Xiaomi’s electric car set to challenge Tesla in Chinese EV market

WEB DESK: Xiaomi Corp. has set its sights on positioning its inaugural SU7 as one of China’s top three best-selling luxury electric vehicle (EV) models, according to a recent Bloomberg report, marking a direct challenge to competitors such as Tesla Inc. in a rapidly expanding market.

President Lu Weibing disclosed this ambitious target for the SU7, slated for release on March 28, representing one of Xiaomi’s most defined forecasts to date for its substantial entry into the world’s largest electric vehicle sector.

With its maiden EV venture, Xiaomi faces a critical test of its technological prowess within an industry marked by intense competition and sluggish sales growth.

Over the past three years, Xiaomi has invested billions of dollars in the development of its electric vehicle. This strategic move coincides with a fierce pricing battle, spearheaded by Tesla, which has further squeezed the already narrow profit margins in the industry for several months.

Xiaomi joins a cohort of Chinese smartphone giants venturing into the electric vehicle arena, alongside Huawei and Baidu, each making significant strides in recent months.