Chinese technology giant ‘Xiaomi’ has launched its first electric car in Beijing, jumping into the highly competitive sector of the world’s largest car market. As China’s electric vehicle (EV) sector expands rapidly, dozens of local automakers are engaged in a price war in a fiercely competitive market, according to a foreign news agency report.
The company’s chief executive Lee Jin said that they are now entering the market with the EV SU7, challenging Chinese car giant BYD and Elon Musk.
While giving a press conference, he said that the price of the basic model of SU7 will be 215,900 yuan (29,868 dollars), which will be available in 9 different colors. It also has karaoke and a mini-fridge.
Xiaomi promises that it will be the ‘sexiest-looking, best-driving, and smartest car’ in the sub-5 lakh yuan price range. Li Jin said that his company’s first vehicle is comparable to Tesla’s Model 3 and has surpassed the American automaker’s sedan in some aspects.
In the very crowded Chinese electric car market, Xiaomi’s biggest competition is likely to come from BYD, which holds a third share while Tesla’s share stands at nine percent, according to third-quarter figures from Zhishang Securities.
According to the report of the foreign news agency “AFP”, the electric vehicle (EV) sector is expanding rapidly in China, and dozens of local automakers are engaged in a price war in a highly competitive market. Xiaomi is known for its cheap smartphones and home appliances, the company’s chief executive Lee Jin said it will now challenge Chinese car giant BYD and Elon Musk in this market with the EV ‘SU7’.
Xiaomi is known for its cheap smartphones and home appliances, the company’s chief executive Lee Jin said it will now challenge Chinese car giant BYD and Elon Musk in this market with the EV ‘SU7’.
Xiaomi promises that it will be the ‘sexiest-looking, best-driving, and smartest car’ in the sub-5 lakh yuan price range.
Johnson Wan, an analyst at Jefferies Financial Group Inc., told Bloomberg that electric vehicles in the 200,000 to 250,000 yuan range are currently the most competitive in China.
Lee Jin told the news conference that his company’s first vehicle was comparable to Tesla’s Model 3 and surpassed the American automaker’s sedan in some aspects. He said that I think we can provide a better vehicle to the customers of Model 3.
Xiaomi’s chief executive Li Jun said that the company has introduced electric cars at a time when interest in these vehicles has declined worldwide and the prices of these vehicles have also declined between companies. A tug-of-war situation has developed.
He said that SU7’s phone and laptop-connected operating system and other devices installed in it will increase the interest of consumers in EVs. Initially, the price of Xiaomi’s car Speed Ultra (SU7) will be 29 thousand 900 dollars.
Initially, Xiaomi’s electric cars will be manufactured at the Chinese state-owned Bike Group’s plant in Beijing. The said plant can manufacture 200,000 vehicles per year. Lee Jun has said that he will invest 10 billion dollars in his car business in the next 10 years.
