Xiaomi becomes China’s 8th largest electric vehicle start-up after successful SU7 launch

Xiaomi Corporation has made a significant stride into China’s electric vehicle (EV) market, securing its position as the nation’s eighth-largest EV start-up. after the sales performance of over 7,000 units of its debut model, the SU7 sedan, in April, as per industry insights.

The successful debut of Xiaomi’s EV marks a pivotal moment in China’s automotive landscape, further intensifying competition in the world’s largest auto market, already grappling with fierce pricing competition amidst a backdrop of softening demand. Renowned for its popularity in Chinese households through its smartphones and home appliances, Xiaomi’s foray into EVs underscores its ambition to diversify its product portfolio and cement its status as a key player in the evolving automotive sector.

Xiaomi’s entrance into the EV arena aligns it with other formidable contenders such as Nio and Xpeng, emblematic of a new wave of automakers prioritising EV production. This category notably excludes traditional giants like Volkswagen and established EV manufacturers such as Tesla, BYD, and Geely.

The company’s SU7 witnessed robust sales, with 7,058 units sold in April alone, marking its first complete month of sales following its launch in late March. With an ambitious target of surpassing 100,000 deliveries by year-end, Xiaomi aims for a monthly average sales volume of 11,618 units for the remainder of the year.

This feat propelled Xiaomi to replace the Avatr EV brand from state-owned Chongqing Changan Automobile as the eighth-largest EV contender in China, as per Reuters’ analysis of monthly sales data sourced from ByteDance’s car information platform, Dongchedi.

The EV landscape in China has witnessed a proliferation of newcomers, including pure EV manufacturers like Nio and Xpeng, as well as EV sub-brands from traditional automakers such as GAC’s Aion and Geely’s Zeekr. Noteworthy among these entrants is the Huawei-backed Harmony Intelligent Mobility Alliance (HIMA), housing brands like Aito and Luxeed, which collectively achieved an impressive sales figure of 20,819 units in April, according to Dongchedi data.

However, it’s essential to note that certain Huawei vehicles, like the Aito M5 and M9, are offered in both extended-range and pure EV variants. While both variants are categorized as EVs, the reported sales figure may overstate pure EV sales, as Dongchedi does not provide a breakdown of these variants.

Read also: From smart phones to fast cars: How Xiaomi fulfilled Apple’s electric vehicle dreams