NIO and XPeng Create Social Media Accounts for Legal Departments to Address Negative News

Two Chinese electric vehicle manufacturers, NIO and XPeng, have launched official social media accounts for their Legal Departments on Weibo, a Twitter-like platform. This move follows similar actions taken by competitors such as Li Auto, Tesla, and BYD.

For instance, Li Auto has created a Weibo account for its legal affairs department to address negative news. The first post on the account was regarding Li Auto‘s initiation of legal proceedings to safeguard its rights against a rumor. Similarly, Tesla and BYD have also established comparable accounts to counter online rumors and false information in order to uphold their positive corporate image.

While Tesla CEO Elon Musk is known for his bold statements, the company’s legal department Weibo account has yet to post any content. The profile of the account states that they value independent thinking and discerning right from wrong, which may indicate that it will be used in the future to protect Tesla’s interests. In contrast, BYD’s Weibo account takes a proactive approach by refuting false information and responding to consumer questions.

It is worth noting that while most car companies in China have seen a rebound in sales after a low period from January to February, NIO‘s sales have declined. In April, NIO delivered only 6,658 vehicles – an increase of 31.2% year-on-year but a significant decrease of 35.8% month-on-month – marking the lowest monthly sales volume since 2023.

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NIO‘s lawsuit against certain self-media and marketing accounts may serve as a warning to those outlets that disseminate false information. By taking legal action, NIO aims to improve its brand image while boosting market confidence.