(Yicai) Nov. 5 -- Nio’s much anticipated third auto brand, codenamed Firefly, will feature hybrid vehicles, with the Chinese electric car startup intending to sell them exclusively in overseas markets, according to people familiar with the matter.

These products are expected to be launched by the end of 2026, with deliveries starting the following year, the people told Yicai yesterday, adding that the markets where they will be available include the Middle East, North Africa, and Europe.

CYVN Holdings, Nio's strategic investor from the United Arab Emirates, has asked the company to produce hybrids in the belief that they could boost Nio’s sales in the Middle East, the people said.

Hybrids have a longer driving range than pure electric vehicles because they use more than one fuel, making them more suitable to markets where EV charging infrastructure is less developed.

Shanghai-based Nio announced on Oct. 5 that CYVN had signed an agreement to form a joint venture, Nio MENA, marking its official entry into the Middle East and North African markets.

Unlike many competitors that have embraced hybrid technologies, Nio has been an advocate of fully electric vehicles. It said the Firefly project would remain on a pure electric technology path after Yicai cited sources in a Nov. 1 report as saying that the carmaker may bring out extended-range hybrids under the new brand by 2026.

Nio is scheduled to unveil the first Firefly products at Nio Day on Dec. 21.

Known for the biggest network of self-built charging stations in China, Nio prioritizes pure electric technology because its charging, swapping, and upgrade capabilities offer a more efficient alternative to hybrids, founder William Li has said.

Nio continues to heavily invest in its battery-swap infrastructure. As of Oct. 30, the company had almost 2,610 such facilities nationwide, including nearly 870 along highways. It also operates more than 2,410 supercharging stations, with nearly 460 on highways, about 1,660 destination charging stations, and access to 1.1 million third-party charging points.

Editor: Emmi Laine