Xiaomi CEO Lei Jun has not too long ago shared some fascinating tidbits with the media, providing a extra exact timeline for the tech big’s automotive arm’s launch of its tri-motor SU7 Extremely. Moreover, the billionaire CEO spoke about Xiaomi Car’s willingness to lose cash upfront to broaden its portfolio to markets in Europe and turn into a top-five automaker on the earth.
Changing into a high 5 automaker on the earth is a lofty aim for an automaker that may be a mere three years outdated, however Xiaomi Car has the backing of an electronics manufacturing powerhouse in Xiaomi Inc. in addition to the help of its CEO Lei Jun, who has already pledged to speculate $10 billion within the BEV improvement enterprise.
Xiaomi is making an attempt to do one thing Apple teased however might by no means actually get transferring on – transitioning from a smartphone behemoth to a bonafide competitor within the EV market. Xiaomi Car’s observe document is brief however fairly promising up to now.
The Chinese language automotive arm developed its flagship mannequin, the SU7 sedan, quicker than anticipated. The SU7 launched in late 2023 and locked in over 50,000 orders throughout the first 27 minutes it was on sale. The corporate has since needed to bolster its meeting strains and manufacturing targets to maintain up with demand, all whereas growing extra BEV fashions as an encore.
In July, Xiaomi introduced a brand new 1,548hp Extremely trim of the SU7, coming within the first half of 2025. Xiaomi Car additionally already has a second bespoke mannequin in improvement that can compete towards the Tesla Mannequin Y, presumably in markets round Europe and past.
Xiaomi CEO hints at growth plans to Europe and past
As identified by CnEVPost, Xiaomi CEO Lei Jun shared some firm updates by way of livestream earlier right now, together with a clearer timeline of when prospects will see the arrival of the manufacturing model of the aforementioned SU7 Extremely. Per the video, the 1,548 horsepower four-door sedan will launch in China in Q1 of 2025.
As a result of the BEV is so highly effective, Jun mentioned every construct will go away Xiaomi’s manufacturing facility in “newbie mode. ” Drivers should full and go a step-by-step examination to unlock the car’s full efficiency, to “unleash it.”
Whereas Xiaomi initially focuses on its two variants of the SU7 in China, expansions to Europe may quickly be within the playing cards. The automaker had the SU7 on show in Paris throughout the 2024 Olympic Video games, the place Lei Jun mentioned it will be accessible globally, with out sharing a particular time-frame on when which may occur.
Xiaomi additionally not too long ago took the SU7 Extremely to the world-famous Nürburgring observe, reaching a high velocity of over 350 km/h (217.5 mph). Though it solely has one EV available on the market, Xiaomi’s CEO has large targets for the automotive arm, beforehand stating a goal to turn into one of many world’s high 5 automakers in 15 to twenty years. It’s potential, however it can value some huge cash to get there, one thing Xiaomi executives are conscious of and don’t appear phased by.
In a dialog with Bloomberg TV, Xiaomi CFO Alain Lam confirmed plans for world growth, together with Europe, however was lifelike in regards to the pending prices to get there:
We’re extra targeted on our progress than profitability at this level. We do consider scale will convey revenue sooner or later. Proper now at this level I solely have one SKU, it’s far-off from what we name profitability. We have to proceed to speculate on this enterprise.
Per Xiaomi’s Q2 2024 monetary report, its automotive arm recorded an adjusted internet lack of RMB 1.8 billion ($252 million) and delivered 27,307 SU7 BEVs in China. These supply numbers ought to develop within the second half of the 12 months as Xiaomi has accomplished its meeting line growth and has twice elevated its manufacturing targets for the 12 months, which now sits at 120,000 items.
Earlier than Xiaomi turns into a high automaker in Europe and past, its instant focus will stay on China, because it ought to. Lam once more spoke:
We do have the worldwide growth in thoughts, though proper now we are attempting to satisfy all of the demand from prospects in China.
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