NIO Inc (NYSE:NIO) shares are trading lower Monday amid weakness in Chinese names after officials reiterated the country’s commitment to its COVID-19 policies.
According to a Wall Street Journal report, Chinese officials have grown concerned about the impacts of their zero-COVID approach, but they are weighing those concerns against the potential costs of reopening.
As a result, Chinese officials plan to proceed cautiously despite the deepening impact of its policies. Moreover, a timeline for a return to normal has not yet been put in place.
In other news, Nio competitor Tesla Inc (NASDAQ:TSLA) reportedly stole the show at China’s world’s largest import trade fair over the weekend. Tesla attracted “huge crowds” at China’s International Import Expo, per the South China Morning Post.
A representative for the Elon Musk-led automaker reportedly said the turnout at the trade fair exceeded the company’s expectations.
Related Link: Tesla Drawing Huge Crowds At Shanghai Expo Shows ‘Chinese Consumers And US Products Are Still Intertwined:’ Expert
Nio is a China-based electric vehicle maker targeting the premium segment. The company is scheduled to report its third-quarter financial results before the market opens on Nov. 10.
NIO Price Action: Nio has a 52-week high of $33.80 and a 52-week low of $8.37.
The stock was down 6.59% at $10.91 at time of publication, according to Benzinga Pro.
Photo: courtesy of Nio.
