Nio looks set to be the latest Chinese brand with its sights set on the UK, revealing a budget electric vehicle that it says will be sold both in China and Europe.

The company, itself only 10 years old, has launched a new brand dubbed Firefly to sell the small EV, and it is possible that the car could launch first in the UK ahead of other European territories due to the current lack of import tariffs in Britain.

Industry journal Automotive News Europe has quoted Nio product planning head Eric Yu as stating that Nio intends to launch its Onvo brand in the UK ahead of the rest of Europe, due to the European tariffs – the company has been selling cars in Europe since 2021 and the tariffs have increased from 10 to 31% this year.

The first Onvo vehicle on sale will be the L60 coupe-SUV, predicted to arrive in early 2025 and rivalling the Tesla Model Y. Like the Firefly brand product it is a value-focused vehicle, increasing the importance of avoiding tariffs to keep its price low.

The initial Firefly product will be a small electric hatchback targeting the likes of the Renault 5. It will be the first of what its makers describe as “small, smart, high-end electric cars with a key focus on design, safety, space, intelligence and energy efficiency for active urban lifestyle users.”

A launch date or pricing for the initial Firefly offering is yet to be announced, as has how it will be sold in the UK. Chinese pricing for the car will start from the equivalent of £16,000 and even with higher UK costs it is expected to become one of the cheapest EVs on sale.