Xiaomi has become a household name in the tech industry, often dubbed the “Apple of China” for its ability to produce high-quality smartphones at competitive prices. However, its innovative spirit goes beyond mobile devices; the company has ventured into smart home technologies, lifestyle products, and more recently, the automotive sector. With this diversification, the spotlight is now on Xiaomi Auto, which is making waves in the electric vehicle (EV) market with its latest offering, the SU7.
Xiaomi Auto: A New Player in a Competitive Landscape
Launched in March 2024, Xiaomi’s automotive division quickly made headlines with the SU7, an electric sedan that bears a striking resemblance to high-end models like the Porsche Taycan. In an unprecedented feat, the SU7 garnered nearly 90,000 pre-orders within its first day, suggesting that it may have become the fastest-selling car in history. Such extraordinary demand underscores not just the power of the Xiaomi brand but also the growing appetite for electric vehicles among consumers.
Performance Capabilities: The SU7 and Its Ultra Counterpart
In addition to impressive sales figures, the SU7 also flaunts remarkable performance metrics. The high-performance variant, aptly named the SU7 Ultra, boasts over 1,500 horsepower and recently set a new lap record at the iconic Nurburgring circuit. However, it’s worth mentioning that this record was achieved with a modified prototype that isn’t street legal. While the achievement is commendable, it does come with caveats, as other electric vehicles like the Nio EP9 and Volkswagen ID.R have previously recorded faster lap times.
Despite these nuances, the SU7 is making its mark as a street-legal vehicle that offers a compelling blend of performance and accessibility. The fact that Xiaomi has ramped up production expectations, revising its initial delivery forecast from 76,000 to 130,000 units by mid-November, reflects the company’s confidence in meeting consumer demand. This is particularly significant, as it exceeds the delivery capabilities of more established brands such as XPeng, indicating that Xiaomi may be a formidable competitor in the EV space.
Endorsements and Market Sentiment
The response from industry leaders further solidifies Xiaomi’s position in the market. Ford’s CEO, Jim Farley, publicly praised the Xiaomi vehicle, stating that it impressed him to the extent that he didn’t want to return it after six months of driving. His sentiment highlights a growing recognition of Xiaomi not just as a competitor but as a serious player in the automotive landscape. Farley’s comments emphasize the unusual position Xiaomi holds: it is a consumer electronics giant successfully pivoting into a sector dominated by traditional automakers.
What sets the SU7 apart from the crowded electric vehicle market is its combination of elegance and affordability. Starting at under $30,000, this price point undercuts popular models like the Tesla Model 3 by approximately $4,000, making it an attractive option for potential EV buyers. Furthermore, the SU7 Ultra, with its high-powered performance, is priced at approximately $112,500 when it becomes available in March 2025. This pricing strategy positions Xiaomi as a contender not merely in sales numbers but as a disruptor of conventional pricing paradigms in the automotive sector.
Xiaomi’s choice to operate its own manufacturing facility, capable of producing 20,000 cars per month, is a strategic move that contrasts sharply with many other startups reliant on outsourcing. This approach allows Xiaomi to maintain greater control over production quality and efficiency, reducing the risk of the so-called “production hell” that has plagued other automotive players. As a result, the company is well-positioned to scale its operations rapidly as demand continues to rise.
Xiaomi’s entry into the electric vehicle market could redefine the landscape of the automotive industry in China and beyond. With innovative design, impressive performance, strategic pricing, and strong endorsements from industry leaders, the SU7 seems poised to become a significant player in EV sales. As the demand for electric vehicles escalates, and with traditional automotive players taking notice, Xiaomi’s ambitious foray may not only ensure its success but could also challenge the status quo in a market that has become increasingly competitive and dynamic.