As the EV Price War Heats Up in China, Can Nio Stock Survive 2026?

Nio stock (NIO) closed more than 3.5% higher on Dec. 30, 2025, after Beijing confirmed plans to offer consumer trade-in subsidies worth up to $8.92 billion next year. The move is China’s latest attempt to push back against deflationary pressure and a softer economy, and the National Development and Reform Commission said the program will help “optimize the implementation of new economic and social organizations.” 

Still, the pop in the stock does not change the bigger picture. Nio shares are still down more than 35% from their year-to-date (YTD) high on Oct. 2, and the stock has been in a clear downtrend over the past three months.