Why Is NIO Stock Gaining Today?

NIO Inc. (NYSE:NIO) shares are trading higher on Friday.

In fact, shares of U.S.-listed Chinese stocks are trading higher after China’s September retail sales and industrial production data beat estimates.

China’s GDP grew by 4.6% year-over-year in the third quarter, surpassing the prediction of Reuters poll. However, this growth was slightly below the 4.7% recorded in the previous quarter, reportedly marking the slowest pace since mid-last year and moving further from Beijing’s 5% annual target.

According to Benzinga Pro, NIO stock has lost over 34% in the past year. Investors can gain exposure to the stock via Invesco Golden Dragon China ETF (NASDAQ:PGJ) and KraneShares Electric Vehicles and Future Mobility Index ETF (NYSE:KARS).

See Also: As China’s Stimulus Hype Wanes, Beijing Reportedly Weighs $850B Special Treasury Bonds To Stimulate Economy And Tackle Local Debt

In the meantime, the electric vehicle manufacturer has formed a partnership with UAE telecom group e&, setting the stage for the launch of its models in the region.

“Proud to join forces with @eAndUAE in an exciting new collaboration focused on innovative connectivity and premium EV solutions. This partnership marks a pivotal moment in shaping the future of smart mobility and enhancing the driving experience for users in the UAE and MENA,” NIO UAE said in a post in X.

Last year, NIO secured two investments from Abu Dhabi’s CYVN Holdings, making the Middle Eastern investor its largest shareholder.

However, the company’s founder, chairman, and CEO, William Li, still retains the majority of voting rights, reported CnEV Post.

Earlier this month, NIO teamed up with Abu Dhabi-based CYVN Holdings, a prominent investor in smart and advanced mobility, to establish NIO MENA.

This partnership signifies NIO’s entry into the Middle East and North Africa (MENA) region, where the company plans to introduce innovative electric vehicle solutions that support the region’s sustainable development objectives.

Price Action: NIO shares are trading higher by 6% to $5.46 premarket at last check Friday.

Photo by Sundry Photography on Shutterstock

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