Nio's EV Deliveries More Than Double in April, Driving Over 20% Increase in Share Price

• Nio delivered 15,620 vehicles in April, a 134.6% year-over-year increase.
• On Wednesday, Li Auto, Xpeng, and BYD reported their April deliveries, with Li Auto being the only one to report lower sales.

The stock price of a Chinese electric vehicle manufacturer increased by 20% on Thursday, following a significant increase in vehicle deliveries during the month of April.

The Hong Kong-listed shares of the company surged up to 23% and reached their highest point in over six weeks, while Nio shares helped lift the broader market, which increased by 2% during midday trading.

In April, Nio delivered 15,620 vehicles, representing a 134.6% year-on-year increase.

On Wednesday, the company announced that the deliveries included 8,817 premium smart electric SUVs and 6,803 premium smart electric sedans.

This year, Nio has sold 45,673 vehicles, a 21.2% increase from the previous year.

The Chinese EV manufacturer has been expanding its battery swap partnerships to gain a competitive advantage in the infrastructure aspect of the EV industry, with the goal of alleviating consumers' concerns about driving range.

On Wednesday, Li Auto, Xpeng, and other Chinese EV makers reported April deliveries. However, Li Auto was the only company to have reported lower deliveries than the previous month.

In April, the company delivered 25,787 vehicles, which was a 11% decrease from the previous month. Despite this, Hong Kong-listed shares of the company remained 3% higher.

In April, BYD delivered 9,393 electric vehicles (EVs), up 4% from the previous month, while its sales volume for EVs was 313,245, up 3.6% from March's 302,459.

The shares of Xpeng and BYD, both listed in Hong Kong, experienced gains of 7.5% and 5% respectively.

Price wars heat up

The price war between Chinese EV makers and their biggest rival, a U.S. automaker, has intensified as competition increases in China, the world's largest automobile market.

Local automakers are attempting to surpass Tesla by offering advanced technology and competitive pricing, while major EV manufacturers are simultaneously reducing their prices.

In recent times, Tesla and Li Auto both reduced the starting prices of their respective models in major markets, including China.

Xiaomi, a Chinese smartphone manufacturer, recently entered the automotive industry by launching an electric car, the SU7, in early April. The SU7 was priced approximately $4,000 less than Tesla's Model 3. Additionally, Xiaomi claimed that the new car would have a longer driving range.

Despite selling its new EV cheaper than Tesla's Model 3, CEO Lei Jun stated that the company's sales are better than expected and they hope to break even sooner than anticipated.

— CNBC's Evelyn Cheng contributed to this story.