been only two kinds of car makers who dare to price their cars above 500,000 RMB: traditional luxury brands recognized by the market, and new force pioneers that push higher based on product strength.
In 2025, the AITO M9 surged in popularity, single-handedly breaking through the "blockade" of BBA and Porsche. The price segment above 500,000 RMB is the most core and profitable fortress for these brands.
But there is a key point in this story that is often overlooked. Opening the order structure of the AITO M9, the range-extended version accounts for over 80%. Looking at the Zunjie S800, in 2025, the range-extended models account for over 90% of sales. They have embraced domestic brands, embraced intelligence, and embraced lower prices for a better experience—but they have not truly embraced pure electric.
On April 9, 2026, the NIO ES9 arrived with a suite of high-tech features, attempting to make pure electric penetrate the most profitable segment and rewrite the structure of the high-end 500k market.
In 2026, as the ES9 joins, LeDao L80 is on the way, and after catching the big-car trend, NIO's main sales force will shift from the previous "5566" to the higher-margin "8899." NIO is finally monetizing its systematic capabilities, and the annual profitability target spoken by William Li now seems within reach.
Game Changer
The core feature of the ES9 this time is that it's no longer just a "bigger ES8" but a truly flagship large vehicle developed from scratch.
In appearance, the ES9 uses a new design language: a more upright front end, matrix split headlights, and dual-layer daytime running lights, all aiming to win in presence. It's clear that NIO is determined to develop its own high-end design language.
The cabin is also a focus for the ES9, offering both 6 and 7-seat layouts, with the 2+2+2 six-seat being the main one. Privacy is given emphasis: besides the onboard safe, the second and third row windows use flexible electrochromic technology—allowing zoned adjustment of light transmission. Combined with the spacious interior, each passenger in the rear can tailor the ambiance lighting to their preference.
Another surprise comes from the chassis and handling. Despite its size, the ES9 feels not bulky to drive—rear-wheel steering, active suspension, and center-of-gravity tuning make it agile in turns, steady at speed, and comfortable over bumps. Along with NIO’s battery swap system, 3-minute recharging completely eliminates the last anxiety of large pure electric SUVs.
ES9’s goal is clear: it needs to handle high-end executive scenarios, and be comfortable enough for long trips with multi-child families. This is precisely what old luxury brands like BBA struggle to achieve both.
NIO President Qin Lihong told Wallstreetcn: "There is a large unmet demand in society—executive flagship vehicles feel spiritually right, but seem to evolve slowly in physical terms; those with great physical parameters seem a bit soulless." He said ES9 "hits unmet needs everyone thinks about but hasn’t voiced."
Flagship does not necessarily mean low volume—the key issue is price.
With battery rental, starting price is 420,000 RMB for a full-sized pure electric SUV, 6/7 seat dual layout, equipped with virtually all NIO's “trump cards”–three electric system, battery swap network, 900V platform, rear-wheel steering, active suspension, full-stack intelligent driving.
What does this price mean? Qin Lihong did the math: "Recently, luxury imported fuel cars start at seven digits." His conclusion: "After a while, people mistakenly believe high-end luxury SUVs are supposed to be this price. We're just bringing the price back to its true value."
Comparable Mercedes EQS SUV guides at over 900,000, but even at dealer discount 610,000 it struggles to sell, and it’s imported; BMW X7 is only in fuel version—pure electric won’t arrive earliest until 2027. It’s not that ES9 is simply less expensive—the point is BBA has not offered users a pure electric option at this price.
ES9 isn’t sticking to a price, but targeting a vacuum—above-500k pure electric full-size SUV. Globally, this category barely existed prior to ES9.
Sales rankings reveal two models to watch.
First, the familiar AITO M9. After Yu Chengdong’s bold promise was realized, flagship SUV experience was brought to the 500k segment, triggering massive demand from high-end buyers for new cars. Recently, Zeekr 9X has also surged in sales, showing signs of replacing M9 as the vehicle of choice for the “old money” crowd.
But the market overlooks a key fact: The main-selling M9 is range-extended—over 80% of sales; Zunjie S800 in 2025 sees range-extended models at over 90%. This means the boom in the large SUV over-500k segment is essentially a range-extended revolution, and pure electric has not truly gained discourse power in this price range.
William Li told Wallstreetcn: "Last year at the ES8 technology launch I said the golden age of pure electric three-row was coming. Today I can say 'it’s arrived,' because in the past half year, large three-row pure electric SUV is first in share and fastest growing, while range-extended is last."
ES9's significance is exactly in bringing the 400-500k large SUV market into the pure electric age.
Its target buyer is clear: those who want a luxury pure electric, but can’t find a suitable large vehicle. Among BMW X7, Mercedes GLS owners, the “pure electric convert,” who disdains the compromise of range-extension or Huawei’s extreme tech-style interiors. They want big brand feel, advanced tranquility, quiet comfort, top service, and it must be pure electric.
William Li is clear on ES9’s positioning: "We think the smart electric executive SUV is a pioneering category." He doesn't see other "9-series" as direct competitors—"Not all ‘9’ named vehicles are the same product, their positioning is very different." ES9 is not fighting for the Li Auto L9 home segment, nor the AITO M9 tech label, but instead targeting the untouched "luxury pure electric" zone.
The market has responded with orders. William Li revealed, on ES9’s release night and into the next day, "order volume from outside the NIO community—non-existing users—was 1.5 times our ES8 tech launch same period last year."
This shows ES9 is attracting more new users than brand conversions—those switching from BBA, considering NIO for the first time, are voting with their feet.
Changing Destiny
The meaning of ES9 for NIO is far beyond just another flagship model.
For a long time, NIO's sales pillars were ES6 and ET5—the "5566 combination" internally. These two cars, priced around 300,000 RMB, drive volume and maintain monthly sales scale. But the problem is clear: the 300k segment is fiercely competitive, with price wars frequent and NIO’s profit margins under pressure.
Moreover, while 5566 supports sales, it couldn't fully carry NIO’s high-end brand narrative—market recognition remained at "good service, convenient battery swap, but the car is not absolutely leading."
The turning point came in the second half of 2025.
The landing of LeDao L90 handed over "volume expansion" to the sub-brand. L90 widened the family user entry point, using more approachable pricing to attract incremental buyers, giving NIO’s main brand space to move upward. Next, the third-generation ES8 reappeared with a 298,800 RMB battery rental price, securing both sales and high-end positioning. L90 brings in new users, ES8 holds the city, two lines in parallel.
But a complete brand matrix can't just have volume and base roles. ES8 upward needs a vehicle to showcase NIO’s ultimate SUV capability.
ES9 fills this role. Together with the new ES8, it forms a twin-flagship combo in the 500k large SUV segment, raising NIO’s product ceiling even higher. Combined with the imminent LeDao L80, NIO’s matrix has evolved from linear single-brand/single-price to a full network spanning 200k to over 500k.
This change is already reflected in finance. From L90 onward to the new ES8, NIO's financial reports are showing a trend of profitability.
In other words, NIO no longer needs to rely on "volume for profit" but can achieve healthier earnings through "reasonable volume for high-value models."
Behind this is the concentrated monetization of NIO’s long-term tech investments. In recent years, what the market criticized most about NIO was "spending too much, too broad"—in-house chips, self-built battery swap stations, in-house battery packs, full-stack intelligent driving, phones, sub-brands.
But with flagship products like ES9 launched, these investments become real product competitiveness. 900V platform, battery swap network, etc—none are easily replicated quickly.
As William Li said: "System competition is the ultimate competition in the auto industry." The tipping point for tech monetization is when the whole capability system is mature enough to support flagship products.
From 5566 to ES9, NIO took seven years to shift its product focus. William Li fired a shot at BBA’s profit fortress—the bullet is loaded, and the rest is up to the market.
Below is the interview transcript with NIO Chairman William Li and President Qin Lihong:
Q: Last year achieved first profitability in Q4, will it continue in the first quarter?
William Li: Both NIO ES8 and LeDao L90 sold very well. Of course the cars must sell well—how else to profit!
Secondly, since last year, the year before, internal management efficiency improvements helped a lot, so cost control has also improved greatly.
Q1 saw YoY growth of 98.3%. The industry pressure is very high this year. From last Q2, delivery growth accelerated, and this Q1 nearly doubled: over 80,000, over 83,000 units delivered—that’s pretty good.
I believe from Q2 onward, ES9 deliveries will bring more visible and active contribution to company profits.
Q: Is ES9 somewhat MPV-focused?
William Li: Many have inertia—why make MPVs? MPVs have their advantages: high roof, sliding doors, easy step in/out—they have merits. Compared to old SUVs, loading capacity is better. But facts matter: when ES8 was compared to MPV in every spatial parameter, 7 of 8 metrics were first, 1 was second—what else needs saying?
For example, ES8's 816L huge storage is far better than other MPVs; last time, standing a golf bag was hard, now four bags stand upright—facts matter, you need to experience it. Anyone wanting MPVs in 400k to 1M range should try it.
Q: Will we never make an MPV?
William Li: Over the years, my most asked question is “when will there be an MPV?”
It doesn’t add up—I already have a large executive SUV, 7 parameters #1, 1 parameter #2, compared to best-selling MPVs. Our company stresses ROI, repeatedly calculated, but the numbers don’t add up. Sales bandwidth is limited.
At an industry event with CEOs, someone asked about MPV. I ran a survey: if we release an MPV, will you buy it? Out of 400, about 300 raised hands. I majored in sociology, value user data.
But sometimes, you can’t just look at surface data—you must dive deeper, to understand real needs. They don’t want MPV form, but what MPVs provide. You must get their needs truly.
For example, in models over 400k, 500k, are MPs the best-sellers? Actually not. Has MPV market grown? Actually not. You must ask further.
Why doesn’t the US president ride MPVs? Why not European leaders? There are reasons. If you only see now, only surface, then product development would just follow the crowd. Those wanting MPV—look at ES9, think carefully about what you need.
For a new era—a new consumption concept. Driving this car is enjoyable, “poetry and distance” is possible. Sitting quietly inside is also energizing, restorative. I feel this seems better. That’s our understanding—not necessarily correct. Ultimately, sales speak for themselves—let’s see numbers in months ahead.
Q: After a new technology or integrative vehicle launches, how long does the lead last—three to five months. How do you view the lead and its duration?
William Li: Looking at NIO’s third-gen products, some leads are not easy to replicate—full hydraulic active suspension, for example, because it’s integrated and compact. We've tracked this tech for a decade, researched deeply, invested in the supply chain, expanded capacity—quite complex.
Now, some in the industry are starting active suspension, but compared to ET9 they’re at least a year behind, ES9 even more. Some brands are still technically lagging.
We must talk about system innovation, not single-point. Advantage grows over time—that’s technical perspective. Ultimately, with supply chains and tech, we welcome others using our innovations—active suspension, for example, as shareholders we profit too.
Second, does assembling tech parameters equal a good product? Not necessarily—adding features raises costs. Can the brand, sales/service network support it? Maybe not. We see cars with high specs but sales underperform; often, it’s a brand issue—behind the brand is system capability.
Our "six systems" must have no weaknesses to support BMW X7 users, Mercedes GLS users, executive SUV buyers. Only then will they feel buying ES9 is wise and progressive—a comprehensive competition, not just about tech and features.
The car industry supply chain is broad, long. And car buyers aren’t one-time consumers—a car is usually the largest expense besides housing; family safety is tightly connected. Everyone buys thoughtfully.
Why this car? It’s ultimate—reflects aesthetics, consumption concepts, much more than clothing—it mirrors a person's values, is important and serious. It’s used for many years, usually at least five or six, even over a decade.
Such an industry can’t rely on single points. For example, quality and service are part of our core—if your car from 3 or 4 years ago has a quality issue, do you ignore it? If a car from 10, 12, 15 years ago has a problem, can you neglect it? System competition is the ultimate in the auto industry.
Today’s largest automaker globally is Toyota. Sometimes in two or three years, differences aren’t obvious—but look at a 10-year-old, 12-year-old Toyota’s residual value versus others—there is substantial difference.
To judge a company’s system capability, look at this. That’s our thinking—why we believed from the start that "system capability" is the ultimate competitive arena.
Q: ES9’s target group and place among 9-series competitors?
William Li: The executive/administrative SUV segment is not small. Previously, there was no good smart electric product supply, or no high-tech, new-consumption-satisfying product supply. ES9 fills this gap.
We think smart electric executive SUV is a pioneering category, don’t see prior products in this space. We don’t especially see rival "9 series" as competitors. Some of their cars sell well, but more as full-scenario; often, target users overlap with ES8.
ES8 is our all-scenario flagship SUV; that’s our thinking—so not all "9" are the same. Each company has their own product sequence definition—there are big differences. NIO is careful in defining lineage, product sequence.
Q: Yesterday’s order results?
William Li: Definitely met expectations. From yesterday’s release to now, outside the NIO community, non-existing user orders are 1.5 times last year’s ES8 product tech launch same period—that’s pleasing.
Qin Lihong: This society has large unmet demand—for executive flagship, spiritual value feels correct, but physical evolution is slow; if physical parameters are in place, the soul feels hollow.
Smart, electric, flagship SUV—combining these, perhaps ES9 hits the unmet demand everyone thinks but hasn’t said; this field lacks supply.
Q: Why is ES9 much cheaper than ET9?
Qin Lihong: Previously, ET9’s price included about 100,000 RMB worth of bundled service benefits, now it can be decoupled. Frankly, ET9 should be priced higher—it's more extreme, with every detail maxed out.
ET9 will be for a relatively smaller group; its value/price relationship with ES9 is now properly aligned.
Yesterday on site, I met many ET9 users from all over the country, many repurchased ES9, thinking "double 9" was nice. Some don’t have space for another car but appreciate ET9’s exclusivity.
William Li: Realistically, ES9 volume will be higher than ET9; as an executive flagship, ET9 volume will naturally be less than executive SUV. Depreciation and overhead are less favorable for ET9—costs are relatively higher.
Q: What’s ES9’s delivery ramp-up pace this year?
William Li: ES9 uses a lot of high-tech parts, ramping up production is still pressured. We're working with supply chain partners. Since last year, after each product tech launch, we've speeded up ramp-up—show models are already in the showroom, over 600 prepared, showing adequate readiness. Soon, new cars will be manufactured—"release equals delivery" at launch.
If everyone’s passionate, we may face "happy troubles"—waiting time, etc, are anticipated. We're well prepared for enthusiasm, though capacity pressure will be present initially, preparation is adequate.
“Happy troubles” are good.
Q: Will ES9 compete with ES8 sales? Company's single-vehicle gross margin expectation?
William Li: ES8 and ES9 serve different needs. For ES8 users, buying ES9 is possible financially; from ES9, buying ES8 is also fine—depends on user need. ES9 is more administrative SUV, better suited for business; ES8 is all-scenario—home, work, company, broader use, different positioning. Either is fine, no negative impact; ES8 orders have been good these days. ES9 will bring more people in; some find ES8 suitable and buy it.
Gross margin will be the best among all SUVs.
Q: With 40%-50% growth expected this year, ES9 is the first new car—any other vehicle plans?
William Li: This year, in the third growth cycle, we hope to keep 40%-50% growth. The market is dynamic—we’ll watch market change closely. Q1 was 98% growth. Q2 base is higher, as last year’s Q2 was high. In later quarters, the base is even higher. Last Q4 surpassed 120,000 vehicles, so growth challenge rises as time goes on. We have confidence in meeting delivery goals.
New cars coming in Q2—L80, new L90. In the second half, NIO brand will have ES8 in big-five-seat version.
Q: Based on NIO Group’s battery swap system and innovative systems, are competitors unable to challenge these three pure electric models short-term, since others are still just range-extended or plug-in hybrid?
William Li: Last year, at the ES8 launch, I said the pure electric three-row golden age was coming. Looking now, in the past half-year, pure electric large three-row SUVs’ share kept rising; the golden age isn’t “coming”—it’s “arrived”—pure electric large three-row SUVs are first in power-type share and fastest-growing, while range-extended is last, and even range-extended makers are pushing pure electric. However, when pushing pure electric, awkward realities arise—how big a battery? What chemistry? Choices must be made.
Without swap, must resort to super-fast charging, which adds cost and demands architectural tradeoffs; there’s no technology route with only pros and no cons. Swap also has a downside—building many swap stations, requiring 20 billion RMB investment, but once built, they become advantages. System competition is not about points, but requires systematic thought. Sometimes, system advantage isn’t visible at a moment, but NIO aims to be “time’s friend”—the longer time goes, the more competitive we become. Recent hot sales prove this.
Q: Years ago, many foreign large-engine fuel cars kept getting pricier, while top Chinese smart EVs save rich people money. When will Chinese smart EVs enjoy brand premium?
Qin Lihong: In recent times, luxury imported fuel cars have at least 7-digit prices, but looking objectively, two factors drive this: taxes (large-engine imported cars face 40% tax plus consumption tax), so over half the cost is tax. Buyers must know what they’re paying for.
Second, supply-demand: better products are lacking in this segment, so supply falls short and high taxes double prices, forming this pricing structure. People start to believe luxury SUVs are “supposed to” cost this much. We’re just bringing prices back to real value—nothing more.
William Li: I also don’t understand why Europe only taxes China’s pure electric cars extra. We only have pure electric—if we had fuel, it’d be easier, but we only have pure electric, so our cars end up expensive in Europe. Over there, people think NIO is pricier than Porsche.
In China, these executive cars, many made in Europe, coming to China face import duties, displacement-based consumption tax, freight—much pricier than in Europe. China’s 400k-500k cars are value buys, for these reasons.
Additionally, buyers in this segment, or high-end brand buyers, care not just about function, but brand positioning, overall factors—service experience is important.
Yesterday a friend, a dealership investor, said GLS isn’t selling well anymore. He had buying needs, but lacked good supply before. After many years, NIO made BBA the next logical choice. In the past, saying this seemed arrogant, today it’s reality. For example, in Shanghai, for several months, our sales have surpassed BMW—not just electric, but all cars.
Qin Lihong: Last month in Wenzhou, this March, NIO sales exceeded any BBA brand.
William Li: In Yangtze River Delta regions, many cities, we’ve achieved this—especially in areas with innovative consumption concepts. If you want a good high-end brand car, just looking at the car, buying NIO is very reasonable.
For BBA users swapping cars, NIO is a very suitable choice. There are other brands too, but NIO is reasonable—product, service, quality, comprehensive rationality, brand positioning is all reasonable. This is why we stick to high-end brand positioning, tech and system innovation—it’s now a natural fit for a sizable portion of high-end users.
Risk Warning and DisclaimerThe market carries risks. Investment must be cautious. This article does not constitute personal investment advice, nor does it take into account an individual user's specific investment objectives, financial status, or needs. Users should consider whether any opinions, views, or conclusions in this article suit their specific situation. If you invest based on this, you are responsible for your own decisions. ```