 "Xiaomi EV")
In a strategic move to diversify beyond its smartphone business, Xiaomi has ventured into the electric vehicle (EV) market, unveiling its SU7 sedan last week. This transition, first hinted at in 2021, marks Xiaomi's ambitious foray into a new sector amid stagnating demand for smartphones.
Partnering with a unit of state-owned automaker BAIC Group, Xiaomi is set to produce its cars in a Beijing factory with an annual capacity of 200,000 vehicles. The company has pledged a hefty $10 billion investment over the next decade, positioning itself as one of the few newcomers in China's EV arena to gain approval from authorities amidst concerns over a supply glut.
The shares of Xiaomi were up by 16 per cent on Tuesday following the launch of its electric car.
What is the price of a Xiaomi EV?
Presently available only in China, the SU7, dubbed "Speed Ultra 7," enters a competitive Chinese EV market with a striking price tag – under $30,000 for the base model, undercutting Tesla's Model 3.
Xiaomi's standard SU7 model is priced at 215,900 yuan (around Rs 25 lakh), while the Max version costs 299,900 yuan (around Rs 35 lakh), significantly lower than Tesla's starting price of 245,900 yuan (around Rs 29 lakh).
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What is the range of Xiaomi EV?
The company claims the SU7 boasts a minimum range of 700km, surpassing the Tesla Model 3's 567 km range. The SU7 Pro extends it to 830 km, and the SU7 Max achieves nearly 900 km of range in a single charge.
In terms of design, though, Xiaomi's ambitious automobiles have drawn comparisons with luxury brands like Porsche's Taycan and Panamera models. Also, it's hard to miss the striking similarities to the Aston Martin DB series.
What are the specifications of Xiaomi EVs?
The SU7 features a powerful 220kW rear-wheel drive motor, notably powered by the E-motor HyperEngine V8s. This groundbreaking motor achieves a maximum speed of 27,200 rpm, delivering an impressive 425kW output and a peak torque of 635Nm. Xiaomi has claimed that this sets a global record for E-motors, enabling the car to accelerate from 0 to 100 km/h in just 5.3 seconds.
Furthermore, the top-tier version of the SU7 boasts astonishing acceleration, accelerating from 0 to 100 km per hour in a mere 2.78 seconds, with a top speed of 265 km per hour. Equipped with dual motors generating 637 horsepower and 838 Nm of turbo power, the SU7 is built on an 800-volt architecture, similar to Tesla's Cybertruck.
Regarding the offerings of the Xiaomi SU7, the car has been unveiled in nine different colours. While showcasing three colour options at the Mobile World Congress (MWC) held in Barcelona last month, Xiaomi has now introduced an additional six colour choices.
The design elements of the Xiaomi SU7 are equally captivating, featuring sleek water-drop headlights, halo tail lights, and concealed door handles. Inside, a futuristic cockpit adorned with multiple screens and advanced technology awaits. The car operates on Xiaomi's Hyper OS, seamlessly integrating with the company's other devices such as phones and tablets.
What is the waiting period for Xiaomi EVs?
Despite being relatively new to the automotive industry, Xiaomi is experiencing strong demand for its SU7 sedan. According to media reports, the company's app revealed that potential buyers may face up to a seven-month wait for delivery. Within the first 24 hours of the opening of pre-orders, Xiaomi received an impressive 88,898 reservations.
As part of its sales campaign, Xiaomi had introduced special versions of the SU7, including the "Founder's Edition," which sold out immediately, offering complimentary gifts like refrigerators.
The firm is advising that delivery time for the company's standard SU7 model could take 18-21 weeks (nearly 5 months), the SU7 Pro model 18-21 weeks, while the most expensive model will take 27-30 weeks (nearly 7 months).
Xiaomi's bold move into the EV market underscores its determination to challenge established players like Tesla and BYD in China, the world's largest automotive market.
Anticipating the demand, Xiaomi had already built a factory in Beijing capable of producing 200,000 cars annually before it had regulatory approval to start manufacturing in China.
How is the EV market faring?
However, Xiaomi's entry into the electric vehicle market coincides with a global slowdown in EV sales, sparking a price war. Competitors like Tesla have significantly reduced prices in China, while others like Apple have reportedly shelved their EV plans.
Despite this, companies like BYD and Nio are facing challenges as consumer spending tightens amid weakening economic growth in China. Tesla, set to announce its delivery numbers for the first quarter of 2024, experienced a nearly 30 per cent decline in its shares in the first quarter.
Last week, BYD posted record annual profits but said that growth had slowed towards the end of last year. As per reports, Shanghai-based electric car maker Nio also lowered its forecast for this year's first quarter deliveries as consumers tightened spending as China's economic growth weakens.
