(Yicai Global) Jan. 9 -- China's air conditioner manufacturer Zhejiang Sanhua Intelligent Controls Co. will supply thermal management components for the Shanghai-based startup NIO Automobile Co.'s second-generation volume-production vehicles. The deal will consolidate Sanhua's competitive advantage in the market, it said.
NIO's second- generation volume-production vehicles are expected to be unveiled in 2019, the air conditioner maker said in a statement yesterday. The total sales for the life of the product are expected to reach CNY1.1 billion (USD169 million).
The company [SHE:002050] has nearly 10 years of research and development experience in the field of new energy vehicle air conditioning and thermal management components, the Zhejiang-based firm said. Recognition by NIO once again reflects the company's competitive advantage in this area, it added. Previously, Sanhua was also the supplier of NIO ES8, the start-up's first volume-production cars.
NIO ES8 was officially introduced to the market last December, priced at between CNY450,000 and CNY550,000. The second-generation volume-production cars are expected to be unveiled by June next year, an official from the company said earlier.