SHANGHAI (Reuters) – Chinese language electric-car maker Nio (NYSE:) stated that in 2024 it can begin making high-voltage battery packs that it has developed itself, as a part of a drive to enhance profitability and competitiveness to tackle rivals reminiscent of Tesla (NASDAQ:).

Nio, plans to begin producing an 800-volt battery pack within the second half of 2024, its chairman William Li informed analysts on a name on Thursday.

Most electrical autos function with 400-volt batteries whereas Porsche’s Taycan electrical automobiles are powered by 800-volt lithium-ion battery packs, which recharge quicker.

Li stated Nio – which has over 400 staff engaged on the analysis and improvement of battery applied sciences – additionally plans to make use of a mixture of self-produced and externally sourced batteries in the long term, a plan just like Tesla’s.

Li stated Nio plans to make use of self-produced battery packs for its new mass-market marque, which is predicted be prepared on the market within the second half of 2024. These new fashions are anticipated to be priced round 200,000 to 300,000 yuan ($30,000-$45,000), he added.

Nio stated battery prices would have risen within the second quarter after the renewal in April of an settlement with its sole battery provider CATL.

The corporate stated on Thursday its web loss narrowed to 1.8 billion yuan within the first quarter from 4.9 billion a 12 months earlier.

However Nio forecast deliveries of between 23,000 and 25,000 autos within the quarter ending June 30, down from 25,768 within the first quarter, reflecting a normal drop in manufacturing by main automakers on account of a two-months lengthy COVID-19 lockdown in Shanghai.

U.S.-listed shares of Nio, which closed down 7.7% on Thursday, have misplaced 44% of their worth up to now this 12 months.

($1 = 6.6796 renminbi)