Nio decided to develop a hybrid with an extended range under the Firefly brand on the advice of CYVN Holdings, an Abu Dhabi-based investment firm and a major investor in the company. CYVN suggested that the move could help boost sales in the Middle East, where the infrastructure for large-scale EV adoption is still underdeveloped.
Nio plans to introduce a hybrid model by the end of 2026, with deliveries starting in 2027. The model will be sold exclusively overseas, as Nio intends to focus its Chinese lineup on all-electric cars with the ability to replace batteries. Nio operates more than 2600 battery replacement stations in China.
Nio will introduce its first plug-in hybrid (PHEV) model in 2026 under the Firefly brand. It will be focused on foreign markets, including Europe.
Nio will introduce hybrids to overcome obstacles they face overseas, such as the slow expansion of exchange station infrastructure and tariff restrictions. Previously, Nio categorically denied the launch of the PHEV model, claiming that Firefly will be an EV-only brand.
The additional duties imposed by the EU only affect all-electric vehicles and do not apply to PHEVs, which has forced many Chinese electric car manufacturers to adjust their strategies. Nio is subject to an additional import duty of 20.8% on top of the existing tariff of 10%, resulting in a total duty of 30.8%. This will significantly affect plans for the entry-level budget brand Firefly.
