Chinese electronics behemoth Xiaomi is selling electric vehicles
The massive Chinese technology company Xiaomi announced this month that it will begin shipping its first electric vehicle (EV), marking its historic entry into the cutthroat automobile sector.
The fifth-largest smartphone manufacturer in China claims to have 59 locations to accept orders across 29 cities. On March 28, the car’s pricing is anticipated to be revealed.
It coincides with the escalation of a pricing war in China, the largest auto market in the world, between companies like BYD and Tesla.
Xiaomi’s CEO, Lei Jun, stated during the Speed Ultra 7 (SU7) unveiling last year that the business wants to rank among the top five automakers globally.
Over the next ten years, the car industry will get $10 billion in investments from the massive smartphone company.
According to Mr. Lei, the SU7 has «super electric motor» technology and can accelerate more quickly than certain EVs made by Tesla and Porsche.
Additionally, Xiaomi hopes that its common operating system for cars, phones, and other gadgets will draw in current users.
In an effort to slow down the influx of new competitors, it is one of the few potential new entrants into China’s electric car industry to receive clearance from the relevant authorities.
A division of the state-owned automaker BAIC Group will build the SU7 in a Beijing facility with the capacity to build up to 200,000 cars annually.
The introduction of Xiaomi Automobile coincides with escalating pricing competition in China’s EV sector.
In response to local competitors like BYD slashing pricing, multibillionaire Elon Musk’s Tesla has lowered the price of its cars in China by thousands of dollars in recent months.
Following today’s news, Xiaomi shares in Hong Kong increased by almost 10%.
