Tesla has noticed as the company's CEO, Elon Musk, makes a trip to Shanghai to launch the Chinese-made electric car.
Nio also saw the number of deliveries it made go up in December by 25.4% when compared to the previous month. The company's ES6 premium electric SUV and its ES8 both saw strong sales.
"December marked the fifth consecutive month of increasing deliveries for Nio despite the continuous softness of the overall auto industry," said CEO William Bin Li, "and in particular, the significant decline of the electric vehicle sales in the second half of 2019."
However, both companies may soon be running into issues. Tesla has been moving toward relying on more Chinese local sources for its electric vehicles to sell within the market. Its aim is to grow its market share in China and lower prices to better compete.
As for Nio, it aims to begin selling its smaller electric SUV soon as Tesla is already creating local versions of its Model 3 sedan.
Recently, Musk was in China to mark the first deliveries of an entirely made in China Tesla car.
However, things aren't going so well for Nio. At the end of the year the company gave a warning that currently it doesn't have enough capital or liquidity it'll need for this year and is currently looking for more equity and debt financing.
Due to all these recent developments, the two company's stocks saw major impacts.
Nio's shares dropped 3.9% recently only shortly after rising by 10% just beforehand.
This follows a 54% increase at the end of the year when the company announced it had easily beaten out its earnings projections.
As for Tesla, its stock finished at up 1.9% after the company announced it would be surpassing market estimates.